BOC Week 3: Apple Juice Scandal

Beech nut was found guilty for selling apple juice that contained no apple juice at all or only water mixed with sugar and artificial flavors. Niels L Hoyvald and John F. Lavery stood before the judge in Brooklyn’s courthouse with nothing to say. Thomas H. Roche a prosecutor of the case  had said “''a classic picture of corporate greed and irresponsibility.'’http://www.nytimes.com/1988/07/24/magazine/into-the-mouths-of-babes.html?pagewanted=all&src=pm . The company also had pleaded guilty the last fall to 215 counts of violating the federal food and drug laws. Beech-Nut agreed to pay a 2 million fine which was by far the largest ever paid in violating laws. In a previous press release Beech-nut admitted that it had broken the trust of many people. Beech nut had intended poisoned the population by using these kind of ingredients that were not natural. The effort to save money and be wealthy by increasing their sales had backfired on them and decreased their sales by 2 million and on top of that had 1 year of sentence in prison for violating laws. Inspectors touring the cohttp://www.nytimes.com/1988/07/24/magazine/into-the-mouths-of-babes.html?pagewanted=all&src=pmmpanies in 1982 had suspicions that companies were not including their natural ingredients. Jerome LiCari was so devastated and worried that he decided to quit the company after pleading to bosses about the issues they had at hand before. Lacking the test to prove the purity of the apple juice, LiCari could not prove that the juice was tainted. http://www.fundinguniverse.com/company-histories/beech-nut-nutrition-corporation-history/. Through this scandal Beech-nut had significantly tarnished its reputation and had lost the trust of many consumers that trusted its brand http://www.clarksons.org/CrossCurrent/cc3206%20Pure%20Lies.htm. Today Beech-Nut still struggles to gain its target market back but still struggles today to gain the trust. It has tried multiple ways to promote their products and gain their value back from the 1980’s scandal. Now it is just a mere brand that has been forgotten about within the community.