Planning for the Inevitable Product Recall Harvard Case Solution & Analysis

The importance of planning for a recall can be seen in a lot of recalls, they are more and more often, and overall costs they incur both direct and indirect. Direct costs include the making available to all interested parties; logistics refurbishment, repair and return the product, as well as loss of income due to lower sales during the period and after pressing. Indirect costs are reduced in the share price and market value. This article provides a guide to planning for a product recall of three phases: before, during and after the call. Proper product readiness recalls can significantly minimize the direct and indirect costs. "Hide
by Barry Berman Source: Business Horizons 10 pages. Publication Date: March 15, 1999. Prod. #: BH008-PDF-ENG

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