Don't mull over the mistake
If accidentally objectionable words come out of your mouth, don't blame yourself later. Try to be back on the track by quickly apologizing and move on to the next question. Just don't stop talking after offering an apology as the mistake lingers in the air.
You should handle slip-ups that occur while giving information. If a candidate makes a mistake he should instantly clear his position instead of waiting till the end of the interview. He should not harp on the issue.
Apologize
A genuine ‘please-forgive-me' plea always works. That demonstrates your character and an interviewer will be impressed by such an attitude. It suggests that you are honest and admit your mistakes as an employee.
Just panicking won't help. Remaining calm in the face of a mistake will help you get out of an embarrassing situation. Supposing you are going to be late to the interview, you better give a ring to the interviewer, apologize and request for rescheduling the interview if possible. If you do so, you will be displaying your concern for the time of your interviewer.
If you are confused over the name of the company or its product with its competitor, say sorry immediately and say that you in fact know the product the company makes and tell him how you will be able to market their product with your experience in the field.
Are you attending an interview without your portfolio? Did you forget it? Don't worry. Just tell the interviewer that you wanted to know the skills and accomplishments they need and then customize your portfolio.
It's never too late
If you think you have made a mistake during the interview or made a grave error in judgment or in some way you had offended the interviewer, you can still save the situation. Address the problem in a thank-you note. Be careful to tackle the issue positively instead of reminding the interviewer your bungling.
If the mistake is really big, instead of regretting it later, you can write about the issue in a follow-up letter saying that you would like to readdress the question put to you……. Then simply answer the question.
The best thing is not to make a mistake at all. For this, one should research the company's setup, its products and its competitors.