Monday, September 29, 2014

Another Recall?



Again?

As many of you have probably heard already, there’s another recall going around. Ford Motor Company announced on Saturday September 27tth, that there were recalling 850,000 vehicles in North America due to a systems glitch that can stop air bags from deploying in a crash.


What Happens

“Ford issued the recall following problems in the restraints control module. Which is a key part of its safety system that takes information from front crash sensors and other sensors and activates air bags and seat-belt pre-tensioners. In the vehicles being recalled, the module can experience a short circuit, which can prevent air bags and other protections from functioning.” (article 1)


Cars Affected

2013-14
Ford C-MAX
Fusion
Escape
Lincoln MKZ



Cost

Ford’s recall of 850,000 vehicles cost the company $500 million and reduce its revenue position for the year. Ford’s stock price also took a plunge by 7.5 percent and sank by $1.22 (lowest it has been since March). And on top of this recall Ford has some more bad news, a $1 billion predicted loss in South America and a $1.2 billion loss in Europe. (article 2)

Other Recalls in 2014

It seems like this year there is a new recall every week. In fact on September 29, 2014 Toyota just recalled 690,000 Tacoma pick-ups that could catch fire. General Motors of course had the ignition problem and recalled 6 million cars alone. It seems that this year is not the year for cars. Nissan recalled 1 million Sentras and Altimas, Honda recalled 900,000 Odyssey minivans, Toyota recalled over one million units in a few recalls, Volkswagen recalled 150,000 Passats, Chrysler recalled 644,000 Dodge Durangos and Jeep Grand Cherokees. Even though Ford has not been doing well this year, neither has the competitors. (article 3)

Question

Does this influence your choice when/if you buy a new car? Which car company would you choose when comparing all the different recalls that have happened in 2014 and why?

1 comment:

  1. The technology being deficient definitely influences your decision making when it comes to a big safety hazard like a vehicle. I would would buy a Chevy that has good reviews and hasn't been recalled. Maybe a new type of technology could improve the efficiency of the safety features being deployed. I know that many cars have new systems that sense their surroundings. Maybe they could potentially predict when to deploy air bags before a wreck when they short circuit.

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