...China’s Tainted Baby Milk Powder: Rumored Control of Online News On July 16, 2008, it was announced that several Chinese producers of baby milk powder had been adding melamine, a chemical usually used in countertops, to increase the “richness” of their milk powder and to increase the protein count. Shockingly, the melamine-tainted milk powder was responsible for the deaths of four infants and the sickening of more than 6,200 more.1 Milk manufacturers had been using melamine as a low-cost way of “enriching” their product in both taste and protein count. Melamine, a toxic chemical that makes countertops very durable, damages kidneys. 2 This fact came to world attention on March 16, 2007, when Menu Foods of Streetsville, Ontario, Canada, recalled dog and cat foods that it had mixed in Canadafrom Chinese ingredients that were found to include melamine.3 Very quickly thereafter,pet owners claims and class action lawsuits threatened to put the company into bankruptcy until settlements were worked out.4 A subsequent investigation by the U.S. Food and Drug Administration (FDA) led to the recall of pet food by major manufacturers, including Del Monte, Nestle Purina, Menu Foods, and many others.5 On February 6,2008, “the FDA announced that that two Chinese nationals and the businesses they operate, along with a U.S. company and its president and chief executive offi cer, were indicted by a federal grand jury for their roles in a scheme to import products purported to be...
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...China's Tainted Baby Milk Powder Unit 1 - Assignment #1 China’s Tainted Baby Milk Powder: Rumored Control of Online News 1. Yes, there was damage to Baidu.com’s reputation. The rumors made the company’s information appear unreliable. By the rumor of the company being paid off for both not disclosing information and by ad placements, in the way that paid ads are listed pages before unpaid ads. The placement of ads also gives way that companies could pay for ad placement. 2. Future reputational damage could force the company into bankruptcy if the public’s trust is completely lost. How the company is view could be measured by how my hits the site would continue to get. If the public believes the information is unreliable, the hits to the sight would decrease. If a decrease happens, it is highly likely that the need for the company will not continue to exist. Because of the rumors of the omission of information and ad placement, the public could question the reliability of the information that is on their site. Once the public’s trust is completely lost, recovery is difficult. 3. Baidu.com will have to overcome the rumor of how they were said to have accepted payments for withholding a company’s information from on-line searches. They will have to disclose all of their financial records. This is done in an effort to make the company financial activities as transparent as possible and display that they are confederate in their financial activities...
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...China's Tainted Baby Milk Powder Unit 1 - Assignment #1 China’s Tainted Baby Milk Powder: Rumored Control of Online News 1. Yes, there was damage to Baidu.com’s reputation. The rumors made the company’s information appear unreliable. By the rumor of the company being paid off for both not disclosing information and by ad placements, in the way that paid ads are listed pages before unpaid ads. The placement of ads also gives way that companies could pay for ad placement. 2. Future reputational damage could force the company into bankruptcy if the public’s trust is completely lost. How the company is view could be measured by how my hits the site would continue to get. If the public believes the information is unreliable, the hits to the sight would decrease. If a decrease happens, it is highly likely that the need for the company will not continue to exist. Because of the rumors of the omission of information and ad placement, the public could question the reliability of the information that is on their site. Once the public’s trust is completely lost, recovery is difficult. 3. Baidu.com will have to overcome the rumor of how they were said to have accepted payments for withholding a company’s information from on-line searches. They will have to disclose all of their financial records. This is done in an effort to make the company financial activities as transparent as possible and display that they are confederate in their financial activities...
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...reputation had not been harmed? Refer to SEC or MSO websites for information on financial trends. 6. What range would the stock price have been in at the end of 2002 based on your estimates? 7. Martha’s overall net worth was huge relative to her investment in ImClone. Assuming she did not have inside information, was there any way she could have avoided the appearance of having it? 8. How could Martha have handled this crisis better? 9. Why is insider trading considered harmful? Should insider trading be banned if it assists in moving a stock price to a new equilibrium quickly, so that non-insiders are trading at appropriate prices sooner? 10. If you wished to sell an investment in a company where one of your friends is an insider, or even a significant employee, should you call your friend to advise him you are about to sell? Why, or why not? 5. China’s Tainted Baby Milk Powder: Rumored Control of Online News Discussion of Ethical Issues 1. Given strong profit growth, has there been any damage to Baidu.com’s reputation? 2. What would future reputational damage affect, and how could it be measured? 3. What steps could Baidu.com take to restore its reputation, and what challenges will it have to overcome? 4. Governments throughout the world have been slow to react publicly to serious problems such as SARS, mad cow disease, and now...
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...Unit 1 - Assignment #1 China’s Tainted Baby Milk Powder: Rumored Control of Online News 1. Yes, there was damage to Baidu.com’s reputation. The rumors made the company’s information appear unreliable. By the rumor of the company being paid off for both not disclosing information and by ad placements, in the way that paid ads are listed pages before unpaid ads. The placement of ads also gives way that companies could pay for ad placement. 2. Future reputational damage could force the company into bankruptcy if the public’s trust is completely lost. How the company is view could be measured by how my hits the site would continue to get. If the public believes the information is unreliable, the hits to the sight would decrease. If a decrease happens, it is highly likely that the need for the company will not continue to exist. Because of the rumors of the omission of information and ad placement, the public could question the reliability of the information that is on their site. Once the public’s trust is completely lost, recovery is difficult. 3. Baidu.com will have to overcome the rumor of how they were said to have accepted payments for withholding a company’s information from on-line searches. They will have to disclose all of their financial records. This is done in an effort to make the company financial activities as transparent as possible and display that they are confederate in their financial activities. This will aid the company in regaining...
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