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  • February 2016
  • Supplement
  • HBS Case Collection

The Maggi Noodle Safety Crisis in India (C)

By: Karthik Ramanna and Radhika Kak
  • Format:Print
  • | Language:English
  • | Pages:5
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Abstract

The local government in Delhi has ordered a ban on Nestlé's flagship product in India—Maggi Noodles, citing excessive lead content per government lab tests. Nestlé disputes the government tests, noting that internal and third-party tests show the product to be safe. There is considerable confusion in the media and amongst Nestlé's customers, and Maggi sales begin to plummet. Other local governments and India's federal food-safety regulator also consider bans. Nestlé must decide how to respond—options include suing the regulators and withdrawing the product, which could impact up to 25% of Nestlé's India sales.

Keywords

Multinationals; Globalization; Regulation; Customer Relations; Business And Government; Safety; Leadership; Food; Multinational Firms and Management; Governance Compliance; Crisis Management; Customer Focus and Relationships; Business and Government Relations; Food and Beverage Industry; Delhi

Citation

Ramanna, Karthik, and Radhika Kak. "The Maggi Noodle Safety Crisis in India (C)." Harvard Business School Supplement 116-038, February 2016.
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  • Jaypee Infratech and the Indian Bankruptcy Code By: Kristin Mugford, William Vrattos and Radhika Kak
  • Is the SEC Captured? Evidence from Comment-Letter Reviews By: Jonas Heese, Mozaffar Khan and Karthik Ramanna
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