MNGT 221 Case Analysis Assignment 2 
Business Law, Ethics, Sustainability and the Treaty of Waitangi
MNGT221-14(HAM)
Assignment: Case Analysis
Tutorial Time: 4pm Wednesday Tutor: Andrea
Student Name: Weijiu WANG
ID Number: 1207109 Word Count: 2000
Introduction:
Fonterra botulism scare event were disclosed on 3 August 2013, the Ministry for Primary Industries of New Zealand announced a recall sold products by Fonterra. Due to the contamination products were sold to third party manufacturers, they mixed it with other ingredients into produce infant formula, protein drinks, sports drinks, and other beverages, the huge quantity of products about 1,000 tons were been recalled by Fonterra at the time. But based on the result of further testing in the past couple weeks, Fonterra claimed that the bacteria doesn't influence people's health, and the crisis was a false alarm. Since the botulism scare, Fonterra's reputation has damaged rapidly, furthermore, which has influenced export of the whole formula industry, special in market of China. Due to the botulism scare event of Fonterra, 'loyal Chinese consumers of NZ is suddenly being questioned for the 100 percent pure products in the formula industry, and Chinese consumers are many confusion and upset about the quality and trust of Fonterra, survey result showed that over 70 percent of over 43,000 Chinese consumers said they would not consider buy the affected products after this incident' (Dong, 2013). Base on the botulism scare event, a series of actions were been made by these relation parties, which include New Zealand government, Fonterra, China government and Chinese customers. After the events was been disclosed how Fonterra to deal with the events, the organization's ethical issues is keep organization benefits or keep organization's trust. The China government's ethical issues protect consumers' benefits or help domestic organization development. Final, the
MNGT221-14(HAM)
Assignment: Case Analysis
Tutorial Time: 4pm Wednesday Tutor: Andrea
Student Name: Weijiu WANG
ID Number: 1207109 Word Count: 2000
Introduction:
Fonterra botulism scare event were disclosed on 3 August 2013, the Ministry for Primary Industries of New Zealand announced a recall sold products by Fonterra. Due to the contamination products were sold to third party manufacturers, they mixed it with other ingredients into produce infant formula, protein drinks, sports drinks, and other beverages, the huge quantity of products about 1,000 tons were been recalled by Fonterra at the time. But based on the result of further testing in the past couple weeks, Fonterra claimed that the bacteria doesn't influence people's health, and the crisis was a false alarm. Since the botulism scare, Fonterra's reputation has damaged rapidly, furthermore, which has influenced export of the whole formula industry, special in market of China. Due to the botulism scare event of Fonterra, 'loyal Chinese consumers of NZ is suddenly being questioned for the 100 percent pure products in the formula industry, and Chinese consumers are many confusion and upset about the quality and trust of Fonterra, survey result showed that over 70 percent of over 43,000 Chinese consumers said they would not consider buy the affected products after this incident' (Dong, 2013). Base on the botulism scare event, a series of actions were been made by these relation parties, which include New Zealand government, Fonterra, China government and Chinese customers. After the events was been disclosed how Fonterra to deal with the events, the organization's ethical issues is keep organization benefits or keep organization's trust. The China government's ethical issues protect consumers' benefits or help domestic organization development. Final, the