I’ve blogged about the “Low Cost Country” (LCC) phenomenon previously, so if you’ve read that post you — like me — will probably not be surprised by this latest problem reported on the BBC News website: US checks toothpaste for toxins
Now, I’m OK with businesses being in business to make a profit — hey, I have investments for my retirement and I’d appreciate it if the businesses that my mutual funds have shares in would oblige by returning a reasonable return to ensure a reasonably comfortable retirement.
At the same time, I believe that companies owe a certain duty of social responsibility to, well, society. That is, decisions to cut costs need to be thoroughly examined to ensure that the public’s safety and security is not sacrificed on the altar of shareholder value.
More and more these days, it seems that the chickens are starting to come home to roost.