Levi Strauss Company is undergoing a contradiction situation that is leading to the decision to close down its South Zarzamora Street plant. Given the fact that the company is dealing off economic efficiency implies that the prices of its stock are affected therefore ending up in the solution to close down some of its manufacturing plants ( Mutuku, 2018) . However, the idea of closing down its production plants like the one of South Zarzamora Street Plant is facing criticism because it appears unethical. This paper aims at analyzing some of the pros and cons of this decision.
The advantage that is evident in this decision by Levi Strauss to close its manufacturing plant of South Street Zarzamora Street Plant is that it will benefit the company and it is likely to make more profit when it moves the plant to overseas or another location that appears to be cheaper to invest. Additionally, the company could experience losses by having the plant still operational, and they may not be able to make a profit for some time, and it is necessary to make profits to uphold the company repute and brand image. On the other hand, the decision of Levi Strauss to close its South Zarzamora Street Plant is of a disadvantage to the members of the society who depended on it as a source of employment and daily income ( Mutuku, 2018) . This implies that as much as the decision may not appear a sound business decision, it is equally not a recommendable decision that depicts social responsibility.
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The company has been anticipated on moral reasoning to have the plant of South Zarzamora to keep working because having it shut down is clear evidence that most of the employees will remain jobless. However, the company has based their argument on profit matters and how it can make more profit as compared to how the aftermath of closing the plant to its workers.
References
Jackson, S.E. & Schuler, Randall S. (2005). “Levi Strauss & Company Case Study .”
Managing Human Resources Through Strategic Partnerships. 9 th Edition. pp.75.
Mutuku, C. (2018). Global Outsourcing of Jobs. Pros and Cons . GRIN Verlag.
