Essays on Sustainability and Ethics in Nike Case Study

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The paper "Sustainability and Ethics in Nike" is a great example of a business case study.   Social responsibility is the act of a business engaging in social activities that are not otherwise regarded as its core business or a requirement by laws and/or regulations (Hond& Bakker, 2007). In the 21st century, it is no longer an unnecessary cost but a competitive advantage as consumers become more enlightened (Idowu & Filho, 2009). Businesses operate within the society from which they make their profit. Business aims should, therefore, be broader than to be narrowed down to profitability and growth as it is the assumption of the classical CSR proponents like Milton Friedman.

It is imperative that a business conducts its activities in a manner that is ethical and inconsistent with the expectations of its stakeholders, public and regulatory authorities (smallman, McDonald, & Mueller, 2010). This paper seeks to critically evaluate Nike’ s corporate values and corporate governance. To determine whether Nike is an ethical company, the paper will also analyze the company’ s social responsibility report Nike Corporate Values, Social responsibility and Corporate Governance Corporate governance can be defined as a method by which an organization is governed, administered, directed or controlled and the goals for which it is governed.

Beyond making profits, a company should consider the implication of its activities n relation to ethics and societal norms in the society in which they operate (Crittenden, Crittenden, & Pitt, 2011). The law expects a company to be totally responsible for its activities to ensure they stay within acceptable conduct in relation to ethics (Certo, 2011). A company should care for all its stakeholders in the course of its business including the shareholders and employees and customers and the government (smallman, McDonald, & Mueller, 2010).

According to Hond & Bakker, (2007), a system of corporate governance is mostly implemented to provide checks and balances on behalf of the shareholders to discourage management from pursuing objectives and strategies that may impact negatively on the shareholder's interests in the company such as reducing their wealth. Nike as a company has ensured it does a transparent and regular reporting to its stakeholders so that it can be seen how the company is progressing and addressing social responsibility issues in line with the core business of the company.

The company states in its report (Nike, 2009) that it commits to measuring and reporting its performance which it views as part of its responsibility to its stakeholders. Transparency is a sensitive issue as far as corporate governance is concerned, but Nike has ensured that it upholds the highest degree of transparency in its reporting since reporting is to the company the most critical tool in providing critical information to its stakeholders (Nike Incorporated, 2013).

This is very important to investors since their money is being used by the company to enable its operations and as such have the right to know how their money is being used (smallman, McDonald, & Mueller, 2010). Reports on the company’ s progress according to its responsibility report are made on a regular basis. The data provided is more on reporting timely and relevant issues and perspectives that are of interest to stakeholders. This is a shift to the previous approach by the company where it used to provide a comprehensive one year or two-year reports.

In addition, the report is web-based and thus easy to get (Nike, 2009).


Certo, S., 2011. Modern Management: Concepts and skills. Pearson Education.

Crittenden, V. L., Crittenden, W. F., & Pitt, L. F., 2011. Implementing global corprate citizenship: An integrated business ramework. Business Horizons , 55 (1), p.445-455.

Hond, F., & Bakker, F., 2007. Managing corprate responsibilityin action: Talking, doing and measuring . Ashgate Publishing.

Idowu, S., & Filho, W., 2009. Global practices of corprate social responsibility. springer.

Nike,2009. Corprate Social Responsibility Report, FY-06 07 09 [PDF] Available at: [Accessed 10 June 2013].

Nike Incorporated., 2013. Reporting-governance. Retrieved June 10, 2013, from Nike Incorporated Website:

smallman, C., McDonald, G., & Mueller, J., 2010. Governing the corporation; structure process and behavior. Journal of Management and Organisation , 16 (2), p.194-198.

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