Wonderful Toy Company (WTC) is celebrating its hundredth anniversary this year. The company has been successful in designing and making educational toys for department stores and smaller specialty toy shops popular with doting parents and grandparents.

The sales manager has recently returned from a national convention and heard that many other toy manufacturers are implementing TQM. WTC’s president, the greatgrandson of the company’s founder, does not think that WTC needs TQM. He states,

“We have been in business for 100 years and this company has been very profitable.

Our customers must be happy with us because they are still buying our products. Why should we change the way we do business?”

Evaluate the president’s statement.