Ford Motor Company

Ford Motor Company

Please read the Ford Pinto case (attached), watch the video, and answer the following:

1.) Is what Ford did legal or ethical?

2.) If you were in the position of leading Ford Motor Co., would you have fixed the car? If so, how would you justify such an action to those shareholders who insist that you have a duty to maximize profits—especially if the “fix” would involve a major hit to the corporate “bottom line”? What do you think about Milton Friedman’s comments regarding Ford? (Milton Friedman received a Nobel Memorial Prize in Economic Sciences. )

Please answer all questions in one original post (250 word minimum) by midnight


Solution Preview

The contesting of punitive damages by the Ford Company was not ethical at all. This is because it was their fault to create a new vehicle with numerous challenges of extreme oil and fuel intake, frequent stalling, poor power, and poor automatic drivetrain. These faults were………………………….


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