Product recalls – it is a nightmare not only for the consumer, but also for the company. In fact, more for the latter. The consumer will buy another product. But the company has to bear the brunt – losses and lawsuits, plus the sheer taint in its brand image.
According to insurance analysts, defective products pose a risk to the safety of the user. At the same time, it can lead to significant damage to the finances and the reputation of the manufacturer.
Here are 10 product recalls that made history in the world of manufacturing. We still remember them and shudder.
1. Takata Airbag
This happened in 2008 and is still happening.
This is history’s biggest recall.
It started a decade ago, in 1998. By 2008, the defective airbags made by Takata were in use by almost every big automobile manufacturer in the market.
The defect was: the airbags could explode and eject some shrapnel-like material, which was associated with around 20 deaths.
After effect:
The after effects are still going on. Takata company is bankrupt. About 100 million airbags are under recall around the world.
According to industry experts, it would be only till 2023 that every defective Takata airbag is recalled and the vehicles having these bags are fixed!
