Aug 2, 2007

COVER STORY

"Over 99 percent of China's export products are good and safe," Commerce Minister Bo Xilai said in Beijing on Wednesday, according to the ministry Web site.

Let’s say that since China's entry into the World Trade Organization (WTO), that China exports
1 Billion products just to the USA.
These billion products range from live fish, to toothpaste, pet food, cough syrup, Christmas trees and Fisher-Price and Thomas the Tank Engine toys.

So if 1% of 1 Billion products are NOT good and safe, you’re talking about 10,000,000 million items! That's 10 million items!!! And I'm sure China sells us more than a billion products. Have you been to a Wal Mart or a Target lately?

"Multinationals will be more cautious, re-evaluating the cost of doing business in China, but no, they will not quit China." Says a consultant in the link to the Yahoo story.

Sure, but what about the consumer? Will the consumer think twice about handing their child – their baby – another lead based Sesame Street toy? If you have a kid, or ever been around a baby, you know that EVERYTHING will be in their mouth. Car keys, my TiVo remote, The Eli Manning Tackle Me Elmo Doll... everything.

Mattel estimates the recall will cost them $30 million. That's the physical recall. This does not take into account the intangible cost of lost marketplace TRUST. And how about the lawsuits?

When the lawsuits start flying, as this IS the American Way, what's it really going to cost? The mom's of the USA will take retribution in the form of gigantic payouts for their stress from this horrible mistrust in the people selling lead paint BABY toys. If you think killing kitties and doggies was going to cost you...

And the defense of ‘we didn’t know’ isn’t going to hold up in any court. The US consumers will take the American importer/exporter and mark holders accountable. And when it hurts their bottom line, the stockholders will begin to question if cheep labor and shoddy products are worth the risks.

That’s when things will change… and move to India.

BTW, all the products listed above, with the exception of the Christmas trees, have been recalled due to DEATH or excessive LEAD.

For the full list of the Fisher-Price toys in the recall *(which was NOT easy to find or navigate to you sonsabiches! You dinks in PR and web design better take note!) LINK here

No comments: