Analysis of Environmental Factors
Political and Legal
Government of Malaysia have always support foreign investment and businesses to grow in Malaysia and therefore they has never impose any political pressure on foreign organizations. In order for Kellogg’s to operate in Malaysia, they have to obey the requirements, regulations and a number of tariffs which includes the laws of food and nutrition policies passes out by the government of Malaysia and constantly provide good quality to the consumer. Product Safety and Quality
Kellogg’s have to ensure that they produce their products according to the principal food law of Malaysia which is the Food Act 1983 and the Food Regulations 1985, which are developed and amended by the Food Safety and Quality Division (FSQD) of the Malaysian Ministry of Health (MoH), which protect the public against health hazards and fraud in the preparation, sale and consume of food. Recently, he Health Ministry has ordered to recall products imported from Taiwan suspected to be contaminated with Di (2-ethylhexyl) phthalate (DEHP), a product used in making plastic. The quality standard is implemented to ensure Kellogg's does not sell products that are intentionally or unintentionally harmful to consumers. To meet these high standards, Kellogg’s and many of their suppliers have implemented extensive use of total quality methods. The personnel of Kellogg’s Quality Assurance even regularly visit suppliers’ plants to ensure that the raw materials supplies supplied meet the requirements of Kellogg’s and that they follow the proper sanitation procedures set by Kellogg’s. Kellogg’s also expect their suppliers to provide them with high-quality products and ingredients that meet the quality and food safety standards and to ensure that they have implement food safety and quality management systems. Raw materials, processing, and packaging operations are continually checked to assure the production of cereal with consistent flavor, texture,...
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