Corporate quality culture and product recalls

초록

This study examines the relationship between corporate quality culture and product recalls. The results show that firms with a stronger quality culture are less likely to have product recalls. This relationship is stronger for firms with a higher proportion of female directors and greater managerial ability. We also find that the impact of quality culture is more pronounced for firms in high-tech and highly globalized industries. The results are robust to various endogeneity tests and alternative model specifications. Our findings support the view that a firm’s quality culture significantly influences product success and consumer well-being.

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