This paper will follow up on the guiding question that asks: Why does Nike create sweatshops in developing countries? The main focus of this section will focus on the working conditions in sweatshops subcontracted by Nike. Many of the sweatshops in developing countries operate on the overexploitation of human capital at low wages. Wages in US dollars are considered even lower because the purchasing power of the home country is often lower than that of the United States. Regardless of the already inflated profit margins resulting from sweatshop conditions, the Nike corporation does little to create harmonious conditions, free from the meticulous pressures placed on sweatshop workers. As we will see, the working conditions in these sweatshops provide cheap labor, free from prosecution and union problems. In Cicih Sukaesih's article, he talks about his trials and tribulations dealing with a Nike contractor who fired him, and the unions he tries to unite for better working conditions. In Jeff Ballinger's article titled “Nike's Voice Looms Large,” we will learn about Nike's anti-sweatshop solidarity groups and the real reasons why they are against Nike. Caroline Kaeb's article tells us about the serious human rights violations found in sweatshops, as well as the laws that do nothing to protect these workers. Finally, an "Update on Nike and Michael Jordan" follows Sukaesih's article, suggesting that the real root of the problem is little help from key media figures here in North America. The Basis of the Problems When examining the problem of sweatshops in Asia, it is easy to blame the subcontractors themselves for taking advantage of workers, and this may be the right way to look at it. However, Sukae… halfway through the document… explains that because multinationals can only be prosecuted in their home countries, this allowed Nike to escape prosecution. This, combined with little help from Nike and its supporters, has allowed Nike to expand its production line that abuses workers. It is strange to see such conditions repeating themselves after this was the norm in Britain 150 years ago, but perhaps it is the natural process of economies of scale. Works Cited Update on Nike and Michael Jordan. (2001). Social Policy 32(1), 33.Ballinger, J. (2001). Nike's voice looms large. Social Policy, 32(1), 34-37Kaed, C. (2008) Emerging human rights accountability issues in extractive and manufacturing industries: accountability patterns and risks. Journal of International Human Rights, 6(2), 327-353. Sukaesih, C. (2001). Indonesian workers organize themselves. Social policy, 32(1), 38-39.
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