Toyota's Ethical Issues

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Toyota issues in automotive industry resulted from a lack of moral and ethical obligations to loyal customers. In fact, people encounter ethics at one time or another. A business expectation is to act in manner upholding society values. According to authors Trevino and Nelson, (2004) states, “a set of moral principals or values, or the principals, norm, and standards of conduct governing a group or individual.” On the other hand, three ethical criteria determined in this discussion like obligation, moral ideas, and consequences which this article highlights an ethical dilemma with automobiles makers.

According to Steve Gorman of Thomson Reuters, the world’s largest international multimedia news agency, 40 consumers, and businesses filed legal claims against Toyota. The claims involved financial losses including diminished vehicle principles steaming from complaints of Toyota cars racing out of manage (Gorman, S. 2010). An international company memo cited that a reliable (brake override) option in 2007, three years prior to the safety feature made standard.

Toyota failed to address complaints involving impulsive unintentional acceleration starting in 2002. During this time, a new electronic throttle control system replaced the standard equipment in Toyota vehicles (Gorman, 2010). According to Steve Gorman, Toyota insists that the defective vehicles sped out of control because of the floor mats and sticking gas pedals. Both issues were addressed by safety recalls. Gorman states that many unintended acceleration cases stem from driver inaccuracy (Gorman, 2010).

The Toyota Motor Corporation’s ethical issues stem from not reporting the sticking gas pedal of the Toyota Camry and Prius vehicles. Because of not reporting the issue...

... middle of paper ...

...ge James Selna for pretrial proceedings (Gorman, S. 2010). Because the Toyota Corporation may have been unethical in its business practices, the corporation suffers the loss, and now has a faulty reputation.

Works Cited

Abide, M. (2010). Toyota to agree $15.4 million dollar finance, Retrieved from http://techstop.abidshafiq.com/ 2010/04/ap-source-toyota-to-agree-to-16-4-million-fine/

Connor, M. (2010), Toyota Recall, Retrieved from http://business-ethics.com/2010/01/31/2123-toyota-recall-five-critical-lessons/

Kidder, R, M., (2010), Center for corporate Ethics, Institute for Global Ethics, retrieved on August 08,2010 from www.globalethics.org/ reserve reading from ethics news line

Treviño, L. K., & Nelson, K. A. (2007). Managing business ethics: Straight talk about how to do it right Fourth ed., Retrieved on July 30, 2010 from www.ecampus.phoenix.edu

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