Business Background Research Report -To be or Not to be Ethical in Business?
Research Target: Sanlu Group
Student Name: Lin Li
Student Number: 3266036
Date: 18/4/2011
Executive Summary
Sanlu Group was one of the oldest and most popular brands of dairy product company in China, August 2008, the outbreak of melamine contaminated infant milk powder, a sharp decline in corporate reputation occurred. December 2008, Sanlu Group declared bankrupt by the court.
Although the shocked "Sanlu milk powder “incident has been settled, the milk powder incident has hazed to the Chinese people psychologically, and physically. The root causes of these problems, in addition to the interests of suppliers of raw materials smoked heart, should also be considered on a deeper level, business ethical.
Apart from unethical product processing, after the milk scandal happened, Sanlu Group also used unethical way tried to cover their mistake. It terms out a big business ethical issues in China.
In the case of avoiding the same thing happens again and protect the social peaceful, it is important to know what went wrong in the enterprise and how to put it right.
Contents
Introduction4
Business Ethical4
Background4
Methodology6
Introduction to the Methodology6
Data-collection Methods 7 Data Analyze Methods7
Results and Foundlings8
Introduction of Sanlu enterprise group 8
What is Melamine?9
Why is Melamine Have been Added in the Milk Powder?10
Sanlu Group Supply Chain 11
China dairy products processing chain problem 13
Who’s Fault16
How did They Face This Crisis18
Conclusion and Recommendation22
References24
Introduction 1. Business Ethical
Business social responsibility and ethical issue has been a major concert for many years. It breaks the rules and peace of the society. In order to earn more profit, some unethical business companies ignore morality and social responsibility, doing everything to make more money, which can cause
References: Ouyang Hai Yan 2011 ‘2010 to 2011 Consumers ' Food Security Truth Report ', Qiushi, Vol. 77.8, pp, 3-6. Tu Chonghang 2011, 'Sanlu Milk Scandal Review ',Jingjing Newspaper, 10 March 2011, p.3 Zhu Zhe 2008, 'Dairy goods ' exports see massive fall ', China Daily, 2 December, p.A5 World Health Organization 2008, ' Melamine and Cyanuric acid: Toxicity, Preliminary Risk Assessment and Guidance on Levels in Food ', 30 October 2008. China, 2008, 'Sanyuan to buy 7 Sanlu dairy plants’, China, Viewed 17 April 2011, <http://www.china.org.cn/business/2008-11/18/content_16786474.htm>. David Barboza 2009, 'Death Sentences in Chinese Milk Case ', New York Times, 22 January 2009. Xu Guming 2007, ' Dairy Farmers ' Can 't Take The Increasing Price of Feed to kill cow for sale '.China Economic Times, 15 August 2007. Wang Zhizhi 2009, China Dairy Analyze, 1th edn, Beijing University Press, Beijing. Tang Weijie 2008, ' Sanlu Group "Milk Powder Scandal ' causes by Lawless Dairy farmers ',China,Viewd 17 April 2011, <http://www.chinanews.com/gn/news/2008/09-12/1380588.shtml>. Lu Bing, Zuo Zhiying 2009, 'Sanlu, How the Evil Door open ' Nanfang Daily, 28 March 2009, p.7.