Essay on Cause and Effect

1021 Words5 Pages
Cause and Effect of Price Wars

When large sums of money are at stake, many companies bend and flex to their limits to guarantee defeat over the competition. Sometimes they take a loss in one area for a gain in another area. There is a cause for every action the company makes, and in return for their action there is an effect. Although the effect can sometimes be pre-determined, no one is really sure what the outcome is going to be until the time comes.
There are millions of cars on the road today and they all require tires. When an owner replaces the tires on his or her vehicle, they can decide what make and model will be on the car. But when a buyer purchases a new car, they do not have the option of which tires they would
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They ran them at 90 miles per hour for 200 miles at and average temperature of 90 degrees, which is not exactly considered every day driving. The effect of these cheaper, lower quality tires was tread belt separation. This occurs when the tread of the tire peals away from the rest of the tire (http://archives………. ) The effect of the tire separation caused many more problems. Firestone was forced to recall 6.5 million tires. The tires that were affected buy the recall were the Radial ATX, Radial AXT II, and some Wilderness AT tires. Only the versions of these tires that have "VD" at the beginning of the serial number are affected. These tires are found mainly on the Ford Explorer and the Mercury Mountaineer. "We made some bad tires and we take full responsibility for those" said Firestone executive John Lampe (Naughton). The effect of these 6.5 million recalled tires is starting to show through. "We have seen an alarming number of serious accidents from rollovers of the Explorer after a tire failure" said Firestone's Lampe while arguing his defense in front of the supreme court. Evidence directly relates 103 deaths and 400 injuries to these tires. These statistics were based on 2226 consumer complaints. There are also over 600 deaths alone from the Explorer rolling over, but not all have been investigated to determine if the tires were the cause. Unfortunately the number of deaths and injuries is rising every day due to
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