Managing Product Safety of Imported Chinese Goods Harvard Case Solution & Analysis

While recent recalls and panics have focused greatly on Chinese manufactured toys and foodstuffs, the issue of product safety extends to a wide assortment of Chinese-produced goods. The supply chain in China is defined by cost pressures and quality fade, multiple degrees of outsourcing generally involving small producers, a large number of counterfeit goods, Chinese cleverness at evading discovery, and inferior product security surveillance by both the Chinese and U.S. authorities. While a few of these characteristics are present in other developing markets, few states-save China-face all of these dilemmas.

Managing Product Safety of Imported Chinese Goods Case Study Solution

To finest counteract these powers, firms which outsource goods from China need a well defined strategy to enhance product security. This strategy should encompass the practices of developing an organizational unit responsible for product security, securing greater control over raw material sourcing in China, using extreme caution in choosing Chinese subcontractors, running continuous product testing by manifold parties, being particularly alert for counterfeits, and enhancing product traceability. Toward the end of ensuring items which meet quality standards, product security auditing permits firms to evaluate their management of product security of Chinese-made goods.

PUBLICATION DATE: January 15, 2010 PRODUCT #: BH367-HCB-ENG

This is just an excerpt. This case is about GLOBAL BUSINESS

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