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Kolb and Zhou zigzagged across the US faced with the tough task of meeting with their customers as well as nervous investors to advise them of the crisis. As a result of those meetings, they decided to change the direction of the company to personally ensure safe, quality ingredients for their customers. "Our customers told us to do the right thing, so we did," Kolb said.
TSI moved forward with building a 60-acre complex near Shanghai that stands as an exemplary manufacturing model with Quality Control and Quality Assurance laboratories to produce premier ingredients including the highest potency chondroitin sulfate in the world. Moving from a stocking distributor to a fully integrated pharmaceutical manufacturer, the company now sells chondroitin to drug and quality oriented supplements companies, primarily in Japan and Europe as their customer base continues to grow in other markets including Australia.
The move ultimately didn't play out well with the majority of TSI's US customers. "What concerns me now is not all of our customers moved in the same direction to purchase quality ingredients," added Kolb. Since then, TSI has lost more than 70% of its US revenues from the dietary supplement industry.
One company that did move in the right direction was Pharmavite, a manufacturer that sells $600 million of Nature Made brand supplements in the US alone. Pharmavite has worked on a project for the past three years that has involved a TSI shark chondroitin ingredient.
"We had to find a special type of chondroitin for our Nature Made Japan products that met our regulatory needs," said Doug Roper, director of quality development for Pharmavite international group.
TSI, like Pharmavite, is part of a dietary ingredient verification
program headed by the United States Pharmacopeia, the official public
standards- setting authority for all pre
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SOURCE TSI Health Sciences![]() Copyright©2007 PR Newswire. |