Toyota, Peugeot Citroen and now Honda – Car industry jinxed?

Search “car recalls” on Google today and you’ll find Toyota tops the searches but then this is not surprising, the recalls have been all over the news. What is surprising is that Toyota is not alone -following Toyota is Citroen and Peugeot in Europe! And yes they all have the same problem, all were fitted with the same faulty accelerator pedal that’s giving the Toyota bosses a reputation crisis management problem.
For Peugeot 107s and Citroen C1s, we are going to carry out an identical campaign as Toyota,  says the spokesman for Peugeot Citroen, the second biggest car maker of Europe.

This statement clearly shows that Toyota’s bold move to recall millions of cars has been seen as a positive action during a reputation crisis and others are following suit. All the cars being recalled were made at a plant at Kolin, in the Czech Republic that Peugeot-Citroen has shared with Toyota – a partnership made in 2005.

A new entrant into the recall mode is Honda – Following a number of incidents in which cars reportedly set on fire after electric window switches short-circuited, Honda is to recall the 2007 and 2008 US versions of its Fits models as well as the 2002 to 2008 versions of its Jazz cars in Europe.

Is the car industry jinxed this year, one may wonder, with three big companies recalling cars all over the world?

The other question is will this affect the stock values significantly? Being the top selling cars worldwide, the brands have much to lose.

However for reputation management people, what we see in these auto recalls is a great example in company crisis management.