But studies from a researcher at The University of Iowa Tippie College of Business find that instead, firms are actually more likely to resist recalls the more injuries or deaths the product causes.

Researcher Miranda Welbourne Eleázar, assistant professor of management and entrepreneurship, studied recalls that were either encouraged or ordered by the US Consumer Product Safety Commission and found that…

• when someone is injured using a product, it leads to 31% increase in the amount of time it takes the company to issue a recall.
• when someone is killed, it leads to an 86% increase in the amount of time to recall.
• it takes longer to recall products that cause a greater number of deaths than products that cause injuries.

The study also found that when young children are killed or injured, the time to recall increases by 56% compared to when adults are killed or injured.

She points to recalls of a baby rocker that the manufacturer delayed recalling until 30 children had died while using it. Another company delayed a baby dresser recall until eight children had died and many others injured when it fell over on them.

Why do firms fight recalls of dangerous products? Welbourne Eleazar calls it immoral entrenchment, or the collective moral disengagement among decision makers. Immoral entrenchment results in firms’ denial of responsibility and unethical behavior. The behavior feeds on itself, so leaders dig in their heels the more they’re pushed to recall.

She said companies fight the recalls with strategies ranging from blaming the users to presenting thank you notes from consumers who like the product. Some firms have gone bankrupt rather than recall a product.