Question

In the early 2000s, the Mattel Company was faced with a major problem with some of its toys due to faulty magnets and high levels of lead-based paint. When the company realized it was facing a serious problem, it immediately involved federal agencies on product safety, recalled millions of toys from the shelves, and launched a massive campaign to inform consumers about the recall. In addition, the company set up a crisis link on its webpage and posted updates regularly. Mattel's actions can be classified as _________.

Answer 1

The answer is crisis management.

Step-by-step explanation:

Crisis management is defined as a way to manage unexpected events that may impact an organization negatively. It is part of a public relations management role, since often times these negatively impacting events occur in a public setting. There are two broad types of crises, sudden – which happen without any notice; and smoldering – where it initially begins as a small-scale issue that suddenly have a bigger impact.