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by flatline
4448 days ago
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A new car built by my company leaves somewhere traveling at 60 mph. The rear differential locks up. The car crashes and burns with everyone trapped inside. Now, should we initiate a recall? Take the number of vehicles in the field, A, multiply by the probable rate of failure, B, multiply by the average out-of-court settlement, C. A times B times C equals X. If X is less than the cost of a recall, we don't do one... |
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A $2 recall could have saved the lives of 13 with regard to the GM ignition switch problem, while the Nissan Airbag recall has only been attributed to 3 accidents (0 deaths, 0 injuries) while affecting a million vehicles.
http://www.therepublic.com/view/story/01394d0c27844fa5be3fa6...
Companies (even standard ones, like Nissan) are willing to recall minor safety issues, while other companies are completely worthless at performing recalls (GM Ignition Switch).