What happens when a fast food firm has to recall toys?

Is this at a great cost to the firm?

It is always difficult for a firm when a good needs to be recalled; however, it is usually unheard of for a fast food company to do so. McDonald’s, The fast food firm had to recall 1.6 million of these “Hello Kitty” whistles, which for them might not be such a large deal considering how large the company is; however, it leads to a lot of time wasted, some losses and maybe a few potential customers lost.

It would be interesting to see how much it cost to manufacture the toy, have it sent out to restaurants and other places where it was sold, and only then to have them all delivered back, manufacture a replacement toy, and have that sent out as well. I would like to know if all of that would be a great loss to McDonald’s, or if this is a cost such a large firm could completely ignore. It is interesting to see that even though McDonald’s sent out a toy that is a potential hazard, the firm still appears to look good on the other side of the tunnel, as they send out a positive message for their firm by sending all the, approximately, 1.6 million children a new toy that they had most likely had to produce on the spot. This is good business for the future, as it is possible that this gets into people’s heads, that this is a firm that cares, and really wants its customers to be happy.

Article and image link: http://www.vancouversun.com/business/McDonalds+recalls+Hello+Kittythemed+whistle+choking+risk/10369554/story.html