|Indonesian workers from a Nike sweatshop|
|Converse All-Star sneakers, run by Nike|
Utilitarianism looks at the overall happiness of the stakeholders. As recently stated the stakeholders include the factory workers and families, the factory management, and also Nike. The factory workers and their families are clearly unhappy. They are being abused and they cannot stand up and do anything about it. The factory management is doing what makes them happy. If this situation caused any unhappiness they could stop what they are doing right away and there wouldn't be a case to look at and investigate. Nike is unhappy by this situation. They have already tried so hard to improve factory work overseas and now all that work is being questioned because there is clearly still abuse happening in these factories. The majority of the stakeholders are unhappy which means that Nike is unethical when looking at the utilitarianism theory.
The third theory is the Kantianism theory which has four parts. The definition includes acting rationally and be consistent in your behavior, helping others act rationally, respect others decisions, and to act in good will. Nike is not acting rationally or being consistent. If Nike was being consistent in its behavior Nike would have made these factories work at Nike standards just like the other overseas factories. Also if Nike wanted to help others act rationally it would be talking to the management at these factories to help them learn how to treat the employees. If Nike was working in good will, these employees would not be being treated as poorly as they are. Nike is very unethical according to the Kantianism theory of business ethics.
The final theory that Nike will be analyzed under is the Virtue theory. The virtue theory includes four virtues; courage, honesty, temperance, and justice. When it comes to courage and honesty, Nike knows these employees are being treated so poorly and they are doing nothing about it. They say that their hands are tied due to the contracts Converse was in with these factories prior to Nike purchasing Converse. Temperance refers to having reasonable expectations, clearly Nike has no expectations for how these employees in Indonesia should be treated. Justice includes the idea of fair practices, if Nike wanted justice in their factory in Indonesia they would have fair practices for these employees, instead they are abused daily at work. According to the virtue theory, Nike is yet again an unethical corporation.
DesJardins, Joseph. (2009). An Introduction to Business Ethics (Ed: 4). New York, NY: The McGraw-Hill Companies, Inc.
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Nike workers kicked, slapped and verbally abused at factories making Converse line in Indonesia | Mail Online." Home | Mail Online. N.p., 13 July 2011. Web. 21 Apr. 2013. <http://www.dailymail.co.uk/news/article-2014325/Nike-workers-kicked-slapped-verbally-abused-factories-making-Converse-line-Indonesia.html>.
Salazar, Heather. Business Ethics, Economics, and Individualism. 21 April 2013. <kodiak.wne.edu/d2l/lms/content/viewer/main_frame.d2l?tId=102984&ou=18408>
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