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Ford Pinto Fuel Tank Scandal

The Events of the Case

Terminal Value

  • meeting production timetable
  • saving money

Instrumental Value

  • Ford decided to compress the schedule for the Pinto
  • Crash test ended up with ruptured gas tanks and dangerous leaks
  • Only Pinto's to pass have been modified with a rubber bladder in the gas tank or a piece of steel between the tank and rear bumper
  • Ways to make gas tank safer, estimated cost, $5 to $8 per vehicle
  • Ford went ahead with the design knowing it was dangerous and stuck with it for 6 years
  • Thus, safety improvements outweighed Ford's benefits, consequently sticking to old design without improving
  • Greed
  • Innovation

Corporate Social Responsibilities #1

Innovation - Body of Work

New pick up truck F-150 promised to have:

Ford's Company Mission Statement

Ethical Dilemma

  • bigger payloads
  • greater towing capacity
  • better handling
  • increases strength and durability while reducing vehicle weight by up to 700 pounds

Jeopardize consumer safety, thereby meeting the production timetable? Or delay production by redesigning the gas tank to construct safer vehicle?

Enhance the lives of the population through automotive and transportability leadership as a trusted, global enterprise.

Ford is always trying to find new methods and ideas while building cars - linked to fuel tank dilemma

Main Ethical Events

Corporate Social Responsibilities #2

Outcome

Society for Poor People Development

Moral Rights

Utilitarian

Between 1971 and 1978

  • Ford provided support for India's SPPD for basic training in tailoring
  • helped hundreds of low-income women
  • built learning centers in eight villages
  • provided clean drinking water to 1,500 children
  • safety right was violated to all the consumers
  • Ford knew gas tanks were not functioning properly but still produced and sold the Pinto
  • Pinto was responsible for many fire related deaths.
  • Ford put the number at 23, critics say closer to 500
  • Ford was required to recall all 1971-76 Pintos for fuel tank modifications
  • approx. fifty lawsuits were brought against Ford
  • three teenage girls were burned to death in the Pinto
  • Ford was charged with criminal homicide. Jury found ford not guilty
  • selling Pinto without redesigning gas tank, Ford is meeting production timetable
  • safety improvements would outweigh benefits
  • more consumers benefited from the Pinto rather than suffering from it

Ford claims that Pinto met or even passed government standards

Works Cited

http://corporate.ford.com/company.html

http://corporate.ford.com/content/dam/corporate/en/company/Company_Community_2014_FordFundReport.pdf

http://corporate.ford.com/innovation/f-150-body-of-work.html

https://philosophia.uncg.edu/phi361-metivier/module-2-why-does-business-need-ethics/case-the-ford-pinto/

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