Estella Wright Dennis Gioia “The Ford Pinto Fire” Week Six (7/1/14) Written Assignment SYNOPSIS OF THE ARTICLE In 1968‚ Ford Motor Company made plans for a car that would be inexpensive‚ small‚ and appeal to all car buyers. The planned project was to meet the 2000/2000 rule‚ meaning that the Pinto could weigh no more than 2‚000 pounds‚ and cost no more than $2‚000. This rule was instituted because of the extreme competition from foreign car makers such as Toyota and all of the
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TREVINO & NELSON ETHICAL DECISION MAKING (T&N EDM) MODEL INSTRUCTION: DETAILS: 1. Gather the FACTS. Safety doesn’t sale - Trunk space is what sales Standard guidelines for the automotive community were in place 3 teenage girls died Pinto fuel tank had a known issue Product on the market 2 years Cost of replacement gas tank $11 Cost of human life $2000 Received reports that Pinto was exploding (multiple cases) 2. Define the ETHICAL ISSUES (I) in _moral terms_ (e.g.‚ Is X action
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Mr. Gioia’s decisions regarding the Pinto fires highlights the disengagement from emotion often associated with business decisions. From a business stand point‚ decisions have to be based on facts and financial repercussions are the ultimate deciding factor in which action to pursue. If a defect in a certain make or model of car is classified as an extremely rare incident then no action will be taken. This is governed by the premise of statistical probability. Coupled with a detailed cost versus
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Case Analysis: Pinto Fires Introduction Greed is the root to evil or at least the motivation behind some corporations making a good‚ ethical decision. The Ford Motor Company fell into a trap of greed that would cost many human lives. Before the disaster of the Pinto Fires‚ Ford had a reputation as being the safety pioneer in the automobile industry with additions such as the seat belts. However‚ as the invention of small cars began to take emerge Ford began to loose market shares to the foreign
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Ford Pinto Fires Case Questions 1. Identify relevant facts (Treviño‚ Nelson‚ and K.A. (2007) a. 1968 Ford made the decision to battle foreign competition and produce a small car to be in the showroom by 1971 b. Shortest production planning period in automotive history c. Under normal conditions chassis design‚ styling‚ product planning‚ advance engineering‚ component testing‚ and so on were all either completed or nearly completed prior to tooling of the production factories
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The Ford Pinto Fires Case The Pinto fires case is about a series of accidents involving the Ford Pinto’s fuel tank bursting into flames if struck from the rear. A 1978 suit against Ford Motor Co. for the murder of 3 teenagers brought the incidents to the public attention as it was the first time a major corporation was charged in a criminal case beyond negligence (Trevino‚ 2011). Background The Ford Pinto was rushed to production by Lee Iacocca to directly compete in the small car market with countries
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Ethical dimensions of cost/benefit" analysis. Evaluate from a moral perspective the "cost/benefit" analysis conducted by Ford. One may ask what do we need ethics in business for? To answer this question‚ we need to know what ethics is‚ as well as‚ what impact it has on businesses‚ people and relations. Ethics is often defined as a set of rules‚ principles governing a group or a person; determining his/her behavior. It imposes a social responsibility on people. Even though‚ in the past ethics was
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Case Analysis: Ford Pinto Carlandra Moss Excelsior College November 2‚ 2014 How much is a life worth in dollars? Imaginably a couple of million? In the 1970s Ford Motor Company idea of life was worth about $200‚000 dollars. In the article‚ Pinto Madness by Mark Dowie‚ Ford Motor Company argued that it would be too expensive to fix a crash-induced fuel leak in the Pinto Car model. Ford was definitely facing a serious moral obligation; the moral thing to do is to face the consequences
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Risk Analysis (Pinto Case) Three social issues that are in this case are that one‚ social issue in this case was Ford claimed the reason for the recall of the 1.9 million Ford Pintos was not for safety but for “reputational” reasons. This is a social issue because‚ after all the evidence was piled up on their company for being unsafe and hazardous‚ they couldn’t just admit they made a mistake and recall the vehicles to make them safer. No‚ they had to use the reputation card to help their company’s
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Pinto Fire Case Study MGT216 April 18‚ 2012 Roles Regarding Pinto Fire In the 1970’s Ford Motor Company was faced with a questionable decision regarding the production and introduction of the Ford Pinto (Encyclopedia of Science‚ Technology‚ and Ethics‚ 2006). The introduction of the Ford Pinto was Ford’s attempt at producing a stylish and affordable subcompact vehicle that possessed lower operating costs (Encyclopedia of Science‚ Technology‚ and Ethics‚ 2006). The Pinto was rushed into production
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