According to the website ,www.newlinlaw.com, it says, “Chrysler, Ford, and Subaru have joined the original list of manufacturers, that included Honda, Nissan, Mazda, Toyota, BMW, and GM… airbag inflators can fill with excessive pressure during a crash.” (www.blog.caranddriver.com) Chrysler, Ford, BMW, etc. all have dangerous airbags. Furthermore, in the website article, www.safecargov.com, it says, “Because air bags deploy very rapidly,…
Hydraulics vs Airbags Have you ever seen a car with beautiful murals, low to the ground, able to lower and raise up? Around the 1950’s people started using hydraulics for their “lowriders”. People take pride in their lowriders and if people don’t want to damage their car they would put airbags instead. Lowriders are classic cars like the ‘64 Impala and are customized like putting hydraulics, airbags, candy paint, murals, and etc. Most lowriders use hydraulics and are able to 3-wheel something people can’t do with airbags.…
This event triggered Gonzales to brought a suit to Texas municipal court against Chrysler (manufacturer of the car), TRW Inc and TRW Vehicle Safety Systems (designer of airbag’s sensor), and Morton International Inc (Designer of the airbag). Because of the plaintiff brought the suit in…
Pinto Fires and Personal Ethics Ford is a well-known auto maker and neglected safety for styling due to the corporations belief that “safety doesn’t sell”. Due to the lucrative and competitive challenges from Volkswagen, European cars, and Japanese manufacturers, Ford rushed the Pintos, a small compact car, styling and price. As stated by the author, “The Pinto was brought from inception to production in the record time of approximately 25 months (compared to the industry average of 43 months), a time frame that suggested the necessity for doing things expediently.” Engineers and developers were required to maintain the “2000” rule. The Pinto was not to weigh an ounce over 2,000 pounds and not to cost a cent over $2,000.…
Introduction Strategic assessment is needed to evaluate the quality of a firm’s strategy. There are many different approaches to evaluating a firm’s strategy. The purpose of this paper is to perform a strategic assessment of American Automobile Association (AAA) and the Auto Club Group, one of AAA clubs, growth in the banking sector. The process includes introducing the firm and its industry, the firm’s interesting action and/or change, comparison to a firm within the same industry and the industry itself, and the final assessment of the company’s strategy. AAA & ACG Overview & New Venture American Automobile Association (AAA) is pronounced “triple A” and it is known as the largest motor club and travel organization.…
In the essay “Pinto Madness,” by Mark Dowie an author of many books, reveals the corporate greed of the Ford Motor Company. The essay, “The Social Responsibility of Business is to Increase Its Profits,” by Milton Friedman, who in 1976 received the Nobel Prize in Economics, claims that “The businessmen believe that they are defending free enterprise when they declaim that business is not concerned "merely" with profit but also with promoting desirable "social" ends,” (Friedman 157). In the 1970s, many people lost their lives from a flaw in the placement of the Pintos fuel tank. It was located behind the rear axle, instead of above it.…
Even though companies know about the issues within the vehicles, they refuse to take action due to lack of evidence and…
Cases surrounding one of the biggest organizations in the automotive industry, Ford Motor Company, through its subcompact Pinto, have been one of the popular topics in the engineering field. Numerous reports involving Ford Pintos on rear-end collision with deaths and serious injuries have been made not too long after its entrance into the automotive market in 1970s. It is known that the cause of the incidents is due to Pinto’s major design flaw which is the defection in the fuel system design. These cases has led to the debates of many issues, mostly centering around the ethics of the engineers in making decisions to improve the fuel system design after several deaths have been reported. These cases have raised issues…
The author is considered to have the authority to speak about the topic at hand, as the author has a lot of experience writing about automobiles and its industry. Nonetheless,…
Takata is a Japanese seat belt and auto airbag system maker that was establishing in 1933 in Japan. For over 60 years they excelled and were successful in the automotive industry making these essential products for car safety. However, in the early 2000’s the company took a stumble and eventually fell due to one major error that’s has followed them for over a decade. Takata has only two product lines, airbag systems and seat belts and in 2000 they began using ammonium nitrate propellant to propel the airbag systems deployment. Jump four years later and an anonymous executive admits to doctoring some of their test data concerning this new airbag propellant system after one of their airbag deployments killed someone in Alabama that same year.…
Taco Bell company was hit by a crisis in 2011. A disgruntled customer filed a lawsuit against Taco Bell claiming that the company falsely advertised their product as beef. The case was filed in the federal court in the Central District of California. The Alabama based law firm that filed the suit claimed that the products offered by the company contained less than 50% of beef. In fact, the case stated that the seasoned beef provided by Taco bell only comprised 35 % of beef.…
In the automotive industry, competition is intense although the numbers of players are moderate. The industry is also large and matured. Should a firm decide to leave the industry, there are huge costs to be encountered hence the firms always opt to stay put even in the face of bankruptcies. Companies in the industry also competes in innovation and this enhances the levels of competition witnessed in the industry (Toyota Motor Corporation, 2014). In the same vein, customer loyalty is also high within the industry and this makes competition extremely high.…
Based on the case of Ford Pinto, Ford Motor Company is totally major in designing their own style of products but the safety standards was not taken seriously. This is because, the Ford Pinto already has made their own strategy in managing the finances to produce a product. Therefore, due to its style or design, and cost constraints of products, using a suitable and safe fuel tank that prevent the fire in a rear crash, was undesirable. Referring to the cost benefit approach in utilitarian principle, there are three steps of analysis that involved. First, assess each available option.…
Ⅲ. Consequences: where do companies save money when labor costs rise to the top? Could that be related on a long-term view? a) Manage making and increasing profits despite high labor costs in car industry, especially Toyota Labor cost is never a small part that influences the total cost in manufacturing industry, nor for all the industries. According to the latest EU labor cost statistic report , the labor cost in France (wage + benefits ) has raised from 31.2 euros in 2008 to 34.6 euros in 2015, representing an increase of 10.9% (Eurostat, 2015)[20].…
Its airbags are reportedly high-performance and meet or exceed the legal regulations of countries around the world and the stringent requirements of the automakers. However, their airbags have been the major contributor to its decline. Cases of airbag failure have plastered the world news and is a source of bad publicity for the company. Due to this, many car makers who installed Takata’s airbags have had to recall their cars to change the faulty and possibly fatal airbags. In 1976, Takata became the first company in Japan to begin R&D related to airbags.…