Sustainable Development of Supply Chain in Footwear Industry – Take Nike as the Case

Abstract

Rapid growth in demand for designer shoes, rising per capita incomes in developed and developing economies, and the growing popularity of high-end customers and athletic shoes among men have led to a growing global demand for fashionable and comfortable footwear of all ages (FELTON, 2018). The market share of footwear industry has expanded rapidly which attracted more and more new entrants. However, the competition of shoe industry more incline to the competition of the supply chain, so, it is essential to maintain a certain competitiveness in terms of supply chain. Sustainable development is an emerging but important topic. Some processes of the supply chain of the sportswear industry have been accused of restricting its development, such as the use of polluting raw materials and sweatshops. Supply chain development should not only focus on the economic level, but also pay more attention to the environmental and social aspects of sustainable development. Therefore, this paper will take Nike, the most representative company in the footwear industry, as the analysis target to reflect the development of the supply chain of the footwear industry.

This paper will start with the general analysis of the footwear industry, followed by considering the industry change; then, analyse Nike’s core product – Nike Flyknit. Further, before making the conclusion, this paper will explore the impact of external factors, i.e. Nike’s cooperation with the US government and footwear related associations, on its supply chain development.