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There has been much debate and controversy recently concerning Nikes Asian labor practices This is a very complex issue and one that is a long way from being solved It is very difficult to determine which side of this argument to defend as both sides acknowledge the facts yet put a completely different spin on them Do you believe Nikes critics who say theyre exploiting workers Or do you believe Nike when they say that they are giving workers in these countries wonderful opportunities to raise their standard of living The consensus answer to this question by all sides seems to be that Nike is improving but still has a ways to go Nikes Asian ties can be traced back to the birth of the company The CEO chairman of the board of directors and co-founder Phil Knight wrote his masters thesis at Stanford University in the 1960s on the prospects for using Asian labor to produce goods cheaper and more effectively In order to incorporate this plan in to Nikes business structure a partnership was set up with a Japan based company called Tiger Sports Tiger Sports would manufacture shoes for Nike in Asia then shipped them to the United States to sell In the 1980s however this aspect of Nikes partnership with Tiger Sports was dissolved and Nike was forced to expand production from the United States to countries such as Taiwan and Korea where their products could be manufactured at the same relatively low cost that Nike enjoyed through the Tiger Sports partnership Over the last five years however the production numbers for these countries have been decreasing at an alarming rate due to the fact that their economies expanded at a very rapid pace This in turn caused the cost of labor to increase dramatically and therefore Nike could no longer produce their product as efficiently as before In lieu of the rapid economic growth in the Pacific Rim and the
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