In 2008, six babies died and many babies got sick because of Sanlu poisonous milk powder. At that time, Theo Spierings, the executive of Fonterra, a New Zealand milk powder firm, said “PARENTS have the right to know that infant nutrition and other dairy products are harmless and safe”. However, in 2013, this company announced that they found clostridium in their milk powder. Their products have already exported to the whole world and most entered Chinese market. Since China accounted for one-tenth of Fonterra’s total revenue, Mr. Spierings came to Beijing and said no bady will be in risk in order to maintain consumer confidence.

Business integrity is one components of business ethic. Fonterra made a promise but did not keep it shows that Fonterra do not have the awareness of business ethic. Also, as a company that produces food, food safety is the most important thing they should consider. After similar things happen to other company, they still allow this serious problem to occur shows that they do not care much about consumers’ health. Fonterra does not show their social responsibility, their business ethic. Even after the event happened, the thing they care most is consumer confidence but not how to insure consumers’ safety.

To Fonterra, social responsibility is not about how much tax it paid, but about the safety of consumers.

http://www.economist.com/news/china/21583313-now-foreign-milk-powder-producer-has-say-sorry-spilt-milk