In 2007, America found significant, record-breaking product recalls by various companies that raised the concerns of the general public about the adulterated products. In 2008, after a brief drop, despite the private companies and government agencies efforts to tackle the issue, both the retail value and number of recalled units were increasing. At present, various countries raised concern over product safety, including China that faced unsafe food selling issues. Why the chinese suppliers offered the spoiled food? How the western manufacturers could mitigate the threat of product adulteration, as the regularities in China are still weak. In order to build an effective prevention system, it is necessary to know the benefits the Chinese suppliers accomplish while manufacturing adulteration products. The article suggests two underlying strategies that prevent the Chinese suppliers to produce unsafe products: (1) With the help of contingent payments, provide the monetary benefit, and (2) utilize the advantage of social networks by threatening public exposure, to develop a social incentive.
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