Nike's Globalization

Nike's Globalization - The Promise and Perils of...

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The Promise and Perils of Globalization: The Case of Nike Richard M. Locke MIT-IPC-02-007 July 2002
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The Promise and Perils of Globalization: The Case of Nike Richard M. Locke MIT Working Paper IPC-02-007 July 2002 Through a case study of Nike, Inc. – a company that has come to symbolize both the benefits and the risks inherent in globalization – this paper examines the various difficulties and complexities the companies face as they seek to balance both company performance and good corporate citizenship in today’s global economy.
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The views expressed herein are the author’s responsibility and do not necessarily reflect those of the MIT Industrial Performance Center or the Massachusetts Institute of Technology.
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1 INDUSTRIAL PERFORMANCE CENTER Massachusetts Institute of Technology Cambridge, MA 02139 The Promise and Perils of Globalization: The Case of Nike 1 Richard M. Locke Alvin J. Siteman Professor of Entrepreneurship and Political Science MIT MIT IPC Working Paper 02-008 z The views expressed herein are the author’s responsibility and do not necessary reflect those of the MIT Industrial Performance Center or the Massachusetts Institute of Technology. 1 This case was prepared for the Sloan School of Management’s 50 th Anniversary celebration and should be read in conjunction with “A Note on Corporate Citizenship.” This case was prepared with the active involvement and research assistance of the following Sloan MBA students: Vanessa Chammah, Brian Curtis, Elizabeth Fosnight, Archana Kalegaonkar, and Adnan Qadir. I would also like to thank Miguel Alexander, Maria Eitel , Dusty Kidd, Joeph Tomasselli, and Dara O’Rourke for their helpful comments and assistance during this project.
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2 1. Introduction How should global corporations behave in the new international world order? What constitutes good corporate citizenship in a world where the stakeholders are diverse and dispersed around the globe and where no clear or consensual rules and standards exist? These questions shape the behavior of most multinational corporations (MNCs) today. Although multinationals are eager to pursue the opportunities of increased global integration, they are increasingly aware of the reactions which their strategies induce – both at home and abroad. Thus, they tread warily, lacking clear and agreed-upon definitions of good corporate citizenship. Through a case study of Nike, Inc. – a company that has come to symbolize both the benefits and the risks inherent in globalization – this paper examines the various difficulties and complexities companies face as they seek to balance both company performance and good corporate citizenship in today’s global world. 1.
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This note was uploaded on 01/22/2011 for the course CPS 4215 taught by Professor Molloy during the Spring '10 term at Northeastern.

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Nike's Globalization - The Promise and Perils of...

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