Why does Nike have so many factories in Indonesia?

Nike – the shoe company that produces those famous athletic shoes – set up factories in Indonesia because of the low wages there. Today, typical workers can earn the equivalent of around $3.50 per day, which for a six day work-week amounts to $21.

Does Nike have a factory in Indonesia?

Indonesia is the world’s third-biggest producer of Nike footwear and apparel, after Vietnam and China, with 40 factories in the country employing 171,000 workers producing Nike goods.

Why is Indonesia the 3rd largest exporter of Nike goods?

Indonesia is the third biggest producer of Nike goods, after Vietnam and China, with 40 factories employing 171,000 people. Indonesian factory workers are among the lowest paid in Asia. … Nike’s code of conduct says it expects its suppliers to pay workers “at least the minimum wage required by country law”.

Why does Nike manufacture overseas?

Beyond the manufacturing process itself, Nike also relies heavily upon independent contractors to source the raw materials for its shoes from the countries in which they’re produced. This enables Nike to consolidate its intermediate costs by limiting the number of vendors with whom it must negotiate contracts.

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Which country has the most Nike factories?

Nike has contracted with more than 700 shops around the world and has offices located in 45 countries outside the United States. Most of the factories are located in Asia, including Indonesia, China, Taiwan, India, Thailand, Vietnam, Pakistan, Philippines, and Malaysia.

How does Nike affect Indonesia?

Over the years, Nike expanded its factories across the country. They found labor in almost inexhaustible supply especially in poor urban areas around the island of Java. Tapping this labor, they trained and raised the industrial efficiency of Indonesian workers.

Who is the boss of Nike?

John Donahoe (Jan 2020–)

Why is Nike unethical?

Nike sweatshops

Nike had been accused of using sweatshops to produce its sneakers and activewear since the 1970s but it was only in 1991, when activist Jeff Ballinger published a report detailing the low wages and poor working conditions in Nike’s Indonesian factories, that the sportswear brand came under fire.

In which country Nike shoes are cheapest?

Price Rankings by Country of 1 Pair of Nike Running Shoes (Mid-Range) (Clothing And Shoes)

1. Iran 225.14 $
2. Iceland 159.59 $
3. Lebanon 128.82 $
4. Israel 126.29 $
5. Switzerland 124.01 $

Is Nike made in China original?

If the tag says “made in China” are the shoes fake? No. The vast majority of real Nike shoes are made in factories in China, Vietnam, and other Asian countries. … No, they are not necessarily fake, since Nike makes some shoes in Vietnam.

How many factories does Nike have worldwide?

Since then, the shoe brand has risen to be the number one athletic sportswear company in the world. Nike Products are actually manufactured across 41 countries, with the help of 533 factories and 1.1million workers.

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Does Nike have its own factories?

Yet Nike owns no factories for manufacturing its footwear and apparel. The company’s footwear and apparel make up about 96% of Nike’s branded revenues.

How many countries does Nike use 2020?

We sell our products in 170 countries. We have more than 30,000 worldwide employees. We have a dozen brands that serve more than 30 major sports and consumer lifestyles. We work with 600+ factory partners.

How does Nike pronounce Nike?

The correct way to pronounce “Nike” is so that it rhymes with “spiky”.

Does Nike still use child Labour?

According to the ethical clothing advocacy group Good On You, Nike is certified under the Fair Labor Association Workplace Code of Conduct. But a 2018 report by the Clean Clothes Campaign, found that Adidas and Nike still pay “poverty” wages to workers.

What country is Nike from?

Eugene, OR

Notes from the road