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And licenses some athletic and casual footwear under the converse, all star, shuck Taylor, star chevron, one star as well as jack Purcell trademarks. Other owned subsidiaries like Umbro and Hurley designs and supply products using their own trade marks under the umbrella of Nike thus giving maximum profits to the company due to their diversities.This company designs almost all sport materials and has customers throughout the world. They sell their products in wholesale as well as to their retailors. However, they have a right to sell their products directly to the consumers at the ground level without any interference. The subsidiaries like Umro which are full owned by this company design and sell products on behave of NIKE.Nike as one of the big companies in the world that designs develop market and supply sport products has managed to accumulate a lot of profits for a very long time. However, it has also been subjected to a lot of challenges. The world is the world of competition and each and every company has its competitor which is very heath in business. Nike has many competitors that produce and sell the same products just like Nike (Hill, 2009). Their major competitors are Adidas and Puma which produces and sell sport materials world wide. Apart from competition as one of the challenges, there are other challenges and problems faced by this company. These include; legal, cultural and ethical challenges that Nike faces in the global business.Any big company like Nike experiences a lot of challenges when they establish anew market in a foreign country. In most cases, some of the main issues of concern include the child labor laws, outsourcing effects on sales and wages. Each country has its own cod of conduct and this has been one of the challenges that Nike has faced for example they were sued in USA because of sweatshop which was unethical in the country. This company has also been termed globally that it is exhaustive and that it subjects their workers in a poor working conditions paying them very low wedges (Hill, 2009). The global protesters of human rights criticized Nike for taking advantage of the workers and putting them in a very poor working environment.Moreover, other ethical issues arose when research indicated that the workers who had some breathing and respiratory problems were not transferred to other better departments. There were other claims that the workers who worked in departments that dealt with dangerous chemicals
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