Saturday, February 6, 2010

The fall of Toyota as we know it

OK so like everyone knows the deal with Toyota, how they completely dropped the ball on this one. but just in case you don't know what I'm talking about. here's what happened: in January 2010 Toyota recalled around 6.5 Million cars from the US and 1.8 mill from Europe because of what is thought to be a problem with the acceleration pedal sticking to the floor which caused it to suddenly accelerate. That problem was blamed for several crashes, including an accident involving a Lexus that accelerated to more than 120 mph before crashing in San Diego, killing four people. this is probably the worst PR thing to happen to Toyota in it 73 year history and there is almost no chance of them coming back from it. They have stopped production and sales on all automobiles while they try to fix this. it is a devastating blow to the company who was already hurting from the global recession (in May of 2009, Toyota reported a record annual net loss of $4.4 billion) I highly doubt they will be able to recover, well not as Toyota. Most likely the company will show up later under a different name, repackaged as something else to be once more sold to the unknowing consumer.

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