A fresh start and Why We Will Still Buy China's Toys/Dog Food/Everything

Today I opened the NYT, as I always do during lunch, and on the front page of the business section who was there staring me in the face AGAIN? China? Yessir. Wait, was this another article praising the Chinese for their excellent business ethics and rising economic power? Wow, what suck ups, right?

No, of course not. China dropped the ball again. {Here's the equation for the business section for further reference: China + Business Section = More consumer alienation.} This article was concerning the Thomas & Friends Trains that had a lovely deposit of lead in the paint that was slathered on the toys. Lead paint in 2007? Wait, before you get disgusted....read this first:

The recall issued last week covered products made from January 2005 to June 2007, suggesting that for two years RC2 failed to noticed that some of its best-selling toys were being produced with lead-based paint.

Holy lead trains Batman! Two years worth of manufacturing trains (Best selling!) that were contaminated with this paint. First, we have the pet food fiasco, then the toothpaste and cold medicine disaster, and now we have this situation. How much will the American people/World consumers of Chinese factory products take before they are totally alienated? How many kids across the globe watched George Carlin blow a whistle and tell stories while they slobbered all over their Thomas the Tank Engine from China?

After this, I’m definitely going to be more cognizant of where my children’s toys are manufactured,” said Mrs. Shultz, 33. "With my youngest son, everything goes in his mouth. I can’t take any chances.

Mrs. Shultz's son seems to be one of these aforementioned slobbering children. So, what does it all mean? China has another recall in its export industry. Consumers are annoyed with their obvious lack of quality and integrity. Does it mean that people will stop buying these products?

We’re not reconsidering our license agreement,” said a spokesman for Nickelodeon. “None of our products were affected, and they’re a good partner to us.

These recalls happen fairly often,” said Gerrick Johnson, an equity analyst with BMO Capital Market US.This recall, he said, “should not have any long-term damage.

RC2's stock also has not shown any significant damages as of yet due to the massive recall. Supply, demand, and the global consumers' willingness to pay for low priced goods will once again reign. China may be in the spot light often for botches such as these recently, but it hasn't seen to really have a negative effect on their exports. They make a myriad of products way too cheap for the majority of companies to not buy from them. China's rising economic power, however, will be under scrutiny as they grow. How long will it take for them to make repeated problems, such as this recent one, become scarce? The answer lies within the foundation of their societal and economic principles. The very foundation of the Chinese people must be changed in order to fix their constant industry mishaps. High business ethics along with significant policy reform is needed to deter companies from making these same mistakes. How long will it take for China to make these difficult, yet badly needed, changes? Time will tell; I don't have all the answers. I'm just here to make you think.