On July 6th, 2013, Asiana Airlines Flight Boeing 777 plane crashed at San Francisco International Airport. This fatal accident has caused a substantial amount of people injured or even died. Besides the lost of people, the Asiana Airlines has experienced a large influence on its economy as the consequence of the incident.

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Considering  about the company’s market, there would certainly be influence on people’s mental aspect. South Korean has a small market as there were only a few places in the country require airplanes. Therefore the company expanded its market to other countries such as China and carried out transfer flights. While Chinese people beginning to trust the company; however, reports have shown that in the air crash, there were over half of passengers were Chinese (as shown in the table) (“Asiana airlines flight 214,” 2013).

As security assurance is the most essential part regarding to an airline, this incident has indeed caused the lack of trust among people despite the achievements Asiana Airlines made were great, which has led to a loss of passengers and a low attendance rate. In addition, its strong competitor Korean Air would potentially become a substitute as some groups of people intend to take transfer airlines through Korea in order to spend a lower price on tickets. In this case the Asiana Airlines is now facing a serious obstacle.

Source:

Asiana airlines flight 214. (2013, 10 06). Retrieved from http://en.wikipedia.org/wiki/Asiana_Airlines_Flight_214

Toyota company is a famous car company, as its reputation and market are both on the top of the world. However, Toyota company, between 2009 and 2011, experienced a large event, known as the Toyota vehicles recalls. According to their statement, this recall was because of the inferior quality of the components provided by certain suppliers. (wikipedia). However, people were doubting and relating this recall with some car accidents, for example those that happened in terms of similar problems such as the inferior quality of accelerators and brakes, which caused a large group of customers inconvenience and even serious car accidents.

Personally, I believe their decision to recall these vehicles was necessary but also a good example of corporate ethics. Their action represents their response to the customers and also its competitors. As a global company, Toyota should publish all truths including some accidents and inferiority, although I think it would be hard if they care a lot about the reputation.

Therefore, I believe corporate ethics of a company is essential, as stakeholders relating to the company can be a lot, especially the benefits of consumers can largely influence the global status of the company.

Source:

2009–11 toyota vehicle recalls. (n.d.). Retrieved from http://en.wikipedia.org/wiki/Toyota_recall