Top-Rated Free Essay
Preview

Unethical Behaviors

Good Essays
413 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Unethical Behaviors
Toyota In 2007, Toyota created a catastrophe all over the nation causing 2262 incidents including: 815 crashes and 314 injuries. Toyota had built over 8.5 million defected vehicles (bad accelerators) and sent them out to be sold to customers knowingly these vehicles were dangerous to individuals (Patton, J., & Estep, B.,2010).. Unethical behavior includes the Japanese purposely failing to mention the defect in the accelerator system so they could keep up their sales to become the number one selling automobile company in the United Sates. The company was looking to make money and were not worried about the fact they were going to hurt many individuals in the society (Patton, J., & Estep, B.,2010). “In a 2009 presentation called, "Wins for Toyota Safety Group," it shows that in 2007, Toyota purposely and repeatedly delayed safety regulations by avoiding defect investigations and obstructing government inquiries into safety concerns” (Ejaz, M. R.). Toyota made a huge unethical decision by not having their safety issues checked out. I think the only ethical decision for Toyota was to have the problem review and fix the issues right away instead of letting thousands of individuals suffer and/or become harmed in any way. After months of this story in the court system Toyota was fined with providing replacement vehicles to all owners of their vehicles until repairs were made and the vehicles were declared safe to drive and Toyota also had to pay for counseling for those individuals who were traumatized by all of this commotion (Patton, J., & Estep, B.,2010).. Financially, Toyota’s sales had dropped over 16% because of the recalls and suspensions (Patton, J., & Estep, B.,2010).
Personally, I feel Toyota should have been held reliable for a lot more than what they received, because millions of people could have died from this stupid act. Greed took over Toyota, which caused their decisions to be unethical, and all they care about is getting their money and being number one in the United States, and not caring if the vehicle is safe for you or me to drive.

References
Ejaz, M. R. (n.d.). Learn how to conduct business ethically. Retrieved April 17, 2013, from http://www.scribd.com/doc/31604081/Ethical-Issues-on-Toyota
Patton, J., & Estep, B. (2010, February 11). Toyota debacle could be largest consumer-fraud case ever, expert says. Retrieved 2013, from http://www.kentucky.com/2010/02/11/1132961/scott-county-plant-named-in-federal.html

References: Ejaz, M. R. (n.d.). Learn how to conduct business ethically. Retrieved April 17, 2013, from http://www.scribd.com/doc/31604081/Ethical-Issues-on-Toyota Patton, J., & Estep, B. (2010, February 11). Toyota debacle could be largest consumer-fraud case ever, expert says. Retrieved 2013, from http://www.kentucky.com/2010/02/11/1132961/scott-county-plant-named-in-federal.html

You May Also Find These Documents Helpful

  • Good Essays

    Mgmt 412

    • 576 Words
    • 3 Pages

    Toyota Motor Corporation has been a dominant name in vehicle manufacturing for several decades. Despite the patriotic drive in the United States to "buy American", the company has held its own, remaining a dominant and continually growing company in the corporate world of transportation. However, lately they been on the headlines of the news for vehicles being recalled, which is effecting the reputation of TMC in the market place. While the brand image of Toyota has recently taken a serious blow due to a number of recalls, including for the Camry Hybrid, overall the Toyota brand is very strong. The pros and cons of the Camry Hybrid are as follows:…

    • 576 Words
    • 3 Pages
    Good Essays
  • Best Essays

    General Motors (GM) is one of the oldest and largest car manufactures in the United States. As early as 2001, the company began to notice issues with an ignition switch that was to be used in many car models. The problem with this switch was that a driver could “inadvertently knock them to ‘off’ or ‘accessory’ mode while driving” (Plumer, 2014). If this happened, “the engine would shut off and cars would lose their power steering and power brakes” as well as the airbags “wouldn’t inflate in the event of a crash” (Plumer, 2014). Allowing this problem to not be fixed led to many crashes and fatalities across the United States. After several years this eventually led to the recall of millions of cars and thousands of lawsuits for GM. This is an ethical issue because GM was knowledgeable of the problem and made a decision to ignore it which led to the deaths and injuries of many innocent people. In order to evaluate this ethical situation we will…

    • 3185 Words
    • 9 Pages
    Best Essays
  • Powerful Essays

    Ford Pinto Case

    • 937 Words
    • 3 Pages

    If the case is evaluated on the basis of long term consequences, the information about the issue regarding the safety was going to come out sooner or later. That is directly going to affect company’s reputation throughout the world as a car manufacturer. I believe that even for designing an economic car the safety standards should be carefully…

    • 937 Words
    • 3 Pages
    Powerful Essays
  • Powerful Essays

    Since Toyota knew about the sudden acceleration problems and did not do anything about it that is a breach of duty of care resulting in negligence. Toyota had a duty to act in fixing the problem when it was first found out and not years later after a high profile automobile crash. The general rule is that a person is under a duty to all others at all times to exercise reasonable care for the safety of the others’ person and…

    • 1963 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    On September 29, 2009, Toyota recalled 3.8 million U.S. vehicles, and on January 16, 2010, another 2.3 million more were recalled for what was determined years after the initial complaint of a “stuck accelerator pedals.” (Greto, 2010) After Toyota’s executives were called to congress and forced to stop selling their cars, the U.S. fined Toyota with a 16.4 million dollar civil penalty. In addition, Toyota Motor Corp., in December 2012, agreed to pay $1.1 billion to settle a class-action lawsuit stemming from complaints of unintended acceleration in its vehicles that soured its reputation for quality and undermined its sales globally. (Ramsey, 2012) Three processes were identified within Toyota that will benefit from improvement: 1) Leadership, 2) Quality Management, and 3) Communication.…

    • 3014 Words
    • 10 Pages
    Powerful Essays
  • Best Essays

    BUS 357 Research Paper

    • 2491 Words
    • 10 Pages

    Toyota Motor Company has had a great amount of success in the last few years as far as being able to sell its products. Toyota is an automobile making company that has been around for years and earned its trust through its customers. After all, trust is everything when it comes to the…

    • 2491 Words
    • 10 Pages
    Best Essays
  • Best Essays

    Toyota is one of the leading manufacturers of vehicles in the United States and across the globe. Toyota is ranked #55 in Forbes, World’s Biggest Public Companies, and capturing sales of 202.8 billion and a market cap of 137.8 billion as of March 2011 (Forbes.com, 2011).” Founded in 1937 in Japan, Toyota now employs 320,590 with operations all over the world (Forbes.com, 2011). “Recognizing a growing market in the United States, in 1957 Toyota established its first sales, marketing and distribution subsidiary in the U.S. called Toyota Motor Sales Inc. (Gretto, M., Schotter, A., & Teagarden, M. 2009, p.2).” Over the years Toyota has manufactured and sold vehicles all over the world and is a leader in innovation and technology. However, in recent years Toyota has faced many setbacks that have consumers concerned about their safety and have Toyota looking for a way to get back their credibility.…

    • 1643 Words
    • 7 Pages
    Best Essays
  • Better Essays

    As Toyota is a multinational company, they become subject to various degrees of political pressures and instabilities.…

    • 1977 Words
    • 8 Pages
    Better Essays
  • Best Essays

    Environmental Analysis Paper

    • 2768 Words
    • 12 Pages

    As many may be aware, Toyota is not shy to the media spotlight. Toyota has been the number one automobile distributor since 1935 when the founder, Kiichiro Toyoda revealed their first model the A1 and by the 1950s. Toyota had produced more than 100,000 vehicles. However, not all of Toyota’s fame has been popular. Many will remember the major automobile company by the massive number of recalls totaling nearly one million, occurring in several countries across the globe. Half of the recalls were in Japan alone, but others were in the United States, Zimbabwe, South Korea, China, and Tanzania, to name a few. The recalls were from acceleration problems in different vehicles such as the Prius, Hybrid, Camry, and Sequoia Sports Utility Vehicles. On February 1, 2010, Toyota Canada Incorporation made the announcement that it would be recalling approximately 270,000 Toyota vehicles equipped with a specific accelerator pedal assembly and suspending delivery of the eight models involved in the recall on January 26, 2010. In this paper, Team C will elaborate on Toyota and its marketplace, provide the latest corporate reports, compare the three macroeconomic variables of employment, GDP and how it relates to Toyota’s deficit performance, provide its environmental analysis, and analyze information that identifies any relationships between the United States economic trends and the operational performance of Toyota.…

    • 2768 Words
    • 12 Pages
    Best Essays
  • Good Essays

    Practice

    • 744 Words
    • 2 Pages

    By early 2009, your company was in a situation it had not faced for decades—its sales had dropped by 16 percent. Even General Motors, the bankrupt General Motors, which looked like it could do nothing right for many years, grew 8 percent during the same time. According to some journalists, the recall cost Toyota more than $2 billion. But by March 2010, things seemed to be on the rebound. Sales picked up dramatically, 35 percent from the previous year, and 88 percent from the previous month. Customers were once again buying Toyotas and putting their confidence in its ability to produce reliable cars.…

    • 744 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    Crisis Communication Paper

    • 1410 Words
    • 6 Pages

    After the incident, Toyota tried to find a solution for the issue and its spokespeople sent messages out to the media assuring the public of the quality its products. These measurements were an effort to win back the good reputation that they had prior to this incident. Toyota felt it was necessary to suspend the production of eight of its most popular units to focus on finding a solution to the problem with its automobiles. Toyota Public relations campaign was considered a one of the best public relations campaign in years because their strategy was based on proper decisions and cautiousness to promote the peace of mind of its consumers.…

    • 1410 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Toyota Recall

    • 1391 Words
    • 6 Pages

    Dealing with any recall is never a positive situation and our estimates are this particular recall will cost Toyota in excess of $925 million dollars. Toyota will most likely borrow from its future earnings at nominal discount rates. However, given Toyota 's positioning as the world 's eight largest and most profitable automobile company they will be able to take this problem in stride. The biggest danger associated with the recall will not be short term capitalization.…

    • 1391 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Fast forwarding to the 1980's, as the U.S. market share of Japanese vehicles began to rise at an astonishing rate, American companies took notice and attempted to emulate Toyota's…

    • 878 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Kermit Vandivier

    • 608 Words
    • 3 Pages

    In this case there are a number of ethical issues such as doctoring findings to produce a positive outcome for the company in question. However the main ethical issue is whistle blowing. Many people had the opportunity to expose the problems with the brakes. People may say that those involved in this case are in the wrong due to the fact that they had a major role in the qualification of the brakes. Most of the executives or senior workers of Goodrich, that new about the problems or were informed, chose to do nothing about them. They were all looking at the monetary side of things. This is a classical case of money before safety and because of this; it has become a landmark case for engineering ethics.…

    • 608 Words
    • 3 Pages
    Good Essays
  • Good Essays

    One of the main errors leading to this situation was the fact that ChassisCo didn’t follow on the Toyota principle of giving the bad news up front. Toyota stated with every supplier that they expected a swift alert in case any risks were to arise, in order to tackle root causes and diminish the problems right away. On the same line, Toyota knew that the manufacturing process for the suspension cradles required substantial dedication in both effort and resources. Nevertheless, they miscalculated the actual capacity of the supplier to meet Toyota’s demand.…

    • 844 Words
    • 4 Pages
    Good Essays

Related Topics