• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Ford Motors and the Pinto

Extracts from this document...

Introduction

CSR and Ford Motors "Pinto" It was the 1960's and the Ford Motor company had been under difficult competition from its Japanese and German rivals who where flooding the small-car market. Ford need to react and react fast if they intended to compete in the small car market, so Ford hastily pushed out the Ford Pinto, which till this day was one of the car manufactures darkest hours. Fords drive for money and its disrespect for human life and safety caused one of the biggest disasters in the automotive industry. The Pinto was designed so hastily that the car was produced in 25 months versus the usual 43 months it usually takes to properly produce a car. ...read more.

Middle

This left Ford with a moral dilemma. The extra cost to Ford to install the safer gas tank was about $11.00 a Pinto, which would add up to an estimate of 121 million dollars. With these numbers in hand Ford did a cost-benefit analysis and came to the conclusion that they would rather pay for the law suites, which were predicted at 50 million dollars, then actually make the change to the car, which would have cost 121 million dollars. Here Ford is saying that profit trumps human life and proceeded to produce the dangerous car. Studies have shown that the Pinto could have actually been a safe car if Ford decided to move the gas tank up above the rear axle, but the reason why Ford was reluctant to do this, was because of trunk space. ...read more.

Conclusion

This example truly shows how important CSR is in business. If CSR had a larger presence in the time of the Pinto, there would probably be a good chance that the necessary repairs and changes would have been made and innocent lives would have been saved because if it. If it was not for the presence of growing CSR values in today's society we could potentially have many more Pinto incidences on our hands. CSR does not just protect the environment or make sure fair wages are paid to employees, but in some circumstances it can save lives. Sources: Design Defect on the Ford Pinto Gas Tank: http://www.fordpinto.com/blowup.htm Wikipedia: Ford Pinto: http://en.wikipedia.org/wiki/Ford_Pinto 1971 Ford Pinto: http://www.time.com/time/specials/2007/article/0,28804,1658545_1658498_1657866,00.html Ford Pinto Fuel-fed fires: http://www.autosafety.org/article.php?did=522&scid=8 ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Business, Companies and Organisation, Activity section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Business, Companies and Organisation, Activity essays

  1. English for business

    Happiness is profoundly existential. Past happiness may be remembered or future happiness planned, but the pleasure it gives can only be experienced in the "now". One of the 80/20 hypothesis would be that 80 per cent of happiness occurs in 20 per cent of our time.

  2. Business Studies

    The driving and restraining forces are in a equilibrium if they are of equal strength (unchanging state) > Force field analysis is finding a way to disturb the equilibrium - increasing the driving forces or weakening the restraining forces or both 2.

  1. Business Studies Edexcel Coursework

    This means that he must pay more money for his advert to be more prominent, i.e. be highlighted, in a bold box, with bigger font and his company logo, etc. The minimum price to advertise on yellow pages starts at �30.

  2. company law problem

    Here each partner is contributing �5000 meaning that whether a partnership or a limited company is formed, the profits can be shared equally, a partnership because it is based on mutual sharing, and a limited company because they are each contributing the same amount.

  1. External influences related to Jaguar Cars and Marriot Hotels

    the drains to ensure that no hazardous liquids can go into the water supplies, it also helps Jaguar as it means that they can do their work freely without having to worry about any problems. Jaguar has also started to recycle; they make sure that they recycle 99% of the unused delivery and packaging materials.

  2. Importance of Human Resources Management

    * Staff turnover: In order to prevent from future losses and to analyse why people leave jobs Ford will have to analyse their staff turnover. Staff turnover can be beneficial for Ford because as new and fresh staff can be recruited, promotion channels can be opened.

  1. Business Law.

    Banks will ask for security, which could be property, and they will need to see a business plan. 4. In some cases a sole trader may be able to get some government funds. The government also runs a small firms loan scheme where people with no history of trading or borrowing can borrow money.

  2. Setting up a car sales garage.

    If I Take Out A Loan I Expect To Pay 6-7% Interest If I Take It Out Over 5 Years. This Percentage Is Because The Current Interest Rate Set By The Bank Of England Is 5.5%. If Grants Are Available To Locate In Newcastle Would Apply For One As They Are Available To Certain Areas For Example Rundown Areas.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work