The Welspun incident has put the spotlight on the compliance track record of India Inc. Boards can play a key role in balancing compliance with competitiveness,
In the aftermath of the Welspun controversy, Business Standard gets deeper into the issue of global scrutiny facing Indian businesses across key sectors
Affected products represent around 6% of Welspun's total business
Indian manufacturers distanced themselves from Welspun as it bets on quality, not just cheap workers, where it faces regional competition
Welspun has said it would hire a major accounting firm to review its supply processes
The scandal involves alleged sale of falsely labeled Egyptian cotton products by an Indian textile manufacturer to US big box retailers
US-based JCPenney probing cotton supplies
Target Corporation, a US-based retailer, terminated its supply contracts due to quality issues
The termination of contracts by Target is a big setback to Welspun which touted itself as the biggest supplier to western retailers
Current contribution stands at 5%; company banks on product innovation, inorganic moves for the growth