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Analysis of Ford/Firestone Negotiation

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Analysis of Ford/Firestone Negotiation

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Ford is blamed for endangering the lives of the people since the engineers of Ford put money before the lives of the people. The engineers knew about the flammability of Ford Pinto but overlooked. Instead, the engineers calculated the profit over settling the suits of the law caused by burns to the users of Pinto. Ford blamed the users of Ford Pinto yet a warranty of a new car should consist of all accessories apart from the tires.

Ford was negligent. Despite recommending tires of the pressure of that does not exceed 26 psi, NHTSA tested the weight of 32psi on Bronco II wheels but neglected it. The Bronco II was unstable, thus causing rollovers and eventual fatalities. Bronco II was more massive than the Ranger; hence it required tires with higher pressure to reduce pressure.

Firestone, on the other hand, is on the rating of 40% blame because of Firestone 500. Firestone 500 became the greatest failure of the company. Like Ford, Firestone refitted an existing tire company. Firestone 500 tire failed as its treads separated, which eventually lead to a recall of the tires. NHTSA discovered that 10% of tires disintegrated when driven at the speed of 112 miles per hour during high-speed testing conducted routinely of the variation of the Wilderness on the tires.

Blame proposal

The blame proposal of Ford is 40% while Firestone is 60%

 

Solution

Firestone did more harm in trading 500 tires which cost Ford. Therefore it would be justified for Ford to change its tire manufacturer. Ford replaced the tires Goodyear tires and changed the programs of the computers in the vehicles in Saudi Arabia after Firestone blaming customers for careless handling of the car, without the knowledge of Firestone hence it limited the maximum speed of the car.

Also, in Venezuela, Goodyear tires were used, and all shocks were replaced. An accessory was fixed in place for the use of customers at no cost.

 

 

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