NKE
🌍 Common perception: Nike exploits workers in developing countries by paying low wages.
💰 Counterargument: Nike pays approximately double the local wages in poor countries.
💼 These jobs are often highly sought after, reflecting limited local alternatives.
⚖️ Productivity differences between developed and developing countries justify wage disparities.
@adriarivero:
“Imagine Nike. The common perception is that Nike should pay a salary comparable to that of the United States, and that the gap between 0 dollars an hour and 8 dollars an hour is too large. However, this ignores the difference in productivity between workers in developed and developing countries. A worker with a productivity of $2 an hour could end up causing losses if we pay them $10. Many people say that these are forced labor jobs because these workers don’t have a better alternative, but according to Sowell, these jobs can be very in demand, reflecting the unfortunate reality that there are no better local alternatives than working for a multinational corporation. Multinational corporations pay approximately double the local wages in poor countries. A job paying $2 an hour in a factory can be much better than a job paying $1 an hour in worse conditions.”
Watch the exact part of the video where Adria Rivero talks about Nike here:
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Read more articles featuring the most recent analysis of Nike (NKE) at this link: NKE stock.
