SOLUTION: MGMT 672 Student Advocacy and Sweatshop Labor Summary

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The Case of Russell Athletic

1
Introduction

This study incorporates decision making principles represented in the six steps of
decision-making framework by working on a case study, namely, the Russell Athletic case. The
case study involves the employees’ decision to pursue morally significant working circumstances
is both a statement of desire and an indication of self-sufficiency. The preferred argument aims
to shift the burden of evidence to those who want to regulate sweatshop labor. This is
accomplished by requiring critics of sweatshops to be explicit about the conditions under which
it is ethically permissible to interfere with the choice of employees in the sweatshops. This study
will show that admitting the veracity of the moral assumptions and economic conditions
presented by those who support the choice argument does not follow the question of meddling
with sweatshop employees.
To better understand the employees concerns in this case, it will be very important to first
understand what a sweatshop is and why the issue came about. Sweatshops are workplaces
where people work exceptionally long hours for extremely low salaries in deplorable, often
illegal, working conditions. They are not a pleasant place to work. Sweatshops manufacture a
wide range of goods, including clothing, toys, shoes, and furniture, which are exported and sold
on worldwide markets such as those in North America and Europe. Sweatshops produce the
majority of the world’s apparel, including many designer names.
On the other hand, some scholars have done amazing research over this topic and several
arguments have been published to help the world in better understanding sweatshops better. For
example, (Arnold, 2015) contend that multinational corporations have the following obligations
at their off-shore production facilities: to guarantee that local labor laws are observed; to refrain
from coercion; to fulfill basic safety requirements; and to pay employees a decent wage.

The Case of Russell Athletic

2
Recognizing decision requirement

Outsourcing is the commercial practice of engaging a third party to provide services or
generate commodities that were previously conducted in-house by the company’s own workers
and personnel. Outsourcing is a method that is commonly used by businesses to save money. As
a result, it has the potential to effect a wide range of tasks, from customer service to
manufacturing to the back office. Outsourcing is a very common practice, a lot of businesses
outsource for a number of reasons, especially in developing countries, outsourcing is practiced
for various reasons and some of them include: lack of specialists in that location, to bring change
agents. In the Russell Athletic case, the company outsource for various reasons, considering the
fact that operations were done in a third world country. They outsources for the following
reasons:
To increase company profits: Companies typically decide to outsource the production of
goods and services if they believe it would save them money and, as a result, improve their
profits. Companies may choose to outsource or offshore to a nation with reduced labor expenses.
While some may consider the loss of local jobs as a negative outcome of outsourcing, the higher
profits that might ensue are difficult for businesses to refuse.
Job distribution from developed to developing countries: Certain proponents of
outsourcing argue that while it is true that outsourcing to other countries (and offshore) results in
the loss of some U.S. employment, the advantages to less-developed countries exceed the costs
to affluent countries like the United States. Americans may disapprove, but they argue that
outsourcing may lead to greater pay and more employment prospects in the developing nations to
whom American companies outsource. Some exp…

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