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The key problem underlying the dilemma that is facing the company is the possibility of being sued for not assuring the quality of its product, which subsequently led to the death of one of the users and the serious injury of two others in the accident. The stakeholders, in this case scenario, the CEO (Chief Executive Officer), owner of company, the mangers, Mr. I. M. Good, the Vice President of Car Engineering, and Mrs. Lovely. All these stakeholders are responsible for all the events leading to the accident that caused the death of the customer and the injury of her or his young boy.
This means that a decision processes was missed or ignorantly assumed at a certain point through the production stage of the car, Zinger. I believe the utmost and dire sole responsibility of the company is to keep the customers satisfied and ensure their safety while using the product. All the information about the flaws of the car was kept under secrecy due to the need to earn revenue fast due to the increased competition kin the market. The stakeholders in the firm have a great social responsibility of maintain the company’s image regarding their professionalism and provision of quality products in the market.
Their esteemed customers need to be well informed about the goods they use and be cautioned on any flaws that might hurt them physically. They should make this resolution even if the decision making would mean the recalling back of all the flawed cars from the car dealerships around the whole market. This will go a long way in ensuring and restoring their clients trust in the product. Otherwise, subsequent accidents would see the firm receiving multiple law suits for their flawed products, thus they would lose their esteemed clients, subsequently resulting to a lot of money spent in settling cases.
The company should maintain a positive image with their clients. Advisable, the one ethical decision to be made would be to halt the selling of the Zinger car till a further time after improvisation and repairs on the flaws. The sole and most viable decision that company should make is to halt the production of the car and work on its improvisation to prevent any further accidents that have led to fatalities. One would consider it moral to keep clients informed about the goods they use. They should do this even if it means that this will reduce their profit margin over some period of time.
Earning customer trust is essential in maintaining a client base for future of the company. The effective management of the control process supports the system for the production of quality goods. The top managers in the organization, that is the CEO and the other board of governors and stakeholders need to be informed all the tasks carried out in the company. Essential information like the assumption made for the Zinger car should not have been ignored since the wrong decision made not to convey information appropriately led to the death of an individual.
The hastiness for the firm to seek approval of the car’s introduction to the market might cause a bad reputation for the company due to the faults that were not addressed during the production stage. The consequences of all these decisions are for the betterment of the firm’s reputation on the market. Well, if word gets out to its competitors about this flaw, then this would mean that their competitive edge is doomed since their rivals in the market would use this information for marketing and promotional market share competition.
If they lost customers their profit margins might fall to even losses. Ultimately this leads to company fallout due to negligence of prior events that would have been prevented before product launch. Closing from
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