How Nike Solved Its Sweatshop Problem
It wasn’t that long ago that Nike was being shamed in public for its labor practices to the point where it badly tarnished the company’s image and hurt sales.
The recent factory collapse in Bangladesh was a reminder that even though Nike managed to turn around its image, large parts of the industry still haven’t changed much at all.
Nike was an early target for the very reason it’s been so successful. Its business model was based on outsourcing its manufacturing, using the money it saved on aggressive marketing campaigns.
Nike has managed to turn its image around. Nike hasn’t been completely successful in bringing factories into line, but there’s no denying that the company has executed one of the greatest image turnarounds in recent decades.
See the timeline of how Nike became a global symbol of abusive labor practices, then managed to turn things around: www.businessinsider.com
Written by Max Nisen