Ford Case

Ford Pinto Case Study

The case study “The Ford Pinto Case” is a dilemma in which profit and consumer safety causing death bodily harm. The question is whether to take the utilitarian morality approach to realize profit or the ethical approach to realize customer safety.

The Problem

In the 1960s, domestic automobile companies were experiencing a decline in the market share because of smaller and more efficient Japanese automobiles. This decline prompted Ford Motor Company to design rapidly and produces a disaster called the Ford Pinto. The original idea behind the Pinto was to provide a competitive car that would weigh fewer than 2000 pounds and cost less than $2000 at its basic model. Because of the deteriorating market, the Pinto was available to consumers under the tagline “The Little Carefree Car” in 1970.

Shortly after the production designs were made, Ford discovered an existing problem from a bolt in the rear bumper and the location of the fuel tank. The problem was that if the car were to be hit in the rear bumper at speeds above 20 miles per hour then an explosion may occur. In a study based on rear-end impacts; Ford discovered that if a baffle was attached between the rear bumper and the fuel tank then the car would meet the safety standard of other similar cars. The cost of the baffle would have been no more than $11 dollars and greatly reduced the risk of an explosive collision. In a cost-benefit analysis, conducted by Ford, a decision was made to avoid the update and rather pay the suits that resulted from accidental deaths and injuries. Furthermore, Ford did not make changes to the design from 1971 to 1978.

Ford Motor Company made an unethical decision that the cost of human life was less than the cost of fixing the problem. As a result, the 27 deaths that occurred from the collisions would cost Ford more than the cost of inserting a baffle to correct the problem. This public affair would also cost Ford in their consumer...