Loading presentation...

Present Remotely

Send the link below via email or IM

Copy

Present to your audience

Start remote presentation

  • Invited audience members will follow you as you navigate and present
  • People invited to a presentation do not need a Prezi account
  • This link expires 10 minutes after you close the presentation
  • A maximum of 30 users can follow your presentation
  • Learn more about this feature in our knowledge base article

Do you really want to delete this prezi?

Neither you, nor the coeditors you shared it with will be able to recover it again.

DeleteCancel

Make your likes visible on Facebook?

Connect your Facebook account to Prezi and let your likes appear on your timeline.
You can change this under Settings & Account at any time.

No, thanks

Nike Outsourcing

No description
by

Chris Heywood

on 16 August 2015

Comments (0)

Please log in to add your comment.

Report abuse

Transcript of Nike Outsourcing

Nike
Mylee Brown
Chris Heywood
Alex Miller
Tarl Langham
Jordon Westbroek

Conclusion
Opposition : The good, the bad and the ugly.
How Nike "Just Does It."
Outsourcing is what has made Nike into the billion dollar industry that it is today. It is also what has helped Nike become the Industry leader in footwear.
Nike is currently outsourcing to multiple countries including: China, Indonesia, Vietnam, Taiwan, South Korea, and the Philippines.
Half a million people throughout the world have been hired to help produce their products.
Nike even outsources their advertising component!
*Nike outsources ONE HUNDRED PERCENT of their shoe production.*
Advantages of Outsourcing
Cuts costs
- Nike is able to employ workers for less and are able to pay less for plant operations.
-Outsourcing to different countries is much cheaper for them.
Increases Competitiveness
- Because Nike can efficiently produce their product and cut costs through outsourcing, they are able to use that saved money to price their products competitively.
Finances and Risk Reduction
-Through outsourcing outside the United States, Nike can bypass some of the taxes they would have to face.
-When outsourcing to subcontractors, Nike has less risk with insurance liabilities.
Disadvantages/Risks
Nike
Sweatshop Problem
Success
Most recognizable brand in the footwear industry.
Nike is known for their success in outsourcing practices.
They are currently the leader in the industry with 47% market share.
Enjoying sales of $3.77 Billion.
References
http://www.ehow.com/list_7704795_advantages-outsourcing-nike.html
http://www.civ.utoronto.ca/sect/coneng/tamer/Courses/1299/Ref/startegic%20outsourceing.pdf
http://marketrealist.com/2014/12/nikes-growth-drivers-in-the-us-and-overseas/
http://davitsioridze.blogspot.com/2011/02/nike-and-outsourcing.html
http://www.businessinsider.com/how-nike-solved-its-sweatshop-problem-2013-5
http://www.unc.edu/~andrewsr/ints092/vandu.html
http://www.slideshare.net/divya-mishra/nike-competitive-advantages
http://www.fostermentor.com/epic-success/
References
http://www.in-pharmatechnologist.com/Regulatory-Safety/Fighting-fakes-about-patients-not-competitive-advantage-says-Rx-360
http://gabrielsales.com/
First off, what do YOU think Nike is good at?
Outsourcing
Why we chose Nike
Effects on U.S. Economy and Job Loss
Lack of Customer Focus
Threat to Security and Confidentiality
Loss of Managerial Control
Quality Problems
Unsafe and Abusive Labor Practices
Extreme Global Weather Events
Political Unrest
Remained true to their mission.
Leaders in innovation.
Take a Risk
Stay True
Success
http://investors.nike.com/files/doc_financials/2014/docs/nike-shareholders-letter-2014.pdf
Outsourcing:
The act of obtaining goods or services from an outside or foreign supplier in place of obtaining the goods or services in house.

Outsourcing allows for companies to maintain higher quality at a lower price. Instead of a company doing all the work by themselves and potentially giving up quality they hire outside parties to provide higher quality products/services at a lower cost.

A company can successfully do this by finding areas where they can cut costs while still maintaining a high quality standard for their product or service they are outsourcing.


Never Stop Running
History:


1970: Nike began outsourcing to S. Korea

1991: Large public outcry for Labor Abuses
1998: Nike Steps up to fix the problem
2011: Nike Company still feels the backlash
not fixing their mistake earlier
Full transcript