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IGCSE 3.1 Transnational Corporation - Nike

Total questions: 10

Worksheet time: 6mins

Name
Class
Date
1.

How many people does Nike employ worldwide directly and indirectly?

a)

25,000 directly, 1,000,000 indirectly.

b)

1,000,000 directly, 25,000 indirectly.

c)

35,000 directly, 1.5 million indirectly

d)

10,000 directly, 1,000,000 indirectly

2.

What was the total Nike profit in 2012?

a)

1.9 billion

b)

1.4 billion

c)

1.6 billion

d)

2 billion

3.

Where is the Nike headquarters?

a)

New York

b)

San Fransisco

c)

L.A.

d)

Oregon

4.

How much a year does Nike spend on advertising?

a)

$9 million

b)

$7 million

c)

$8.5 million

d)

$10 million

5.

Where are the majority of Nike shops?

a)

Europe, North America and Asia

b)

Europe, North America and Africa

c)

Europe, Africa and Asia

d)

Europe, North America and South America

6.

Where does the bulk of Nike manufacturing take place?

a)

40 countries worldwide – clothing comes from Southern Asia and footwear from China, Indonesia, Vietnam Thailand.

b)

40 countries worldwide – clothing comes from Europe and footwear from China, Indonesia, Vietnam Thailand.

c)

40 countries worldwide – clothing comes from Asia-Pacific region and footwear from India, Laos, Vietnam ,Thailand.

d)

40 countries worldwide – clothing comes from Asia-Pacific region and footwear from China, Indonesia, Vietnam Thailand.

7.

Which of the following are reasons why the bulk of Nike's manufacturing takes place in LEDCs/LICs.

a)

Minimum wage for workers is lower, so greater profit is made by reducing costs.

b)

Factories can be subcontracted (there is no need for Nike to build its own factories)

c)

Better access to skilled workers, with higher level of education.

d)

There is less likelihood of industrial action (e.g. workers going on strike for better wages).

8.

What is the minimum wage in Vietnam?

a)

$1.50

b)

$2.50

c)

$1

d)

$6

9.

Which of the following are benefits that Nike brings to LEDCs/LICs?

a)

Provides jobs and plays a role in the development of that countries economy

b)

May provide healthcare benefits for workers

c)

May attract other TNC's to set up in the area

d)

Decreases exports, which increases GDP

10.

State 3 problems Nike create in LEDCs/LICs?

a)

Can cause pollution of local water systems as result of production processes.

b)

Pays very low wages to factory workers and could be said to be exploitative.

c)

Workers often have lots of rights and cannot be sacked easily.

d)

Sweatshops can develop, where workers are crowded, confined or forced to work long and unreasonable hours for low pay.