Adidas to make 1 trainers
The move from the company more usually associated with expensive footwear and celebrity sponsorship was inspired by Bangladesh's Nobel prize winner, Muhammad Yunus, the pioneer of micro-loans which help the poor start their own businesses. He told the company, which has been criticised for exploitation in the developing world, that Bangladesh needed "social businesses" which would create jobs in the country.
The company has now agreed it will produce shoes in Bangladesh on a non-profit basis, although a spokesman stressed the final price may be higher than the 1 (89p) target.
The move marks a change of heart for the company, which has been associated with big money sponsorship deals and luxury brand prices. Adidas pays former England football captain David Beckham £3 million per year as a brand ambassador and to use his name to promote their Predator football boots, which sell for £130 a pair. It spent a reported £50 million to sponsor the Beijing Olympics last year and has pledged a further £100 million for the London Olympics in 2012.
Last year the company was widely criticised for the amount it allegedly pays workers at its Chinese factories.
Like other sports companies accused of exploitation in the developing world, Adidas is keen to improve its image and reputation for social responsibility. In Bangladesh every little will help. Its garment workers are the poorest paid in the world and per capita income is less than £830 per year.
Jan Runau, an Adidas spokesman, confirmed an agreement had been signed to begin production of the shoes in Bangladesh next year but said the project was at an early stage. It had not yet been decided whether the shoes would carry the Adidas brand or its trademark three stripes design. "It is correct that Adidas Group in conjunction with Muhammad Yunus aims to put such shoes on the market," he said.
Key decisions on design and branding have yet to be finalised, he said.
http://www.telegraph.co.uk/fashion/fashionnews/6582807/Adidas-to-make-1-trainers.html
