Summary
McDonald, one of the largest fastfood franchise, tells "100% beef" but it is not good to most of Korean consumers because of mad cow disease. The main food manufacturers and restaurant chains emphasizetheir "no U.S beef" because they have to reduce the loss of the recent event.
A spokeperson of CJ, Kim Jong-eun, said "It is important to win over consumer trust from the start'' Besides CJ, Korean biggest fastfood chain Lotteria, manages 740 stores in the country, said it will not use even in the future and family restaurant Outback Steakhouse including VIPS, Sizzler, T.G.I. Fridays and Bennigan's decided not to import "U.S beef".
Moreover, major hypermarket like E-mart, Lotte mart, and Homeplus are also thinking the import of "US beef" is not desirable.
However, its ban will demage the local beef importers and it will be distributed to each part. If the part rejects the import, they cost considerably. In fact, the amount of US beef import was $850 million the third market for US and Korea import beef from the Austrailia after the prohibition.
Opinion
The Korean consumer are afraid of US beef and it can occur mad cow disease. Perhaps it can be not ture and I want to trust it, but almost all the consumers don't feel like that so the main firms involved in beef tried not to lose their credability from them. How important the relationship with them is!!
What happen if the companies thought "US beef" is not dangerous and make the product using it?
The reputation will decrease drastically and the firm may lose the market share. Safe is not important and their concern is only in the consumers' preference. And it is sure that US beef is not so the reaction of giant firm is right.
But how can the importers do? This will have to be solved by the Korea and US government. Gov. suggests the solution quickly and the nation make feel confortable.
(Ref. : Koreatimes, 6/13, By Jane Han Staff reporter)
#20300576 - Entry 14
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