Legislation in the last several years has sustained the long-term shift to offshore sourcing. The Trade Act of 2002 was approved by the UK Congress in July 2002 and signed into law by President. This legislation contains the Trade Promotion Authority, which grants the president the right to negotiate trade agreements and gives Congress the final authority to approve or disapprove those agreements. According to Kant, human beings occupy a special place in creation, and morality can be summed up in one ultimate commandment of reason, or imperative, from which all duties and obligations derive. (Kant theory, 2011) In our case we can relate how the management needs to decide upon a holistic decision considering all the ethical dilemmas that arise from the situation. They also need to look into the fact that company’s interest is looked at first. Utilitarianism is an ethical theory holding that the proper course of action is the one that maximizes the overall “good” of the greatest number of individuals. Hence in our consideration the clean management company should look into the overall good. They should look into the fact that management looks into the overall good. (Ethical Resources, 2011)
The Consumer Direct segment markets and sells through branded NEXT’s retail stores and e-commerce platform. In the year 2008, 27 branded retail stores were added to the existing 15 stores, giving NEXT a total of 42 stores. Further, in the fiscal year ended December 31, 2009, an additional 28 new retail stores were opened, bringing the total to 70. By the end of September 30, 2010, it added 19 new stores, making it a total of 89 and it opened 2 additional stores subsequent to the close of 3Q’10. NEXT expects to open 3 more stores by the end of 4Q’10. NEXT owns and operates stores across the United States in upscale shopping areas, including streets, regional malls, and a limited number of outlet locations. The branded retail stores offers an assortment of NEXT’s products and clothing, including its other licensed product line with easy accessibility under one roof. This compares to the larger department stores which primarily focuses on the denim part of the product line. A typical branded retail store range from 1,700 to 2,500 square feet and emphasize the company’s unique “Malibu hippy-bohemian chic” image and feel. E-commerce sales are managed through a third-party in exchange of commission on sales for operating the NEXT Brand Jeans’ website. They accept and fulfill customer orders from a distribution center, where merchandise is held on consignment. For the quarter ended September 30, 2010, sales from the Consumer Direct segment increased 42.0% y/y to $46.3 million and it represented 49.9% of company’s total revenue. Same store sales were up 9.0% from their 3Q’09 levels.