This site is a tool to learn about the independent factories and material suppliers used to manufacture NIKE products - including the name and location of … Research its effects on local culture. References 9 Method: Investigation on outsourcing within business. Nike Sportswear giant Nike outsources the production of all its footwear to various overseas manufacturing plants. Various US companies like IBM, Microsoft, Accenture and the likes have been adhering to this trend by hiring the workforce in developing countries. If one were to look at their market share, one company stands out – Nike. In fiscal year 2014, NIKE was supplied by ~430 apparel factories operating in 41 countries. Nike Manufacturing Map: Transparency is fundamental to NIKE, Inc. business and our approach to sustainability. How does global stratification impact local culture? Those managers can control the management style of the factory. Alternative recommendations 7 9. of 'outsourcing' to third world countries. Like footwear, all of NIKE’s apparel is manufactured outside the US by independent contract manufacturers. Conclusions:Is outsourcing a good thing 8 10. China has a larger share of Nike manufacturing plants than other countries, but Nike does maintain quite a few manufacturing plants in … There are six major footwear manufacturers across the world, namely Nike, Adidas, Reebok, Fila, New Balance and Converse. Outsourcing is a growing phenomenon among developing countries. While outsourcing jobs to cheaper third world countries is good for many atop the Nike food chain, this keeps jobs from being created within the US and only solidifies the struggle many people in these poor countries … For Nike: Pros: outsourcing production of a product overseas reduces cost of production. It has a 47% market share, while its closest competitor, Reebok, has only 16%. Pros and Cons of outsourcing to third world countries 5 8. Nike™s business model consists in designing, developing, marketing, and selling the products, but the actual manufacturing process is outsourced to independent contract factories located in low-cost countries. When outsourcing products to third world countries, unethical cultural issues and labor law, especially child labor law are non existence. The outsourcing of trainer companies within developing countries with particular emphasis on Nike outsourcing history. Yes, US, has accepted the outsourcing of various service sector jobs. With the aim of cutting cost, the US companies are outsourcing their jobs to third world countries. Sometimes multinationals have been criticised for outsourcing production, such as call centres to countries outside the country where it does business. Bambi Turner explains more on Nike and the history they hold. This is because the places that companies like Nike tend to outsource to are extremely poor third-world countries, where people work 12-15 hour days in some places. In the –scal year 2012-13, the company employed 1See Ernst & Young (1997). Write a summary and analysis of 500-750 words and include the following: 1. Nike + outsourcing = competitive advantage Nike can try to train some manager to send to the manufacturer factory in third world countries to guide the management style of the countries. Some examples of MNCs (multinational corporations) would be Nike, General Motors, Ford, Qwest, and Fender Music. Benefits of Outsourcing for developing economies. In third world countries there are thousands of people willing to work to whom we provided the opportunity to have this job. The changing of the management styles of Nike towards the manufacture in third world country. 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