Current Ethical Issue In Business – Research Paper Example
Toyota Corporation which had build over the years tremendous brand value due to the quality of the vehicles they produced in faced major qualityissues which led to the temporary shutdown of many factories across America and international locations. The quality issues are related to defective pedals that can stay accelerated on their own and cause major accidents. President Obama was a forefront of the controversy when he ordered the US Toyota to fix the problem immediately even it hurt the regular operation of the enterprise. The decision from the governmental point of view and company point of view is an ethical matter. Ethics deals with decision between right and wrong. After the revelation that millions of Toyota automobiles had similar problems a recall was order on all the defective units. This ethical stance to deal with the problem immediate shows that Toyota is not a corporate villain. A mistake occurred and now the company has to deal the problem because the health of its customer is more important than financial results of the enterprise. The ethical decision the company made was the right one because it put the interest of the customer above the interest of other stakeholders. Safety is a feature in car industry that must taken extremely seriously since the product produce by companies such as Toyota can become dangerous if they are defective. I believe Toyota and the US government have dealt with the situation in a correct manner. The responsible actions Toyota has taken after the scandal will rebuild the corporate image of the corporation.