Kristen Woolley MGMT 368 Dropbox week 3 6/20/15 Ford Pinto Case Study It has been noted that the Utilitarian Theory is one of the upmost important theories in business ethics. This theory deals with the morality of actions in relation to cost effectiveness. This is known as benefit analysis. A company must weigh harm, justice, honesty and rights. If a company knows that something is defective and potentially harm it's consumers, the company must weigh all costs of fixing the issue
In the late 1960s to early 1970s Ford was losing market share to overseas car manufactures. In order to regain lost ground in the subcompact car category, they decided to rush their design and development of their new car the Pinto. Design started in 1968 and with a completion goal of 1971, Ford slacked on testing requirements set by the National Highway Traffic Safety Administration (NHTSA). When a rear collision occurs the gas tanks would rupture resulting in dangerous leaks. This results failed
American made cars. Ford motor company wanted to produce a subcompact car to “meet the threat from abroad head on” so Ford came up with the Ford Pinto. These cars were made to be affordable and domestic, in order for a large quantity of Americans would be able to afford them. With the idea originating in 1968 to meet the deadline Ford they “decided to compress the normal drafting board to showroom time of about three and a half years into two”. After numerous crash-tests of Pinto prototypes that ended
Until the late 1960s Ford Motor Company was only manufacturing large metal, gas draining vehicles. During this time foreign automakers were capitalizing on a not so competitive subcompact market. These vehicles weighed less, more fuel efficient, and also cost less than the average American made vehicle. Ford Motor Company was not in the business to be second to anyone. President of Ford Motor Company Lee Iacocca decided to push the envelope and create a car that would beat any other subcompact on
DO ENGINEERS NEED ETHICS? Ethics are moral principles that govern a person’s behaviour or the conducting of an activity. Charles Fleddermann describes engineering ethics as “a body of philosophy indicating the way engineers should conduct themselves in their professional capacity.”[1]. Ethics and morals work in tandem in the engineering workplace which contributes to order harmony and expectations. Ethics can also be viewed as values. Values are embedded in our characters and last longer and are