Are you saying that there aren't things that have had their reputation damaged in one way or another (sometimes even just because of their name), even if just in perception, that either basically never came back or came back under some other name and/or in a somewhat different form? Doesn't seem like it's a given that one thing or another thing will necessarily be the result considering things could go either way.
Of course their are! BMW 3 series, how popular is that? One time it was recalled of breaks failing. You lot are a tiny tiny tiny collection of people that are interested in tech, the mass customer base aren't and don't care about a name, they just want it to work and do what they want, that's why they don't bother changing names. Do people avoid planes that have crashed and killed hundreds?