Toy Manufacturing Industry in China

Toy manufacturing industry in China

China is one of the leading countries in the industrialized world. With respect to the toy industry, China is the largest country in manufacturing and distributing toys products locally and internationally. Chinese-made toys demands have increased dramatically for the past decades for its lower prices. Not only Chinese toys market is not exclusive for Chinese, but Chinese toy industry is also considered to be the perfect place for those who want to invest in toys market. China attracts many foreign companies to come to china and build their factories because of the lower costs of lands and labour. However, there are many side effects or black sides of toys manufacturing in china. Ethical issues have been witnessed in toys industry in china. Child labour, chemicals usage, and environmental impact are the most ethical issues in the toys industry in china.

Environmental impact:

A key ethical issue with the China toy manufacturing industry is the environmental impact it has. One of the main environmental issues is the use of too much lead paint on the products. Lead is used to make brighter colours in the paint used but some toys have up to four times the amount of lead that is allowed. The problem with the use of lead is the damages it causes to people’s health. The damages are to the nervous and reproductive systems and with these it can also cause brain damage and birth defects. Many of the toy manufacturers in China use cheap products and are not regulated. They are not the only ones to blame as the foreign companies that buy their products want lower prices. This causes the manufacturers to have cheaper products which may have health risks.

The main stakeholders affected by the lead and health risks are children who receive these toys and the people where these toys are being manufactured. In one village in China 877 people suffered from lead poisoning as result of a lead smelter. Also a town near Hong Kong had a study of 5000 children and found that 22.1 percent has an excess of safe levels of lead in their blood.

In 2007 Mattel had to recall millions of toys made in China because of the health risks of the lead paint that was used. The European Union Toy Safety Directive has more control of which chemicals can be used in toys and has a restriction of 19 products. Chemicals which have carcinogenic, mutagenic, or toxic for reproduction are not allowed. Allergenic fragrances that are used are supposed to be banned and if it only affects a limited amount of people it is supposed to be labeled on the toy. This directive will be in full effect by July 2013.

Consumer Behavior for China and Children:

In China, children are not looked upon as merely a single market, but rather as three markets combined as one. One market as spending their own money,