Originally Posted by Flite

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.

Originally Posted by CarsRFun

Narrator:"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."

Business woman on plane: "Are there a lot of
these kinds of accidents?"

Narrator: "You wouldn't believe."

Business woman on plane: "Which car company do
you work for?"

Narrator: "A major one."