Very similar to the case – Tata Motor we studied in the second class, Toyota is recently facing the reputation downfall due to the sticky gas pedals. Toyota has recalled almost 9 million cars, while also confronting the prospect of paying charges and decline in profits. Although Toyota is only responsible for assembling the car together; however, the blame is still on them, yet the supplier of the pedals, CTS, is barely mentioned. Keeping a “good corporate reputation” is difficult, especially the “…quality control [means] daily vigilance” in the 21st century (Connor.Para.6, 21). Having to reinvest in creating better pedals and brand name destruction, Toyota is still willingly to take on the responsibility. “ [They] don’t want to get into any kind of a disagreement with CTS;” thus, Toyota has always been responsible for the cars as the supplier (Connor. para. 25). Unlike many other companies who confront similar situations, Toyota actually showed their business ethics, and that accountability matters to them. In spite of all the difficulties they face, Toyota is openly apologizes to the public, accepting their faults and now improving on their sustainability. Maybe that is the reason why many consumers still rely on Toyota’s cars?
http://business-ethics.com/2010/01/31/2123-toyota-recall-five-critical-lessons
Connor, Michael. “Toyota Recall: Five Critical Lessons | Business Ethics.” Business Ethics | The Magazine of Corporate Responsibility. 31 Jan. 2010. Web. 14 Sept. 2011. <http://business-ethics.com/2010/01/31/2123-toyota-recall-five-critical-lessons/>.