Imagine that you are visiting a nearby dealer showroom to buy a new car.
The dealer shows you a new model car (say model-X). This new model car meets all your requirements regarding color, number of doors, automatic gear type, etc. You like the car and buy it! You drive home happily, with your new car. But, after a couple of weeks, you are informed that the manufacturer of your vehicle is `recalling’ all the cars of model-X due to severe quality problems in one of its components.
How would you feel?
It is precisely the situation that many Ford customers faced four years ago. Ford Motor Corporation, one of the largest automakers, was plagued by quality problems that lead to a humiliating round of product recalls (Explorer Model, Taurus Model), stalled product launches(Saturn Model) and Firestone-Ford controversy. Ford’s reputation for quality was tarnished. The
the result was poor customer satisfaction, increased warranty costs (more than $2 bn) and poor financial performance