The day after the press conference, August 11, the NHTSA began investigating the Pinto, and in May of concluded that the fuel system was defective. The last option would force management to take nother look into investing more in their cars. The first federal standard for automotive fuel system safety, passed inknown as Section in the Federal Motor Vehicle Safety Standardsinitially only considered front impacts.
The same approach mentioned above could have been used back then as well. Shifting to Small Cars? Super Stock Magazine found the fit and finish to be "superior" and were impressed with the car overall.
The Mother Jones article also estimated that to persons were killed in fires attributed to the fuel tank design. In this case, the United States had a load of flour aboard a barge, the Anna C.
If they wanted to stay ahead of the competition regardless of the impact on the American lives. Ford had several options at its disposal to prevent, minimize, and at least warn its customers of the possible harm that could be associated with the Pinto.
The case was put under a microscope and analyzed because the company did not upgrade the integrity of the system until because of the cost benefits analysis. In addition to the two higher profile cases, Ford faced over lawsuits related to the rear-end accidents in the Pinto.
Ford, however, ignored both of these estimates and chose a much lower value of human life: Business people should not forget that they have a social responsibility as well as a responsibility of maintaining business ethics. This mission still holds true today.
The Top Automotive Engineering Failures: To examine this case thoroughly, the time and social norms of the time must be taken into consideration. While the controversy behind the use of the value of human life in risk-benefit analysis still persists, it has become not only a common practice but an expected practice.
Prentice Hall Leggett, C. All Bobcats were restyled with a domed hood and a taller vertical bar grille styled to look like senior Mercury models. This ensures that there develops a trust between consumer and company, and possibly a long relationship between the two.
Auto Trade Remarkable, Ford Asserts. Testing proved the Pinto was not the safest vehicle however Ford lobbied and argued that accidents and fatalities were an assumed risk of driving.
The Hand Rule and United States v. Design changes were made, but post launch tests showed similar results.
American Law and Economics Review. Recall[ edit ] Rather than wait for the public hearing, Ford agreed to do a voluntary recall on the Pinto on June 8, . Introduction to Engineering Design.
For instance, the Food and Drug Administration requires pharmaceutical companies to conduct risk-benefit analysis on the safety of their drugs; the Environmental Protection Agency requires chemical companies to conduct risk-benefit analysis on the extent of the effects of their air pollution.
If faced with an ethical dilemma similar to that in the Pinto case, it would be important to consider the factors and remind management that it is unethical to knowingly market a car with unsafe parts to the public De George, Weights were placed in the nose of the car to help it slide under the Pinto and maximize gas tank contact.
The Ford Pinto Example. The Ford Corporation knew from the beginning that the Pinto was dangerous. Prior to the release of the Pinto memo in the Grimshaw v. Additionally, the faulty cost-benefit analysis played a role as well.case study report on ford company who made a car named as pinto.
The smallest American Ford vehicle sincethe Pinto was the first subcompact vehicle produced by Ford in North America; the Pinto was also the first mass-produced American car. "The Ford Pinto case is mentioned in most Business Ethics texts as an example of Cost-Benefit analysis, yet in those formats any appreciation of the complexity surrounding the issues of such decisions is overly simplified.
Ford Pinto Case Study and Executive Summary Semon Knudsen argued that Ford should focus its attention on the more lucrative medium and larger vehicles.
The success of the Mustang elevated Iacocca's status and ideas and eventually forced Knudsen out. The Ford Pinto was Ford Motor Company’s entrance into the subcompact car market in the s.
With the rising popularity of imported Japanese and German vehicles, which were often smaller and more fuel efficient, beginning to push into the dominance of American automakers’ share of the market, Ford designed the Pinto as a viable.
CASE STUDY: FORD PINTO The case over here is that of Pinto a car launched by Ford motor company. The Ford Pinto is a subcompact car produced by the Ford Motor Company for the model years –Download