Sanlu Milk Powder Event

Sanlu, a top China brand, used to have good reputation among customers.The company     manufactured  a variety of products which is made from milk,including milk powder.In 2008,the baby formula of Sanlu was reported to cause calculus of kidney,which is a all-know serious decease.It called the concern all over China immediately.The government took swift actions to investigate what happened and to settle the panic.It turned out that Sanlu company added melamine into their products,which is extremely harmful to people’s   physical health.It had been clearly clarified in law that any company is not allowed to add melamine into food. However,Sanlu company chose to take risks in oder to make more profit ,regardless of customers’ feeling .The company declared that all the associated products would be recalled,but it is way too late.The poisonous milk powder had caused the serious consequence that thousands of babies caught the decease .Sanlu company declared they went bankrupt after trying to establish a new company with their original brand.In addition , the stakeholders were charged according to the mistakes they made.As we can see,the greedy managers disobeyed business ethic and got the punishment they deserve.The scarcity of business ethic is absolutely the beginning of a company’s failure.