Want China Times, Staff Reporter 2013-02-24
A Chinese executive at multinational consumer goods company Proctor and Gamble has been forced to resign after his wife reported him for corruption, reports China National Radio, the national radio station of the People's Republic of China.
Proctor and Gamble products on display in a Chinese supermarket. (Photo/CNS) |
A Chinese executive at multinational consumer goods company Proctor and Gamble has been forced to resign after his wife reported him for corruption, reports China National Radio, the national radio station of the People's Republic of China.
Zhai Feng,
the former president of sales for P&G's Greater China region, allegedly
handed in his resignation at the end of last year after his wife reported him
to the company's headquarters in the United States for engaging in corrupt
activities. Zhai's wife apparently decided to end her husband's career in a
moment of fury following a domestic argument.
Zhai's
downfall was followed two months later by the resignation of Dr Richard Chen,
president of P&G's Beijing research and development center, for
"personal reasons." There is speculation that Chen, a former
scientist at American skincare line Olay, left P&G due to frustrations over
budget constraints, though the close proximity to Zhai's resignation has fueled
rumors of a possible connection.
A staff
member at P&G told China National Radio that corruption is easy to
perpetuate in the marketing department due to the large budgets and sizable
rebates from advertising agencies commissioned to work on promotions and
campaigns. The lack of oversight has nurtured a mentality that if they do not
pocket the money themselves then someone else will, the worker said.
Some
industry analysts say the recent loss of key personnel at P&G is more a
reflection of the company's long term problems of uneven distribution of
benefits and resources. Brand expert Wang Qi said since research and
development is regarded as a back-end department, staff salaries tend to be
lower than those from front-end departments such as sales. Every company will
take into account which departments are making them the most money and
distribute benefits and resources accordingly, he added.
Other industry
insiders believe staff are leaving P&G due to low salaries and internal
conflict between departments. However, business observer Lu Xinzhi believes
that staff expectations need to be adjusted in light of the state of the global
economy and narrowing profit margins across the industry.
References:
Zhai Feng 翟峰
Wang Qi 王啟
Lu Xinzhi 陸新之
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