Mattel’s Sorry Apology

Posted on September 25, 2007
by Maureen Keene

Mattel’s very public, highly staged apology to China (yes, the whole nation) has garnered a lot of media attention, with reports calling the move “astonishing” and “extraordinary.” According to the Associated Press:

The world’s largest toy maker sent a top executive to personally apologize to China’s product safety chief, Li Changjang, as reporters and company lawyers looked on.

“Mattel takes full responsibility for these recalls and apologizes personally to you, the Chinese people, and all of our customers who received the toys,” Thomas A. Debrowski, Mattel’s executive vice president for worldwide operations, told Li.

…On Friday, Debrowski acknowledged that the “vast majority of those products that were recalled were the result of a design flaw in Mattel’s design, not through a manufacturing flaw in China’s manufacturers.”

…In Beijing, Debrowski said, “we understand and appreciate deeply the issues that this has caused for the reputation of Chinese manufacturers.”

It’s true that some 17 million toys were recalled because of dangerous magnets, certainly a design flaw. But an additional 2 million toys covered in lead paint is no small number. And previous reports regarding the magnetic toys did not fault Chinese subcontractors anyway. So why the apology?

“Mattel certainly must have been facing some pressure to do that, because you can’t imagine why they would be trying to push this story along any further,” said Eric Johnson, a professor of operations management at Tuck School of Business at Dartmouth College.

Whether coerced or preemptive, Mattel’s move to appease the Chinese government has sparked an even bigger backlash among U.S. consumers than the recalls and the flouting of CPSC regulations combined. (Immediately after the reports circulated my petition to boycott Mattel received a significant upsurge in activity.) Mattel did not come grovelling to its customers — perhaps we’re being taken for granted? Or to the U.S. government, whose regulations CEO Robert Eckert finds unreasonable. But Mattel isn’t taking any chances with its source of cheap labor. China is the goose that lays the golden egg for this $6 billion company.

Shortly after the reports of the apology broke, in an attempt to backpedal a bit, Mattel issued a press release stating:

Some reports of Mattel’s meeting today with Chinese officials have been mischaracterized.

Since Mattel toys are sold the world over, Mattel apologized to the Chinese today just as it has wherever its toys are sold.

The U.S. Congress has focused its inquiry on lead paint, given its long history of interest in that issue. Mattel has told the Chinese, as we did the U.S. Congress, the lead-related recalls arose because a minority of manufacturers did not follow the company’s rules. In fact, Chinese officials have informed Mattel they are pursuing criminal charges against several individuals connected with at least one of those manufacturers.

So in front of Congress and American consumers, it’s China’s fault, and in front of the Chinese government it’s all Mattel’s fault?

Let’s be clear on one thing: Mattel has to take responsibility for its products and China has to take responsibility for the safety and quality of its exports. And if neither can do so, consumers should steer clear of both until they are willing to put safety above profits.

Finally, this very poorly scripted bit of theater has left me wondering who should be fired first — Mattel’s head of quality assurance or the head of PR. It seems they should lose their jobs simultaneously. And then be doused in lead paint by underpaid, overworked Chinese factory workers. And then be kicked by small, IQ-depleted children while the theme to “Elmo’s World” plays over and over.

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