The CSR Newsletters are a freely-available resource generated as a dynamic complement to the textbook, Strategic Corporate Social Responsibility: Sustainable Value Creation.

To sign-up to receive the CSR Newsletters regularly during the fall and spring academic semesters, e-mail author David Chandler at david.chandler@ucdenver.edu.

Friday, February 22, 2008

Strategic CSR - Nike

The article in the url below demonstrates again the extent to which Nike has re-dedicated its supply chain to focus on issues of social responsibility (Issues: Cultural Conflict, p160). During the NBA’s All-Star Game last weekend, Nike unveiled a new shoe that, it is claimed:

“… represents a systemic shake-up of the company that is supposed to result in manufacturing operations that are both carbon neutral and cheaper. … what really distinguishes the shoe from its predecessors: the near absence of chemical-based glues and an outsole made of recycled material.”

While appealing to those who are concerned with the firm’s carbon footprint, in launching the new shoe, Nike’s CEO (Mark Parker) made it clear that it represents the cornerstone of an effort by the firm to minimize costs and increase efficiency:

“The elaborately stitched Air Jordan XX3 is part of Nike's "Considered" program -- a broad plan to reduce greenhouse gases and trim factory inefficiency by making cleaner, more sustainable designs in Nike's own labs. … All footwear is scheduled to meet baseline requirements for the new program by 2011.”

The newest Air Jordan was released together with another shoe, made for Steve Nash of the Phoenix Suns, which takes the definition of recycling to another level in shoe manufacturing and, as such, is perceived as a risk for Nike in appealing to its core consumers:

“… young athletes looking to jump higher, land softly and most importantly look cool. How that consumer will respond to "green" products remains unclear. Equally dicey is a new Nike basketball shoe made largely from manufacturing waste. The so-called Nike Trash Talk features an upper portion made from leather salvaged from the Chinese factory where the shoe was made and attached to a sole molded out of reground material from other shoes.”

Have a good weekend.
Dave

Bill Werther & David Chandler
Strategic Corporate Social Responsibility
© Sage Publications, 2006
http://www.sagepub.com/Werther

New Nike Sneaker Targets Jocks, Greens, Wall Street
By Nicholas Casey
1095 words
15 February 2008
The Wall Street Journal
B1
http://online.wsj.com/article/SB120303911940170393.html