Running Head: CASE STUDY Case Study Team MGT/216 09/13/10 Teacher Abstract Take a step back into the past, 1971 to be exact, imagine being a proud new owner of a popular and affordable vehicle, the Pinto. The vehicle is perfect for the tight budgeted and built by a trusted company (Ford). Then the unexpected happens, it is in a rear end accident. Upon the accident the car explodes. Sounds like a bad dream, right! (See video link in PowerPoint presentation)
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Executive Summary for Pinto Case In the automobile industry, the Pinto case is a reminder of how business decisions can cause people to act unethical when money and social pressures arise. The Ford Motor Company (Ford) sought to compete with foreign car manufacturers and expedite the production of vehicles even if it meant disregarding red flag signals. Your gut can still be useful in alerting you that something might be wrong—that you’re facing an ethical dilemma—in the first place (Trevino &
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Managing Product Safety: the Ford Pinto Summary: Around 1967 Ford Motor Company decided to design a small size car called the Ford Pinto. The automobile industry at the time (and still is) was highly competitive and very cyclical. In the late 1960's, America began to see the influences of foreign vehicles. Facts Around 1967 Ford Motor Company decided to design a small size car called the Ford Pinto. The automobile industry at the time (and still is) was highly competitive and very cyclical
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that he buys? Can we trust corporations that they will not produce what will jeopardize the human life? Was Ford to be blame in the pinto case? Must we wait for the characters like “Erin Brokovich” to fight on behalf of the helpless consumers? Who is to be blamed for the McDonald’s hot coffee case-the producer, the consumer or the regulators? Almost thirty years has passed since the Pinto accidents and what followed from it. We still don’t know how “safe” a
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desirable bottom line. Ford is one company during the 1970’s many people consider put its bottom line before the safety of its consumers, thereby leading many people to question its business research and ethical practices. The controversy came about with the development of the Ford Pinto. The Ford Pinto was manufactured as a response to the overwhelming competition from Volkswagen, Toyota, and Datsun in the abundant small car market. Lee Iaccoca was the vice president for Ford Company during the
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Under the leadership of Ford CEO Lee Lacocca, The Ford Pinto Company introduced in 1971 in Canada, and later in U.S, had reputation as being the safety pioneer in the automobile industry. But was trouble impending, the car did not pass on the test, meaning that it failed bellow the state of the art for cars of that size. The design of the car flaws in its Pinto model could cause the car to burst into flames even in minor rear-end collisions. At the time there was no National Highway Traffic Safety
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Ethical Dilemma in the Ford Pinto Case On August 10, 1978 three young girls died in a 1973 Ford Pinto after being stuck from the rear by a driver in a van. The Ford Pinto was completely engulfed in flames and the accident resulted in the death of the three young girls. Today, the debate continues regarding whether or not The Ford Motor Company was responsible for this case and many other cases involving the Pinto bursting into flames resulting in disfigurement or death. Ford has argued for over
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What moral issues does the Pinto case raise? The moral issues about the Ford Pinto is that they take their profit is more important than human life. They also did not inform the consumer about the facts of the Pinto. Lastly, they also lobbied the safety of the car to lowest standard.The Pinto case brought up issue of abusing human rights and behaved unethically in business. Ford had the design to reduce the possibility of Ford Pinto from exploding. However, the company refused to implement it, although
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Ford Pinto Case In the 1970’s the Ford Pinto was debuted. It was debuted without regards to safety features and concern for society. The biggest concern regarding the role the company played was the concern for cutting costs and the hunger for making the biggest profit exceeding other competitors. Proper corporate morals and principles laid out to be followed were severally jeopardized with the release of this new model. The lack of interest for human life initiated dozens of lawsuits against Ford
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facts. In the Pinto Fires Case, I believe there are six large facts that are the most relevant to determining whether a recall is the appropriate course of action. The first fact is that Ford Motor Company discovered the issue before the Pinto was released. With many recalls, the issues are not discovered until after the products in question are released, but Ford knew about this major issue and released the car anyways. The second crucial fact builds off the previous one – Ford knew how to fix
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