by Lance Turner
Posted 1/2/2014 11:34 am
Updated 9 months ago
Wal-Mart Stores Inc. of Bentonville is recalling donkey meat sold in China after tests showed the product contained the DNA of other animals, including fox, Reuters reports.
The world's largest retailer says it will reimburse customers who bought the tainted "Five Spice" donkey meat and is helping investigate its supplier. Analysts say the scandal could hurt Wal-Mart's reputation in China:
"This is another hit on Wal-Mart's brand, meaning wealthy shoppers will start to lose the trust they had before," said Shaun Rein, Shanghai-based managing director of China Market Research Group. CMR estimates Wal-Mart's market share fell from 7.5 percent to 5.2 percent over the last three years.
We should note that donkey meat is popular in some parts of China. Wal-Mart is investigating the incident and has apologized.