A Riveting Look at Toshiba's Scandal: Ripple Effects on Japanese Corporate Culture

2. The Role of Toshiba's Corporate Culture

At the heart of Toshiba's scandal was a corporate culture prioritizing profits over integrity. The company's management fostered an environment where employees were pressured to meet unrealistic targets, leading to the falsification of financial reports. This culture of fear and intimidation stifled dissent and discouraged transparency, allowing the deception to go unchecked. The scandal also exposed a culture of complacency within Toshiba. Employees who suspected wrongdoing chose to stay silent, fearing retaliation from their superiors. This culture of silence, common in many Japanese corporations, facilitated the prolonged deception.