Business Law BBA3210, Business Ethics and Social Responsibility
The Ford Pinto example is a well-known case that is often discussed in the context of business ethics. To summarize, Ford’s design of the Pinto’s fuel tank was defective, causing fires if the Pinto was involved in even minor rear-end collisions. Ford came to learn of the defect, but the company failed to correct it; Ford then predicted, based on a cost-benefit analysis, that it would cost more to repair the defect ($11 per vehicle, or $137 million total) than it would to pay for damages resulting from burn deaths, burn injuries, and burned vehicles ($47.5 million). Consider the Ford Pinto case in light of the who-how (WH) framework for business ethics.
Would Ford’s decision to forego repairing the defective design comply with these ethical guidelines? If so, why? If not, then what actions should Ford have taken to satisfy them? Explain your reasoning. Explain the need for promoting business social responibility.
Your response to this question must be at least two pages in length. One source is required. Include an introduction in your paper. Adhere to APA Style when creating citations and references for this assignment.
See attached documents (1) Ford Pinto, A Pre Law Case Study in Product Liability (2) Source – Ethical Decision Making in a Business Environment
