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Coping with ‘Made in China’ Scandals

by on February 21, 2010

Coping with ‘Made in China’ Scandals-By Mark C. Goodman and LaRhonda Brown-Barrett

Global companies must ensure, in China and around the world, that their products meet safety and quality standards and that their brands are protected

http://www.businessweek.com/globalbiz/content/jun2009/gb20090629_450456.htm

I think the authors give one critical point is that multinational corporations have to consider brand risk when they are making money.  When companies only focus on making profits, they would not survive in this global business evnironment. Customers have become to care about not only prices, but also quilities. Especially when health-conscious became more popular. In addition, in the article, the authors also provide some useful solutions for coping with the relevant problems. Good to know.

Meng-Chi Lee

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From → Good to Know

4 Comments
  1. It is quite upset me that most of goods here are made in China. And I never saw these American goods in Chinese market. Because the labors expense in China could be way cheaper than in USA, choosing Chinese workers in manufacture might the best way to cut down the budget in products making. However, the quality and safety standards of goods made in China are questionable. I think these Chinese workers should be properly trained to ensure the brand wouldn’t be jeopardized.

  2. Even I was shocked by the eyeful “Made in China” tags when I first shopped in America. It is a somewhat ridiculous that you finally find a dreamy present of some big American brand to send back to China after one day’s exhausting hunting, but with a tag of “Made in China”. To the quality problem of product made in China, I strongly agree with Mark and LaRhonda about their first suggestion-Giving back, give more charitable donations and goodwill to the product host country. Why do quality problems exist? Why can ensure workers who are struggling for the dressing warmly and having enough food work intensively and concentratively with a unimaginable low pay? By selling the product tens of times even hundreds of time at the manufacturing cost, big companies should share a tiny piece of cake from their overwhelming profit to product host countries in the purpose of assuring their brand’s quality.

  3. In today’s world, many companies move their production part to China in order to reduce their manufacture costs. However, the quality becomes the biggest issue. I think this question relates to the relationship between outsourcer and outsourcing company. Actually, I and Meng-Chi are doing the case study about dealing problems with China outsourcing firm. I think the responses from executives will be helpful to solve this issue.

  4. Nice article and great comments!

    On the contrary and in support to the above, it was interesting to know how India is banning some of China’s products. This started happening last year, but they are still continuing to ban some of the products.

    http://timesofindia.indiatimes.com/india/Govt-bans-import-of-Chinese-mobiles-dairy-products-toys/articleshow/4668458.cms

    Some of the article reads – “The DGFT (Directorate-General of Foreign Trade ) also banned till January 2010 the import of toys that do not meet international safety standards and norms.
    The ban, however, will not be applicable to toys that come with a certificate from laboratories accredited to the International Laboratory Accreditation Cooperation (ILAC).”

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