Question 1

Ford and Firestone have been named as defendants in lawsuits brought by owners of Ford Explorers who have been involved in rollover accidents in their vehicles.For Firestone to be held solely liable for the accidents:

Accepted Answer

For Firestone to be held solely liable for the accidents, Ford must establish that there was no defect in design or manufacture or warning with its Explorer. This means that if there was a defect in the design, manufacture, or warning of the Explorer, Ford would also be held liable for the accidents, not just Firestone.

Question 2

What was Lee Iacocca's objective in designing the Pinto?

Accepted Answer

Lee Iacocca's objective in designing the Pinto was to create a small, lightweight car that would cost less than $2,000 and weigh less than 2,000 pounds. This would make it competitive with the small imports that were gaining popularity in the US market. Safety was not a primary concern during the development of the Pinto, as evidenced by the well-known issues with the positioning of the gas tank in rear-end collisions.

Question 3

The failure to provide safe packaging is a product liability issue.

Accepted Answer

This statement is true. If a product's packaging is unsafe and causes harm to the consumer, the manufacturer can be held liable for product liability.

Question 4

The suits against McDonald's for plaintiffs' obesity have been dismissed.

Accepted Answer

The answer of The suits against McDonald's for plaintiffs' obesity...

Question 5

For Ford to be held solely liable for the accidents:

Accepted Answer

Firestone can show that the condition of its tires was changed by use and operation on the Explorers.

Question 6

Kellogg's was forced to remove its claims that Rice Krispies increased children's attentiveness from its cereal boxes.

Accepted Answer

In 2009, Kellogg's was forced by the Federal Trade Commission to remove its claims that Rice Krispies increased children's attentiveness from its cereal boxes.

Question 7

What did the memo entitled, "Fatalities Associated with Crash Induced Fuel Leakage and Fires" analyze?

Accepted Answer

The memo analyzed the cost-benefit analysis of producing the Pinto as is or changing its design/components in relation to the risk of fatalities associated with crash-induced fuel leakage and fires.

Question 8

The FDA declined to regulate General Mills and Cheerios ads.

Accepted Answer

The answer of The FDA declined to regulate General Mills...

Question 9

The failure to redesign a product with a safety flaw is a product liability issue.

Accepted Answer

If a product has a safety flaw and the designer or manufacturer fails to address it, they can be held liable for any injuries or damages that result from that flaw. This is known as a product liability issue.

Question 10

What value did Ford put on human life in its analysis of its Pinto issue?

Accepted Answer

Ford's analysis during the Pinto issue valued human life at $200,000. This figure was used in their cost-benefit analysis to decide against making safety improvements to the Pinto's fuel system.

Question 11

The sale of a product with known, but undisclosed dangers, is unethical.

Accepted Answer

It is considered unethical to sell a product with known, but undisclosed dangers as it puts the consumers at risk, without their knowledge or consent. It is the responsibility of the seller to provide accurate and complete information about the product to the consumers. Failure to do so is a violation of ethical principles.

Question 12

If Firestone establishes that Ford provided incorrect instructions for owners on inflation of tires and that the tires were underinflated at the time of the accidents:

Accepted Answer

If Firestone establishes that Ford provided incorrect instructions for owners on inflation of tires and that the tires were underinflated at the time of the accidents, Ford is liable. This is because it is Ford's responsibility to provide accurate instructions for the safe operation of their vehicles, and failure to do so can result in a breach of duty and liability for any resulting damages.

Question 13

What was the cost of partially or completely fixing the Pinto gas tank to better withstand rear-end collision impact?

Accepted Answer

The cost of partially or completely fixing the Pinto gas tank ranged from $1.80 to $15.30, according to internal memos from Ford.

Question 14

Tylenol's competitors were able to win customers when Tylenol's quality control problem was revealed.

Accepted Answer

This statement is true. When Tylenol's quality control problem was revealed, competitors such as Advil and Motrin were able to gain customers as they were perceived as having safer products.

Question 15

Releasing a product with known safety problems for sale to the public is an ethical breach.

Accepted Answer

Releasing a product with known safety problems for sale to the public puts people at risk and violates ethical principles of putting the welfare and safety of others first.

Question 16

Toyota was clear on the cause of accidents in its vehicles from the first complaint of sudden acceleration.

Accepted Answer

Initially, Toyota denied that there was a problem with sudden acceleration in their vehicles and stated that driver error was the cause of the accidents reported. It was only after multiple incidents and investigations that Toyota acknowledged issues with faulty pedals and floor mats that could cause sudden acceleration.

Question 17

In addition to the crush space issues, what other problems did the Pinto design have?

Accepted Answer

The Pinto design had protruding flanges and bolt heads, which could puncture the gas tank during rear-end collisions, leading to fires and explosions.

Question 18

Tylenol did a rapid recall of its products when consumers reported black flecks were present in the liquid product forms of the company's analgesics.

Accepted Answer

The incident involving Tylenol where a recall was initiated was due to a tampering case in 1982 where cyanide-laced capsules led to the deaths of seven people, not because of black flecks in the liquid products.

Question 19

What dictated the placement of the Pinto gas tank?

Accepted Answer

The placement of the Pinto gas tank was primarily dictated by style considerations, as Ford aimed to maintain a sleek, compact design for the car. Safety concerns were notably secondary, leading to significant controversy.

Question 20

You are in marketing for one of the three U.S.auto manufacturers.You have just received a notice from your seat belt buckle supplier that the buckles shipped to you and used in the cars made between June 94 and September 94 are defective.The defect means that the buckles will come undone if pressure is placed on the belts at any speed over 10 miles per hour.You must encourage your firm to issue a recall.

Accepted Answer

As a marketer, it is the responsibility to ensure the safety of the consumers and maintain their trust in the brand. Hence, it is necessary to issue a recall in this situation to rectify the defective seat belt buckles and prevent any potential accidents or harm to the customers.

Quiz 8: Ethics and Products