Swedish FMCG major Nestle is facing a public relations crisis in the country following the controversy relating to its popular instant noodle Maggi being unsafe for consumption, eventually leading to its withdrawal from the market early last month. The company has since then challenged the government’s withdrawal order in the Bombay High Court.
Nestle on Friday (24th July 2015) recalled its current head of the India operations, Etienne Benet, to its Switzerland head office and appointed Suresh Narayanan, as the new India MD. He will take the reins on Aug. 1.
The company believes that an Indian leader in India is able to possibly interact better with the government at large – and therefore made this management change.
This is not the first time that a global firm with operations in India has resorted to a change of guard in the wake of a controversy. In the past, beverage maker Coca-Cola and Cadbury India had effected changes in the top leadership when besieged with the pesticide-in-colas and worms-in-chocolates controversies, respectively.
Source: Financial Express