Mattels China Experience: Crisis in Toyland Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Mattel, the industry leader with a good reputation in the field of corporate responsibility, were drawn into the vortex recall seeing suffered a variety of products manufactured and exported from China in 2007, including dog food, toothpaste, tires and seafood. Mattel, Robert Eckert Director General was faced with a crisis. By the time the dust settled, Mattel recalled 19 million toys made in China. Mattel stock price dropped as they took $ 40 million fee for recalls, and their value increased due to added regulation in China and the United States. Customers threatened to boycott Mattel and all toys are made in China. Bob Eckert, was called to give evidence of both the U.S. House and Senate hearings on the safety of toys. Chinese officials saw the Mattel recall the approach of public relations, accusing Chinese manufacturers for what was primarily a problem of Mattel design. This unfavorable publicity drew attention from Chinese regulators, and as a result of the highly publicized Mattel makes a public apology to China and China quality watchdog chief, Li Changjiang. When it seemed that nothing could worse for Mattel, Congress sent a letter that Robert Eckert, Mattel was after he made a public promise to consumers in the initial incident review. This tsunami adverse events left Mattel executives puzzled and reeling: How can a company so highly regarded as a model of the toy industry of corporate citizenship to be embroiled in such disputes? What are the next steps they should take to get out of the crisis? How they should protect your brand? What they need to do to restore its reputation? Was this crisis obstacle to achieving its vision of being premier toy brand in the world "tomorrow"? "Hide
by Mary B. Teagarden Source: Thunderbird School of Global Management 17 pages. Publication Date: 02 February 2009. Prod. #: TB0057-PDF-ENG