What should we do with a batch that didn't pass quality control?

One of our larger customers rejected the latest delivery from us. They said the labels weren’t fixed properly and when they tested a bottle, it didn’t meet their standards. They have a strong quality control system, but this is the first time they rejected our product.

It was a large order and we aren’t sure what to do with it now that the customer rejected it. One team member said we should sell in the market because the labels were wrong. Another questioned if it’s ethical to sell product that failed quality control. A third member said we should export it to another country. No one suggested that we destroy it!

I said we needed to learn how this happened and destroy the batch. We then had a long debate about our ethical responsibility. The fact we had to debate this was a concern to me. Finally I said, “We are an ethical company. There should be no question of reselling this batch. This isn’t who we are.”

Foreign Corrupt Practices Act affects US registered businesses

I was doing business in Nigeria and incorporated my company in Delaware. I was then told that certain normal business practices in Nigeria are considered corruption and would put me in violation of US law.

Read more about the Foreign Corrupt Practices Act