Nike manufactures literally nothing, except for commercials. Almost all of their products are manufactured by 'independent contractors' located offshore, typically in south-east Asia. Many of these contractors are located in tax havens, set up by various local governments to help bring in foreign capital. Unfortunately, manufacturers can play off one location against another, picking up shop and relocating quickly because they have little invested in the physical plant (e.g., limited hardware, apart from lightweight fabrication equipment, operated out of low-rent or rent-free facilities). Nike claims these manufacturers follow their corporate code of conduct, but this claim has been successfully challenged more than once. Nike spends more on advertising than their offshore employees receive in wages. That $200 MSRP pair of shoes might only cost $20 in materials, labour, and shipping, plus another $30 in advertising and promotion. The impact of these manufacturing zones on their nations' economies and populace is not always positive. I would refer you to the book "No Logo" by Naomi Klein for one evaluation of these economic processes.

YES Nike currently enjoys a 47% market share of the domestic footwear industry, with sales of $3.77 billion. Nike has been manufacturing throughout the Asian region for over twenty-five years. The majority of their output today is produced in factories in China, Indonesia, and Vietnam, but they also have other factories in Italy, the Philippines, Taiwan, and South Korea.

DUH!

Sweat shops in Asia.