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NIKE: Just Does IT. A Look At How to Combat Some of the Problems Facing the Multi-National Corporation. Background. Shoe and Apparel company $16.3 Billion in revenue in 2007 28,000 workers in 45 countries 500 manufacturing locations Headquarters in Beaverton, Oregon. Company History.
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NIKE: Just Does IT A Look At How to Combat Some of the Problems Facing the Multi-National Corporation
Background • Shoe and Apparel company • $16.3 Billion in revenue in 2007 • 28,000 workers in 45 countries • 500 manufacturing locations • Headquarters in Beaverton, Oregon
Company History • Founded in 1965 as Blue Ribbon Sports at the University of Oregon • The Nike Waffle • 1971-the Swoosh • 1972-Nike the Greek goddess of victory • 1979-A big year • 1982-Advertising • 1988-Just Do It
Problems • Tarnished image from sweat shop scandal • Doesn’t appear to be socially conscience • Doesn’t appear to be environmentally conscience
The Truth • Are socially conscience --Donated 37 million to charity in 2004 --Currently doing a charity campaign with Eminem-auctioning off limited sneakers for charity •Are Environmentally conscience --Carbon neutral by 2011 --3rd in recent environmental scorecard
Goals • Improve company’s overall image • Further the idea that they are socially conscience • Further the idea that they are environmentally conscience
Objectives • To show that Nike is a socially minded organization—to start new charities, to increase number of dollars poured iinto charities by 15%,to improve employee relations, to publicize efforts through media and advertising • To show Nike is environmentally minded—to start up shoe recycling centers, to publicize efforts to through media and advertising
Audience • The Long-time customer • The Customer who boycotted because of labor issues • The Environmentally minded customer • The Nike workers—The Nike Family • The consumer with no opinion on the matters at hand
Strategies and Tactics • Give a measurable increase to the charity budget • Develop programs to promote social conscience—Inner-city hoops renovation, Nike cares • Construct recycle pick up stations for old shoe and shoeboxes • Create stricter guidelines to enforce fair labor practices—tour manufacturing plants to find faults • Use press agentry to its fullest
January-February • Initial plans for programs brought before the board • Begin scouting cities for recycle center and for more charities to give to • Stress importance of fair labor practices to board
March-April • Recruit Nike Cares Athletes • Scout locations for inner-city Hoops renovation • Begin set up recycle centers • Use advertisements promoting recycling • Fair Labor Committee meets and develops strict guidelines for evaluating factories
May-June • Begin Hoops Renovations in cities • Have meeting of Nike Cares Athletes to discuss ideals being stressed • Open Recycle pick-up center • Begin giving money to charities • Touring of plants begins
July-August • Continue Hoops programs and recylce pick-up • Begin the touring of Nike Cares • Gmive more money to charity • Continue tours • Release first line of recycled shoes
September-October • Continue all programs • Evaluate the results from fair labor tours
November-December • Evaluate success of programs • Give the most money so far to charity for Christmas • Fire any heads of plants not exercising fair labor • Report results to press and post on web siite • Increase number of recycle pickup stations • Continue programs if succesful
Expenses • Programs-developing, running, hidden costs • Advertisement • Travel • Construction • Increased charity budget • Grand Total- $97 million
Evaluation • Surveys • Focus Groups • Study media • Study