The Pinto was a small subcompact car manufactured by Ford in 1971 in the face of looming competition from foreign automobile manufacturers. It was the first ‘small’ car created by Ford and was supposed to cost less than $2000 and weigh less than 2000 pounds. It was an attractive proposition for American consumers at the time when gas prices were rising (the oil crisis of 1973 was right around the corner!) and disposable incomes were constrained. The car was initially well-received in the American market, with full-page newspaper ads highlighting the distinctive design and fuel efficiency of the Pintop. But over time, it became apparent that the vehicle had a dangerous design flaw. The car’s fuel tank was located between the rear bumper and the rear axle - any low-speed rear-end collision at 25 mph would rupture the gas tank, cause fuel to leak and cause a fire or explosion. Cases of injuries and deaths trickled into Ford over time. Recall managers conducted a cost-benefit analysis (watch recorded mini-lecture below to refresh your memory; approx. 8 mins) and concluded that it was not cost-efficient to recall vehicles to add a $5 plastic baffle between the rear bumper and the fuel tank (and incur a total recall cost of $11 per car) to prevent explosions. In your assignment, try to address the questions below to the best of your ability in at least 500 words. Use headings and subheadings to differentiate your responses to the four questions. Why did Denny have a hard time seeing ethical issues in the unfolding Ford Pinto crisis? What factors do you think most affected his moral awareness and judgment? (Apart from individual-level factors, did any situational factors affect his awareness and judgment?) Pick a quotation from the interview that you found to be striking. Describe why this quotation stood out to you and how it might inform your actions as future managers. Based on learnings from the Pinto crisis, how might you increase your own moral awareness and guard yourselves against undue influences in your current/future workplace?

The Pinto was a small subcompact car manufactured by Ford in 1971 in the face of looming competition from foreign automobile manufacturers. It was the first ‘small’ car created by Ford and was supposed to cost less than $2000 and weigh less than 2000 pounds. It was an attractive proposition for American consumers at the time when gas prices were rising (the oil crisis of 1973 was right around the corner!) and disposable incomes were constrained. The car was initially well-received in the American market, with full-page newspaper ads highlighting the distinctive design and fuel efficiency of the Pintop. But over time, it became apparent that the vehicle had a dangerous design flaw. The car’s fuel tank was located between the rear bumper and the rear axle - any low-speed rear-end collision at 25 mph would rupture the gas tank, cause fuel to leak and cause a fire or explosion. Cases of injuries and deaths trickled into Ford over time. Recall managers conducted a cost-benefit analysis (watch recorded mini-lecture below to refresh your memory; approx. 8 mins) and concluded that it was not cost-efficient to recall vehicles to add a $5 plastic baffle between the rear bumper and the fuel tank (and incur a total recall cost of $11 per car) to prevent explosions. In your assignment, try to address the questions below to the best of your ability in at least 500 words. Use headings and subheadings to differentiate your responses to the four questions. Why did Denny have a hard time seeing ethical issues in the unfolding Ford Pinto crisis? What factors do you think most affected his moral awareness and judgment? (Apart from individual-level factors, did any situational factors affect his awareness and judgment?) Pick a quotation from the interview that you found to be striking. Describe why this quotation stood out to you and how it might inform your actions as future managers. Based on learnings from the Pinto crisis, how might you increase your own moral awareness and guard yourselves against undue influences in your current/future workplace?

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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The car was initially well-received in the American market, with full-page newspaper ads highlighting the distinctive design and fuel efficiency of the Pintop. But over time, it became apparent that the vehicle had a dangerous design flaw. The car’s fuel tank was located between the rear bumper and the rear axle - any low-speed rear-end collision at 25 mph would rupture the gas tank, cause fuel to leak and cause a fire or explosion. Cases of injuries and deaths trickled into Ford over time. Recall managers conducted a cost-benefit analysis (watch recorded mini-lecture below to refresh your memory; approx. 8 mins) and concluded that it was not cost-efficient to recall vehicles to add a $5 plastic baffle between the rear bumper and the fuel tank (and incur a total recall cost of $11 per car) to prevent explosions.

In your assignment, try to address the questions below to the best of your ability in at least 500 words.

Use headings and subheadings to differentiate your responses to the four questions.

Why did Denny have a hard time seeing ethical issues in the unfolding Ford Pinto crisis?
What factors do you think most affected his moral awareness and judgment?
(Apart from individual-level factors, did any situational factors affect his awareness and judgment?) Pick a quotation from the interview that you found to be striking.
Describe why this quotation stood out to you and how it might inform your actions as future managers. Based on learnings from the Pinto crisis, how might you increase your own moral awareness and guard yourselves against undue influences in your current/future workplace?

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