Pinto Fire Case Analysis
Pinto Fire Case Analysis
Identify Decision Options Available to decision makers The affected Parties
Ford Motor Company
The Consumers purchasing the Ford Pinto
The Decision Options Available
1.) The first decision available to Ford was to have taken Mr. Knudsen’s idea of foregoing the small car market and focus on the most profitable medium size cars market. This would have made it unnecessary for the company to shorten its regular production time, which resulted in cutting corners in the way the car is tested which resulted in it being to deem too expensive to modify once the defection was discovered.
2.) Decision two was to rather than rush to the market with the design of the Ford Pinto was to up the production time to the regular three and a half years so as to ensure outmost build quality. This of course would be temporarily surrendering more market shares to the competitors, but have the benefit of providing a vehicle of outmost quality that meets regular company standards as well as the benefit of preventing future loss of lives.
3.) Having forgone decision one the next decision available to the decision makers was to implement the modification discovered to reduce the fuel tank design issue. Had ford done this they may have incurred extra costs so late in the production and given that there consumer profile for the Pinto said they were price conscious means the company stands to lose out on potential sales if this was done.
4.) The next option available was to give up some of their potential competitive advantage by putting the Gas Tank in a different location on the car. The advantage they would lose here is of trunk space as it was believed that consumers at the time were more concerned with convenience than safety.
5.) Seeing as Ford went ahead and launch a knowingly defective productive another decision they could have made was to make the public aware of the tank issue thereby allowing only those who are satisfied with taking the risk
Identify Decision Options Available to decision makers The affected Parties
Ford Motor Company
The Consumers purchasing the Ford Pinto
The Decision Options Available
1.) The first decision available to Ford was to have taken Mr. Knudsen’s idea of foregoing the small car market and focus on the most profitable medium size cars market. This would have made it unnecessary for the company to shorten its regular production time, which resulted in cutting corners in the way the car is tested which resulted in it being to deem too expensive to modify once the defection was discovered.
2.) Decision two was to rather than rush to the market with the design of the Ford Pinto was to up the production time to the regular three and a half years so as to ensure outmost build quality. This of course would be temporarily surrendering more market shares to the competitors, but have the benefit of providing a vehicle of outmost quality that meets regular company standards as well as the benefit of preventing future loss of lives.
3.) Having forgone decision one the next decision available to the decision makers was to implement the modification discovered to reduce the fuel tank design issue. Had ford done this they may have incurred extra costs so late in the production and given that there consumer profile for the Pinto said they were price conscious means the company stands to lose out on potential sales if this was done.
4.) The next option available was to give up some of their potential competitive advantage by putting the Gas Tank in a different location on the car. The advantage they would lose here is of trunk space as it was believed that consumers at the time were more concerned with convenience than safety.
5.) Seeing as Ford went ahead and launch a knowingly defective productive another decision they could have made was to make the public aware of the tank issue thereby allowing only those who are satisfied with taking the risk