Food Fights, More Toy Recalls, and Guanxi

Sunday, August 19, 2007 21:04
Posted in category Uncategorized

Food Fights (subscription required) by James Rice
An Op-ed piece in the Wall Street journal, James Rice (head of Tyson Foods China) addresses a nunmber of core issues related to the recent tit-for-tat product recalls between the U.S. and China. The message that readers need to take away from this is that these disputes have become poltical, and that is dangerous. That instead of politicans getting involved an inflaming the issues, cool heads need to look at each case

Toy Story (part II): Mattel Recalls Again–and Apologizes… and “We knew about the situation” from the China Blog at Time addresses in detail the second Mattel recall earlier this week. Coming not from Mattel itself, but from the Consumer Products Safety commission, this recall once again rocked consumer’s confidence in China’s brand. Where most coverage has failed to date is to show that the magnets themselves were designed by Mattel, and their failure was not of the supplier, but of Mattel. While I give credit to MAttel for coming right out and taking the hit, as well as moving before the majority of produts hit theshelves, I am still waiting for the other shoe to drop. After all, Mattel has been the most proactive in the industry, and no doubt there are others who have not been so proactive in the QC.

Part 1: The Half-life of Guanxi, Part 2: Guanxi Near-Death Experiences, Part 3: Guanxi: An Environmental Hazard, The Half-Life of Guanxi: Managing Relationships of Obligation with Chinese (Part 4), and The Half-Life of Guanxi: Managing Relationships of Obligation with Chinese (Part 5) is an excellent series on Guanxi in China. Often a disputed topic, Guangxi is a topic that many discuss in China, some say guanxi is the key to success while others say real success comes without guanxi. In my view, relationships in China are very important, but are only one of the factors. Bill does a great job through his series and I highly suggest reading these articles to learn more about the inner workings of Guanxi

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2 Responses to “Food Fights, More Toy Recalls, and Guanxi”

  1. Christian says:

    August 26th, 2007 at 2:42 pm

    Even vomit from China was voluntarily withdrawn from the European market – see the No. 19 on week 33’s “Rapid Alert System for Non-Food Products (RAPEX)” list at http://ec.europa.eu/consumers/dyna/rapex/create_rapex.cfm?rx_id=146 (“Vomit-like blot of plastic, 8-12 cm in diameter” which “poses a chemical risk as it contains 0,47 % by weight of di-“isononyl” phthalate (DINP)”. This looks like a bizarre statement…

  2. Rich says:

    August 29th, 2007 at 6:14 am

    Christian,

    Thanks for bringing that to our attention… the though of fake puke makes me wanna puke. What’s next…. Fake dog poo?

    Oh, Where will it end…