A product recall is a process of retrieving defective and/or potentially unsafe goods from consumers while providing those consumers with compensation. Recalls often occur as a result of safety concerns over a manufacturing defect in a product that may harm its user.
A product recall may be voluntary or mandated by a regulatory body such as the Consumer Product Safety Commission in the U.S. Product recalls occurring as a result of safety or quality concerns related to a manufacturing or design defect in a product that may harm its users.
Recalls may negatively affect a company's stock as they are expensive and can damage a firm's reputation, leading to declining sales. Recalls may be done voluntarily if the company believes it will be more cost-effective rather than wait for lawsuits or mandated recalls.

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