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China Business » Information » Recall of Chinese Made Products Recall of Chinese Made ProductsConsidering a great amount of recall of products made in other countries, one wonders what the companies which outsource their products to overseas companies should do about it. Should the blame be put solely on the manufacturers, or should the western companies whose products are made overseas be found negligent? Either option is insufficient to make consumers feel secure in buying the products made overseas.Products of many types have been found unacceptable for selling to consumers in the more affluent countries. These people have learned to question the quality of materials that they buy with their hard-earned cash. Such people now often read the labels of foods on the supermarket shelves. They inspect toys for parts which could easily be removed by children and swallowed. They look for flame-retardant clothing for their babies. They notice labels which tell that a product was made in another country.  Many people buy products which were produced by outsourcing in a third world country because of the lower costs. The consumers are beginning to wonder if the lower cost is worth the risks involved. If the quality of merchandise is steadily diminishing, will the useful life of the product also diminish? How about the governments of the companies involved? Should they interfere in private business deals between a company in their country and a company in another country? One of the problem areas in low-quality outsourced products is in China. It appears that some manufacturing sections of China are not under anyone's control. China now encourages capitalism, but it does not always seem adept at enforcing any production standards in the country. If the Chinese government is lax about enforcing standards, what should companies do about the products that are made at lower standards than their buyers will accept? Options seem to include choosing other countries in which to find outsourcing manufacturers. Another option is to increase the prices of their products and have the manufacturing done in their home country. Another rational option is for a company to send representatives to the overseas production site to monitor production, especially the quality control of the end products. With a company representative watching, the overseas manufacturer is less likely to try to cut costs by cutting quality. Recalls are negatives to the company who had the products made by an outsourcer. They are also negatives to the overseas manufacturing companies. The manufacturer will be asked to make his work right, to compensate the hiring company for products which had to be recalled. If he does not make it right, he may well find that his services will not be used any longer. The third party which will find the recall of products a negative is the country in which the poor quality products are manufactured, whether is it China or any other country which makes considerable profit from its outsourcing endeavours. Written on: 25th September 2007 Written by: R. Harris |
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