Publication Type
Journal Article
Version
acceptedVersion
Publication Date
1-2017
Abstract
Modern distribution systems often stretch beyond national borders such that a highly-visible product failure in a single country may negatively influence the reputation and market share of all identifiable supply chain members-even those that are blameless-in multiple countries, especially when the product is related to food safety. This study considers how Fonterra's response to its 2013 bacterial contamination crisis influenced its own reputation and that of the New Zealand dairy milk industry. It first traces how the crisis started in March 2013 and how it ended in August when investigations showed that the bacteria found did not cause botulism, a fatal disease that attacks the nervous system. It generally appears that Fonterra's initial response was unpersuasive but, over time, it stepped up its crisis management efforts.
Keywords
China, crisis management, Fonterra, food safety, milk contamination, New Zealand, reputation management, Sanlu, supply chain safety, image-restoration campaign, communication, strategies
Discipline
Agribusiness | Business and Corporate Communications
Research Areas
Corporate Communication
Publication
Journal of Marketing Channels
Volume
24
Issue
3-4
First Page
136
Last Page
152
ISSN
1046-669X
Identifier
10.1080/1046669X.2017.1393231
Publisher
Taylor & Francis (Routledge): SSH Titles
Citation
PANG, Augustine.
Product safety failure and restoring reputation across markets: Fonterra's management of the 2013 bacterial contamination crisis. (2017). Journal of Marketing Channels. 24, (3-4), 136-152.
Available at: https://ink.library.smu.edu.sg/lkcsb_research/5763
Copyright Owner and License
Authors
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.
Additional URL
https://doi.org/10.1080/1046669X.2017.1393231