Every company worldwide, including US ones are trying to "save face" when anything bad happens. This is why we have corporate speech.
Individualism does explain many aspects of American culture as do other cultural traits, such as puritanism, a focus on hypocrisy, etc. Face is just one of those aspects of Chinese culture westerns don't really understand unless they've had exposure to it. It however explains many things about modern Chinese culture that are hard to fathom otherwise.