Counter points ford is not a monolithic entity and

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Counter Points Ford is not a monolithic entity and therefore cannot act as a single amoral calculator Rather it was a collection of “loosely- coupled” sub-units People built upon the work of the previous group Communication between groups was sporadic The cost benefit analysis took place 3 years after the design
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Counter Points The traditional narrative ignores Ford’s social and institutional environment The Pinto was designed when crashworthiness was only beginning to become a concern Manufactures were only responsible for safety during “normal operations” (i.e. not during crashes) Usefulness of crash-test data was in doubt Small cars could not be expected to withstand crash as well as large cars
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Recall In 1976 the National Highway Traffic Safety Administration reviewed Ford’s and conducted their own safety tests on the Pinto and other similar cars Found the Pinto to have no “recallable” problems even though people were dying in fires By 1977 public concern forced NHTSA to ask Ford to voluntarily recall the Pinto, to which they agreed
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McDonald’s Hot Coffee Elderly woman awarded millions of dollars in a law suit against McDonald’s for burns Perceived as a huge miscarriage of justice, and the rallying cry for tort reform based simply on the size of the damages awarded The actual story is that McDonald’s refused to pay for her medical bills despite several attempts, and that they have been settling these cases out of court for quite a while, indicating that they knew the coffee was too hot
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Crimes Against Employees
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Duty to the Shareholders Corporations have a duty to their shareholders which boils down to the pursuit of profit How is profit be increased? Profit = revenue – costs One way is to minimize costs of bringing a product to market Costs include the money spent on meeting safety regulations, paying employee wages, and offering benefits
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Regulations Hurt Businesses often argue that regulations, including safety regulations, hurt the consumer Prices include labor costs, and assuring regulation compliance Political rhetoric has suggested reducing or eliminating minimum wage to save the economy How does this help the economy?
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Regulations Help Regulations protect employees from being exploited by their employers Regulations force employers to provide safe working conditions, reasonable hours, at least minimally acceptable pay, and a collection of other benefits Without regulations many corporations would probably not voluntarily provide these benefits
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Resisting Regulation Industries and businesses continue to resist government regulation Keeping labor cost low is difficult while being in regulatory compliance As a result, corporations are increasingly moving their operations over seas where regulations are less strict or nonexistent
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Historically Sweatshops employing women and children for pennies proliferated
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