January 3, 2007

Smithfield may not be hurt by bad press

Market experts say that Smithfield, the largest producer of pork, would not be affected in the long term by the current negative publicity against the company.

Smithfield would bounce back from the setback, if it is really that, Kenneth Herbst, an assistant professor of marketing at The College of William and Mary's Mason School of Business said, adding that Smithfield would survive the current negative publicity pretty much intact.

Last month, Rolling Stone magazine suggested that Smithfield's pig farms in North Carolina were contaminating surrounding land and waters.

Further a PBS show told of worker grievances at a Smithfield plant in North Carolina.

The negative publicity comes as recent figures showed an overall decline in sales from US$2.87 billion a year ago to US$2.81 billion for the company.