WHERE ARE NIKE SHOES MADE?
• Almost all Nike shoes are manufactured outside
of the United States. The leading manufacturer o
f Nike shoes is China and Vietnam each accounti
ng for 36% of the total manufactured world wide.
Indonesia accounts for 22% and Thailand for 6%
of the Nike shoes that are being produced world
[Link] are 785 contract factories with more t
hen 1 million workers manufacturing more then 5
00,000 different products.
MANUFACTURING PROCESS
• To make the shoe the worker first cuts all the mat
erial in the shapes and forms they need to be in,
they then sew the pieces together on the upper s
ection above the sole. The workers then prepare
the sole also called stock fitting, followed by prep
aring the attachment of upper to the sole also kn
ow as lasting. Then the worker attaches and sha
pes the bottom heel to its final form this process i
s called heeling. The finishing touches are made
and any necessary accessories are then attache
d in the process called treeing.
NIKE GLOBALISATION IMPACT
✔️Positive Effect of Nike’s Globalization : ❌ Negative Impact of Nike’s Globalization
• Poverty Eradication :
• Availability of Employment • Displacements of Workers
• Education • Unemployment
• Technology • Increased Lifestyle Diseases
• Foreign Investments
Positive Effect of Nike’s Globalization
Poverty Eradication
Nike’s globalization is also affected by the local economy where their stores are located and develop resou
rces from the area. It contributes to the economy with its fees and taxes and with a good economy, eradica
ting poverty is possible.
For example, in Pakistan, the average income of a person is US$5, and they normally have to make enoug
h for as many as ten family members. Nike helps to combat this situation by importing resources from Paki
stan. It contributes to the country’s economy by bringing income to Pakistan and its people, decreasing the
rate of poverty. Although the struggle against poverty is far from done, there has been significant progress.
Positive Effect of Nike’s Globalization
Availability of Employment
Currently, Nike has over 20,000 stores all over the world. As these were established and newer ones are y
et to come, more opportunities for trading and occupation arise. Consequently, more locals in their respecti
ve areas in different countries are starting to give more importance to education and living standards. This i
s because education is a prerequisite when applying for jobs aside from Nike’s stores.
Since Nike is already a global sensation, you can expect more than 700 factory contracts with thousands o
f staff in many countries from all over the world. This is proof that there is the availability of employment wit
h globalization.
Positive Effect of Nike’s Globalization
Education
Nike has also been getting ideas for its business through education. They launch competitions such as the
“Future Sole” where senior high school and college students compete with each other. It allows them to sh
ow other people their enthusiasm through their designs that Nike uses to make new products. These comp
etitions allow students to be creative and aim for their dreams using their skills.
Positive Effect of Nike’s Globalization
Technology
Nike is continuously finding new ways and ideas to manufacture and create products to sell. As a result, Ni
ke researches and develops new technologies that it can utilize to produce its items, such as jerseys and s
hoes. Technology is greatly affected and is being modernized to find more ways on how to turn raw materia
ls into new materials. Additionally, Nike also developed an e-commerce website with flash that allows cons
umers to understand the details and the product’s structure easier.
Nike’s globalization has been extremely beneficial to individuals in developing countries. The majority of pe
ople can purchase and sell items for a low price on the Internet. They collaborate with firms in industrialize
d nations over the Internet. Interaction with individuals via social media, the Internet, and other platforms h
as opened up new avenues for improving living conditions.
Positive Effect of Nike’s Globalization
Foreign Investments
Foreign investment is one of the outcomes of globalization, which has resulted in a slew of changes in thes
e nations. Some investors, for example, desire raw materials and items to be delivered to the industry and
market more quickly.
Nike can build up stores in many foreign places. Additionally, it has settled plants in Asian countries such a
s China and parts of Southeast Asia. These plants are their foreign investments and in exchange, Nike has
the ability to produce footwear, attires, and gears from the resources of these countries.
Also, with all the plants, infrastructures, and stores, it’s no secret that they pay taxes to the government of t
hese countries and are also part of their foreign investments. These investments allow the economy of the
countries to thrive.
Negative Impact of Nike’s Globalization
Displacements of Workers
Nike’s globalization has resulted in a plethora of job possibilities all around our vast globe. However, most
people have had to abandon their families for several years in order to work in various Nike plants, infrastr
uctures, and stores overseas. As a result, many families have divorced, remarried, and abandoned their ch
ildren to volunteers and shelters.
Because of the insufficient minimum wage and the money they make from working under Nike, some childr
en have been unable to support their elderly parents' requirements. Sicknesses and a lack of financial and
emotional assistance from their offspring cause many elderlies to die.
Negative Impact of Nike’s Globalization
Unemployment
Until Nike’s globalization took hold, about half of the working conditions and population in practically all the
nations it had expanded to relied on informal labor in sectors. As technology has advanced, along with Nik
e’s manufacturing process, such jobs have become less common, while the worldwide demand for trained i
ndividuals has expanded.
The majority of local people in developing nations lack skills, and the local jobs that are accessible are low-
paying owing to the increased demand brought on by Nike’s globalization. Because most individuals are un
employed and unable to fulfill their basic requirements, criminal behaviors such as burglary, pickpocketing,
murder, and drug usage have escalated. As the wealth gap between the rich and the poor increases, the ra
te of unemployment and poverty continues to rise.
Negative Impact of Nike’s Globalization
Increased Lifestyle Diseases
Nike’s globalization has completely influenced the lifestyle of many people. Since Nike is popular, some pe
ople tend to sacrifice many things just to be able to buy a Nike product and follow the trending lifestyle. Mo
ney that should be for food and other basic needs is instead used to buy Nike’s products. As a result, a hea
lthy lifestyle is sacrificed.