Toyota Reveals Big Problems at Japan, Inc.

GlobeTracker| Writing for the Wall Street Journal, Jeff Kingston argues that Toyota’s nightmare, now extending into its Prius hybrid brand as well, reflects Japan’s poor skills in crisis management.

‘There is a cultural element to this penchant for mismanaging crisis,” says Kingston. The corporation simply cannot ‘lose face’. Owning up to product defects in a country obsessed with craftsmanship and quality raises the bar on disclosure and responsibility. In addition, loyalty to the firm makes whistleblowing culturally impossible.

Writing about the massive problems endemic to Japanese companies, Kingston makes it vividly clear that American business is hardly the only one under assault, looking for new ways to compete in a global world. via Wall Street Journal