National Highway Traffic Safety Administration and Toyota Industries

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  • Topic: Toyota, National Highway Traffic Safety Administration, Brake
  • Pages : 3 (996 words )
  • Download(s) : 326
  • Published : May 28, 2013
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Toyota
Toyota Industries Corporation was founded in 1926 by Sakichi Toyota to manufacture and sell the automatic looms which he had invented and perfected. Since that time Toyota Industries has promoted diversification and expanded the scope of its business domains to include textile machinery, automobiles (vehicles, engines, car air-conditioning compressors, etc.), materials handling equipment, electronics, and logistics solutions. However Toyota’s company was still found that some ethical issues happened on the company and it was growing largely.

1. Ethical Issue of Toyota

Toyota announced in late January that it would recall about 2.3 million vehicles in the United States because of sticky accelerator pedals. The automaker has offered to fix the pedals by adding a metal shim, or to replace them completely. The ethical issue of Toyota is that Toyota admits to purposely neglecting safety concerns and delaying recall investigating. Toyota confirms that not only dragged its feet when looking into safety defects, but also patted itself on the back for doing so. Toyota also conspired with National Highway Traffic Safety Administration (NHTSA), the government department responsible for crash test ratings, to falsely improve Toyota's safety record.

Possible reason
Toyota admits to purposely neglecting safety concerns and delaying recall investigating to save money. Toyota purposely and repeatedly delayed safety regulations by avoiding defect investing and obstructing government inquiries into safety concerns. Toyota also conspired with National Highway Traffic Safety Administration (NHTSA), the government department responsible for crash test ratings, to falsely improve Toyota's safety record while hiding the fact that NHTSA and the Department of Transportation were neither adequately staffed nor compensated to deal with influx of safety concerns raised by consumers. Toyota would recall a limited amount of vehicles at certain times of the year to...
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