Imagine that Mattel\'s toy recall in 2007 has just occurred. The company has alr
ID: 434610 • Letter: I
Question
Imagine that Mattel's toy recall in 2007 has just occurred. The company has already recalled the products which have been reported to contain illegal levels of lead and unsafe magnets. However, the company is unsure which additional, if any, products to recall. Using a stakeholder analysis, evaluate and explain how each of the following groups of stakeholders would be affected in BOTH situations: if Mattel's decides to recall additional products [specify which ones and why] AND if Mattel decides not to issue any additional recalls [also explain reasoning behind why]:
1). Customers
2). Suppliers
3). Distributors
4). Employees
5). Managers
6). Stockholders
7). Community/Society/Nation
Explanation / Answer
Answer:
Mattel's toy recall in 2007 has just occurred. The company has already recalled the products which have been reported to contain illegal levels of lead and unsafe magnets. However, the company is unsure which additional, if any, products to recall.
Using a stakeholder analysis, evaluation and explanation on how each of the following groups of stakeholders will be affected in BOTH situations:
If Mattel's decides to recall additional products, then following stakeholders will be affected as below
1). Customers – Customers need to return the product which they purchased and need to get the reimbursement/ new replacement product from Mattel.
3). Distributors – Distributors need to organize the collection of products from retailers/customer and return back to Mattel plant/rework location. They need to send the existing stock at their end to plant also.
4). Employees – Employees need to execute the rework for the returned products at the plant and make the products with good one parts.
5). Managers – Managers need to organize the collection of bad products from market and organize the rework for the returned products at the plant with the help of employee team.
6). Stockholders – Stockholders need to send back the old stock of the parts which are containing wrong parts/ defected parts at their stock.
7). Community/Society/Nation – By recalling the products from market it affects the people of the community, it impacts the society and the finally it impacts the nation due to the sale of defected parts in the nation.
AND if Mattel decides not to issue any additional recalls: then following stakeholder will be affected as below
1). Customers – Customer will be affected because they may be using the defected parts and these defected parts may have health issues on the customer and near by people.
3). Distributors – Distributors will be affected because the product complaints will be reported at distributors and distributors will have sale impacts , as the product defects will create negative marketing in the market for the product.
6). Stockholders – These people need to supply the defected products and upon negative marketing, due to low sale, the inventory cost will be high for the stock holders for these defected parts.
7). Community/Society/Nation – Customer will get affected due to defected parts, then it will impact the people in the community, society and finally it will be a loss for the nation.