Toyota Sets a Precedent; GM and Nissan Issue Recall Notices
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Past 4 weeks have been tough for Toyota and the auto industry as well. The recall notices that have impacted 8 million vehicles have been unprecedented in the history of auto industry. And the fact is that the recalls have also impacted showcase products like Toyota Prius.
While Toyota has been reeling under the impact of these recalls and its sales have taken a beating in the US and Europe for 2 successive months now, there may be a bigger picture to the present day mess of failed cars and minor glitches.
The worrisome aspect of the auto-industry is that Toyota’s recalls seem to have pushed other manufacturers to follow suit; the result is that General Motors is recalling 1.3 million vehicles and Nissan is also in the process of recalling vehicles to fix small glitches. While more details of these recalls will emerge as we transcend future weeks, it is clear that Toyota seems to have become a trendsetter as far as recalls is concerned.
From the appearance of events that have unfolded over the past 6 weeks, one gets an impression that the entire auto industry was waiting to see the impact of recalls on Toyota. Yes, there was a hue and cry. However, Toyota seems to have been partly successful in arresting the downslide. China and Japan are leading its recovery. Expectedly, US and Europe are still not convinced in terms of Toyota’s resilience. But, the smart team at Toyota will be able to pull itself out over a period of time by offering sops and incentives.
The worrying part for Toyota will be the lawsuits and the decision of the US Congress. If it fails on either of
this, then there is a chance of Toyota tripping over in the US as well as in Europe. Since most Toyota sales happen in these parts of the world, the impact will be lethal for Toyota. However, from the emerging signs one can safely say that this is some sort of an extreme conjecture as of now and is most unlikely to happen. However, you cannot write off anything at this point of time.
Coming to the issue of recalls of General Motors & Nissan, there is a clear focus on fixing automotive glitches and every manufacturer is acting in a way that makes it look like a responsive and caring automotive manufacturer. And this is something that we all should be proud of. If an auto-manufacturer is able to admit, own-up and fix the glitch then this is good for the consumer. The problem with Toyota was slackness in admitting and fixing the glitch.
Taking a cue from the mistakes of Toyota, General Motors and Nissan acted more maturely and proactively in addressing the issues of a glitch in their cars. Given the fact that modern cars are backed by unprecedented levels of automation, snags or software glitches are bound to happen more frequently than they have in the past. In other words, glitches are here to stay. What needs to be seen is the resolve of the manufacturer to own-up the glitch and fix it to ensure that the consumer does not face any problems.
Toyota’s failure in being transparent and proactive with its flaws has dented its reputation, others seem to have learnt the lesson too fast and it is gladdening to see that manufacturers are feeling more accountable than they have in the past. Consumers should never have to suffer. If a company believes in this principle, then nothing should go wrong for a consumer, from here on.
While Toyota has been reeling under the impact of these recalls and its sales have taken a beating in the US and Europe for 2 successive months now, there may be a bigger picture to the present day mess of failed cars and minor glitches.
The worrisome aspect of the auto-industry is that Toyota’s recalls seem to have pushed other manufacturers to follow suit; the result is that General Motors is recalling 1.3 million vehicles and Nissan is also in the process of recalling vehicles to fix small glitches. While more details of these recalls will emerge as we transcend future weeks, it is clear that Toyota seems to have become a trendsetter as far as recalls is concerned.
From the appearance of events that have unfolded over the past 6 weeks, one gets an impression that the entire auto industry was waiting to see the impact of recalls on Toyota. Yes, there was a hue and cry. However, Toyota seems to have been partly successful in arresting the downslide. China and Japan are leading its recovery. Expectedly, US and Europe are still not convinced in terms of Toyota’s resilience. But, the smart team at Toyota will be able to pull itself out over a period of time by offering sops and incentives.
The worrying part for Toyota will be the lawsuits and the decision of the US Congress. If it fails on either of
Coming to the issue of recalls of General Motors & Nissan, there is a clear focus on fixing automotive glitches and every manufacturer is acting in a way that makes it look like a responsive and caring automotive manufacturer. And this is something that we all should be proud of. If an auto-manufacturer is able to admit, own-up and fix the glitch then this is good for the consumer. The problem with Toyota was slackness in admitting and fixing the glitch.
Taking a cue from the mistakes of Toyota, General Motors and Nissan acted more maturely and proactively in addressing the issues of a glitch in their cars. Given the fact that modern cars are backed by unprecedented levels of automation, snags or software glitches are bound to happen more frequently than they have in the past. In other words, glitches are here to stay. What needs to be seen is the resolve of the manufacturer to own-up the glitch and fix it to ensure that the consumer does not face any problems.
Toyota’s failure in being transparent and proactive with its flaws has dented its reputation, others seem to have learnt the lesson too fast and it is gladdening to see that manufacturers are feeling more accountable than they have in the past. Consumers should never have to suffer. If a company believes in this principle, then nothing should go wrong for a consumer, from here on.
Written by Rob May
Rob May is an automotive writer with a keen focus on modern cars, SUVs and trucks. He is a strong advocate of Texaco Fuel Cards and Keyfuels Fuel Cards.
