Question

Why are product recalls costly for a company? (Select all that apply.)

Dealing with a recall takes time and money away from other parts of the business,
The company has to spend money to advertise the product recall.
Fixing a defective product is time-consuming and expensive.
The company can be fined in some instances when a product is faulty.

Answer 1

Answer: • Dealing with a recall takes time and money away from other parts of the business.

• Fixing a defective product is time-consuming and expensive.

• The company can be fined in some instances when a product is faulty.

Step-by-step explanation:

A product recall occurs when there r are defective products which are then retrieved by the producers and replaced. Product recalls are costly for a company because:

• Dealing with a recall takes time and money away from other parts of the business.

• Fixing a defective product is time-consuming and expensive.

• The company can be fined in some instances when a product is faulty