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Swot Analysis Of Sanlu

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1.Introduction
Shijiazhuang Sanlu Group Co., Ltd. (hereinafter referred to Sanlu Group), located in Shijiazhuang, Hebei China, was setup in February 16, 1956 as the former "happiness dairy production cooperatives". The company began as Shijiazhuang Dairy Company (SDC). After several acquisitions in 1995, Sanlu Group was formed in 1996. Sanlu became Shijiazhuang 's largest taxpayer since it had become the largest formula seller in China for a continuous 15-year period.

In December 2005, Sanlu group entered into a joint venture agreement with the New Zealand dairy cooperative Fonterra. Fonterra took a 43% equity stake in the Sanlu by injecting RMB864 million. The joint venture company was listed on the stock exchange of Shanghai and started …show more content…

In Kant’s ethics “good will” refer to doing the right things is the right thing to do irrespective of consequence. SanLu milk powder was contaminated with the toxic chemical melamine, which is cheap in price and contained highly protein that could cause kidney stones or acute renal failure. The company is not doing a good will, the milk powder are harmful to the babies. To earn more profit the producers reduce the produce cost and reduce the production materials. They added the melamine which increases in protein level and is a kind of chemical materials. Sanlu’s vice-president apologized to the public after two babies who had consumed Sanlu’s tainted milk power died of kidney failure. Although the Chinese government was able to stop the further spread of the contamination, this action should not be acceptable for everyone. Humanity as an end, as merely a means is referring to disregard for humanity. According to the theory, between the morally and interest the company will care about their economic growth usually amoral like …show more content…

This causes Sanlu problem, because they do not think of business ethic and just for self-interest. The company spend a huge amount of money 9 billion RMB to compensate to the victim and customers. The influence of society stops the SanLu to import to the foreign country. Utilitarianism is to take actions that produce greatest good for the majority even if minority is not happy with the result of the action. There are many other quality problems in china as well. To ensure the majority of people safety and comfortable to use domestic dairy product, the government will solve the entire dairy contain chemical melamine. The government hopes that the problems can solved and make it become better for the

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