Crisis Management at Toyota
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Case Code : MKTG256
Case Length : 27 Pages
Period : 2009-2010
Pub Date : 2010
Teaching Note : Not Available
Organization : Toyota Motor Company
Industry : Automotive
Countries : Global
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
Crisis Management Initiatives
As part of its crisis management strategy, on January 31, 2010, Toyota launched a major PR campaign to promote the safety and reliability of its vehicles. It used print and television media for public apologies, explanations, and press releases. Toyota sent apology letters to its customers informing them about the recall...
A PR Disaster?
Toyota's handling of the recall crisis became a topic of discussion in the global automotive industry. While some analysts felt that the company had taken all the necessary steps to handle the crisis, others felt that it had not responded to the crisis well...
Despite the recalls, Toyota reported a profit of US$ 2.3 billion for the fiscal year that ended March 31, 2010, compared to a loss of US$ 4.8 billion in the previous year. In the fourth quarter it reported a profit of US$1.2 billion (Refer to Exhibit VII for income statement of Toyota)...
Exhibit I: Toyota Milestones
Exhibit II: Brief Note on the Shift in the Global Automotive Industry
Exhibit III: Consolidated Vehicle Production and Sales: 2007-2009*
Exhibit IV: Regional breakdown of Toyota Recalls
Exhibit V: Toyota's Print Advertisements
Exhibit VI: Prepared Testimony of Akio Toyoda
Exhibit VII: Toyota Motor Corporation Income Statement