Read 2 Article and Anwser the Questions Essay Example | Topics and Well Written Essays - 750 words

Read 2 Article and Anwser the Questions - Essay Example hand, and to be totally transparent about the firm’s activities and efforts towards addressing identified problems In the article, Nike has been proactive in ferreting out related problems and taking it upon itself to make use of its huge leverage against its shoe suppliers, to essentially force suppliers and subcontractors to play nice with their workers in the factories, for instance. In the case of Gap, even as the garments industry operates on a different dynamic, adhering to the standards set by the SA 800, and working closely with the auditors and being in touch constantly with the general public ought to help make their products more acceptable to society in general (Smith, Ansett and Erez). 2. Working with the auditors and being transparent to the public about the problems and initiatives relating to the sweat shops and the general work conditions among the suppliers and subcontractors are steps in the right direction. As the case suggests, the negative coverage has adverse impacts on brands, and consequently on revenues. Further to this, global firms have to put more resources aimed at genuine reform, and towards engaging its customers and other major stakeholders earnestly. At present the companies can make use of social media to reach out in a personal way to consumers and the general public (Smith, Ansett and Erez). 3. Where companies totally avoid sweat shops, the impacts are tied to higher costs from giving workers higher pay and providing genuinely for their welfare. In industries where companies compete on cost, the impacts of shunning sweatshops and the attendant rise in costs due to that may be substantial, and may imperil the future prospects of many firms, but the alternatives are mainly in the areas of losing customers due to poor work conditions and the heightened scrutiny of media and other concerned parties about those, leading to probable loss of customers and dwindling revenues and profits in the long run (Smith, Ansett and