Such a program would not only boost consumer confidence: if drivers did not have any problems after the repairs, this would also repair the public's trust in the Toyota brand.
Concern 2: Mistrust of flagship electric car model the Prius
Perhaps even more damaging have been the problems with Toyota's flagship electric car model, the Prius. The Prius has also been accused of unstoppable, unintended acceleration. Toyota had become synonymous with eco-friendly cars. Damaging the reputation for the safety of electric cars not only hurts Toyota's short-term profits; it also impacts the likelihood of consumers to buy electric cars in general. This shift would be particularly damaging to Toyota, given it has invested so much of its brand image and research and development capital in the success of the Prius.
Resolution 2
As well as improving the safety features on new models and repairing old models, Toyota must undertake a particularly aggressive effort to rehabilitate the image of the Prius. Drastically slashing prices would be one way to attract eco-friendly, young, and budget-conscious consumers who are the Prius' target audience. Younger people are making less money, given that the job market has been especially cruel for new college graduates with student loans. It is critical that young people become loyal Toyota customers early on in their driving lives, and are not scarred by the brand's current difficulties.
Problem 3: Appearance of a cover-up at Toyota
Trying to cover up a problem is often worse than the problem itself. Widespread belief that Toyota tried to cover up the technical problems of its cars at the expense of consumer safety has damaged the brand's image as committed to consumer quality. After a long public relations fight to establish a trusted position in the hearts of American car buyers, the Japanese manufacturer Toyota has squandered consumer goodwill. "The brand's quality reputation plunged since its recall-66.4% of consumers now consider it reliable vs. A near-universal 92.4% before" and if the company is required to pay fines regarding the 'foot-dragging' it exhibited in America, its brand image domestically will be even more difficult to resurrect (Steinberg...
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