Last month, a food scandal erupted in Taiwan regarding cooking oil from the company Wei Chuan Foods Corporations. Employees of the company were caught adding coloring copper chlorophyllin and scent extracts to make cheaper oils seem more expensive to boost revenue and profit. 21 types of oils were tainted with metal and many bottles were recalled and taken off shelves at various markets. The owner of the company issued a public apology regarding the safety and authenticity of its products and also promised a 1.69 billion dollar (NT) subsidy to all who have bought these oils.
Being from Taiwan, this issue is disgraceful as it is the second case in recent years regarding the business ethics of companies substituting parts of food products with a cheaper “poisonous” alternative to boost profit. The decisions these companies have made to increase their profits have caused harm to many of its consumers and have made Taiwan’s food industry and regulations seem unreliable. This issue is relatable to management, marketing and accounting. Management needs to align its ethics, marketing needs to take care of publicity regarding this scandal, and accounting needs to work out costs with profit and subsidy.
http://focustaiwan.tw/news/asoc/201310230013.aspx
http://www.channelnewsasia.com/news/asiapacific/master-kong-owner/875162.html