There are harmful consequences for the company regarding brand value as well as regarding financial burdens and legal issues that can occur by choices that company makes.
A choice of the company to take up an ethical means of the disposal of the products by an early recall can prevent long-term heavy losses regarding customer satisfaction and also enable long-term funding by the bank for the organization in good faith. Although, loss of funding means that manufacturing equipment can no longer be bought, and then company faces large financial losses in short as well as the long run.