Introduction The Mattel Toy Company began in 1945 by Elliot and Ruth Handler along with Harold Matson. The partnership Mattel Creations started off in Southern California in a garage workshop. They started with picture frames and dollhouse furniture. Now Mattel is the world’s largest toy company and creators of Barbie, Hot Wheels and various other toys and products. Mattel is now a global company and their mission statement reflects that. Mattel Inc.’s slogan is “The World’s Mattel.” And mission “Our mission is to act with integrity in all that we do, positively impacting our people, our products, and our planet by playing responsibly.” The corporation clearly expresses that its mission is to be a global company for the betterment
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During this time Mattel Inc. was under many legal issues with lead paint on their toys and small loose magnets that posed a choking hazard to children on their Barbie product. Mattel had to pull over 21 million Mattel toys through a recall and deal with several lawsuits due to the product harming children. The recall and legal issues had been widely publicized in the media.
Stakeholders Criticism With so much negative media attention the Mattel brand looked as though it would not recover. Parents wouldn’t want to buy a product that could harm their children and shareholders could foresee the value of the company falling. Mattel had to pay a $2.3 million civil penalty in 2009 for violating federal lead paint Ban and was the highest penalty ever issued by the United States Consumer Product Safety Commission for a regulated product violation.
Mattel’s Response to the Criticisms Mattel responded to these product issues swiftly by recalling the products, a thorough investigation of the company’s vendors and through the creation of the Mattel Independent Monitoring Council (MIMCO). Mattel now uses this MIMCO as a way of checks and balances to ensure high standards are met within the company and with the products they offer. They also now require full access for on-site inspections with their partners and …show more content…
Even before all the recall issues of 2007 and 2008, Mattel created the Mattel Children’s Foundation and many other social programs that help the company’s appearance. Conclusion Mattel has rebranded and rebounded themselves well after the 2007/2008 recalls and their stocks are proof of that. During the recall crisis the stocks dropped below $10 but have since rebounded to over $30. This rebound may be in part due to the company’s work on reimaging themselves. The website shows how dedicated they are to their quality, principals and standards. While the issues that have plagued Mattel have been very serious, they seem to be doing well now and better prepared for future issues. The Mattel website does a great job of highlighting the social responsibilities they find important and clearly layout all the information for consumers, shareholders and business partners.
Word Count: 638
During this time Mattel Inc. was under many legal issues with lead paint on their toys and small loose magnets that posed a choking hazard to children on their Barbie product. Mattel had to pull over 21 million Mattel toys through a recall and deal with several lawsuits due to the product harming children. The recall and legal issues had been widely publicized in the media.
Stakeholders Criticism With so much negative media attention the Mattel brand looked as though it would not recover. Parents wouldn’t want to buy a product that could harm their children and shareholders could foresee the value of the company falling. Mattel had to pay a $2.3 million civil penalty in 2009 for violating federal lead paint Ban and was the highest penalty ever issued by the United States Consumer Product Safety Commission for a regulated product violation.
Mattel’s Response to the Criticisms Mattel responded to these product issues swiftly by recalling the products, a thorough investigation of the company’s vendors and through the creation of the Mattel Independent Monitoring Council (MIMCO). Mattel now uses this MIMCO as a way of checks and balances to ensure high standards are met within the company and with the products they offer. They also now require full access for on-site inspections with their partners and …show more content…
Even before all the recall issues of 2007 and 2008, Mattel created the Mattel Children’s Foundation and many other social programs that help the company’s appearance. Conclusion Mattel has rebranded and rebounded themselves well after the 2007/2008 recalls and their stocks are proof of that. During the recall crisis the stocks dropped below $10 but have since rebounded to over $30. This rebound may be in part due to the company’s work on reimaging themselves. The website shows how dedicated they are to their quality, principals and standards. While the issues that have plagued Mattel have been very serious, they seem to be doing well now and better prepared for future issues. The Mattel website does a great job of highlighting the social responsibilities they find important and clearly layout all the information for consumers, shareholders and business partners.
Word Count: 638