Toyota's Problems

I am sure that recently everyone has heard at least a little bit about what is going on with Toyota and the recent recalls that they have issued. I would like to talk a little bit about those. Recently Toyota issued 2 recalls that effected over 8.5 million cars. The first recall was because of the sticky accelerator problem, or in other words, the accelerator pedal would stick and the car would accelerate out of control. The second recall was for problems with the floor mat blocking the brake pedal. These two recalls have drastically hurt Toyota's image recently which many believe will result in a huge loss for the company.

Many believe that these recalls would also effect all of the many Toyota dealerships, but dealerships will only suffer small losses. All of the repairs that are being performed will be paid for by Toyota. So far overall sales haven't been effected as of late, but dealerships believe that Toyota will have a plan in place so that the dealerships will not be hurt too badly by these recent quality issues.

http://www.reuters.com/article/idUSTRE61A5GN20100211