Goodyear Tire and Rubber Company Term Paper

Download this Term Paper in word format (.doc)

Note: Sample below may appear distorted but all corresponding word document files contain proper formatting

Excerpt from Term Paper:

The United Steelworkers struck over the proposed closing, and the strike dragged on for several weeks before being settled, causing problems throughout the company and their customers, as well. The strike began Oct. 5, and over 12,000 workers were involved in the strike. The strike was anticipated, so many retailers were able to stockpile Goodyear tires in an attempt to alleviate the affects of the strike, but smaller retailers, who could not afford that option, were harder hit, and ran out of tires during the strike. One reporter notes, "The strike has been especially painful to small retailers, who couldn't afford or didn't have the warehouse capacity to order extra tires before the walkout."

Larger companies, such as Ford and Caterpillar, who use Goodyear tires, stockpiled tires as well, but also rely on tires from other manufacturers, so they were not hard hit during the strike.

After three months, the strike was ended, with both sides giving concessions. The Steelworkers lost their bid to keep the Tyler plant open, but did gain health care benefits and assurances from the company. Reporter Steve Lengell continues, "The contract establishes a company-financed trust of more than $1 billion for medical and prescription drug benefits for current and future retirees. Medical and prescription drug coverage for active and retired members also was maintained."

The Tyler plant will stay open through 2007, and jobs were protected at all the other plants Goodyear operates in the U.S., which include, "Danville, Va; Akron, St. Marys and Marysville, Ohio; Gadsden, Ala.; Buffalo, N.Y.; Lincoln, Neb.; Topeka, Kan.; Fayetteville, N.C.; Sun Prairie, Wis.; and Union City, Tenn."

It is interesting to note that while the company began its history in Akron, Ohio, which at one time was "king" of the rubber trade, Goodyear no longer manufactures any tires in Akron; the city only houses the company's corporate headquarters.

Interestingly, one of the consumers of Goodyear tires most affected by the strike was the U.S. military. Goodyear produces tires for the military Humvee vehicle, and a shortage of Humvee tires began to affect the military as the strike wore on. The problem got so bad that one Congressional Representative wrote to the company asking them to reopen the only plant that builds the Humvee tires. Reporter Lengell continues, "Mr. Hunter on Wednesday wrote to Goodyear management and union leaders to ask them to work out a deal allowing 200 striking workers to return to Goodyear's Topeka, Kan., plant - the sole producer of Humvee tires. "The U.S. Army fights on wheels, and they need help from both the union and management right now," Mr. Hunter said."

However, Goodyear refused to reopen the plant, even though the Union endorsed the plan. Goodyear did not acknowledge there was a tire shortage, according to one source.

Of course, this recent strike has not been the only labor problem at Goodyear. Their company history notes that the first nationwide labor problem took place in 1954, when workers walked off the job for 52 days. Throughout their history, the company has faced many labor disputes, both long and short. They have also developed some of the most far-reaching and innovative labor benefits in the industry, from health benefits to work hours and pay rates. However, most of their manufacture is now done overseas and in Mexico and Canada in an effort to save money on labor costs.

In conclusion, the Goodyear Tire & Rubber Company has had a remarkable effect on the world's commerce, from developing some of the first automobile tires and tire manufacturing, to developing tires and brake systems for airplanes, developing blimps and dirigibles, and patenting a number of important processes. They have also had a remarkable effect on American labor and on the city of Akron, Ohio. However, the company is most well-known for its tires, from early bicycle tires to modern All-Weather radials, which they helped develop. They have always been innovative, forward-thinking, and geared for expansion and growth, and today, the company is still the world's largest tire company, and no matter what diversifications Goodyear develops in the year's to come, their tires and tire technology have had a profound effect on the automobile, transportation, and heavy equipment industries.

References

Editors. 2007. Historic overview. Goodyear Tire & Rubber Company. http://www.goodyear.com/corporate/history/history_overview.html (Accessed November 13, 2007).

Editors. 2007. History of the company by year. Goodyear Tire & Rubber Company. http://www.goodyear.com/corporate/history/history_byyear.html (Accessed November 13, 2007).

Hall, Courtney Robert. History of American Industrial Science. New York: Library Publishers, 1954.

Leman, Jim. "Tire Evolution Rolls Along." Daily Herald (Arlington Heights, IL), March 28, 2005, 1.

Lengell, Steve. "Goodyear Union OKs Contract, Ends Strike." The Washington Times, December 30, 2006, C11.

Strike Creates Humvee Tire Gap; Army Counts on Goodyear." The Washington Times, December 15, 2006, C08.

Strike Hurts Goodyear Reserves; Tires Beginning to Dwindle in 6th Week; Negotiations Planned." The Washington Times, November 13, 2006, C14.

Smith, Sandy, and William Atkinson. "17 Award Winners Share Best Practices." Occupational Hazards, October 2002, 47+.

Courtney Robert Hall, History of American Industrial Science (New York: Library Publishers, 1954), 264.

Hall, 265.

Editors. 2007. History of the company by year. Goodyear Tire & Rubber Company. http://www.goodyear.com/corporate/history/history_byyear.html (Accessed November 13, 2007).

Editors. 2007. Historic overview. Goodyear Tire & Rubber Company. http://www.goodyear.com/corporate/history/history_overview.html (Accessed November 13, 2007).

Editors, History of the company by year.

Jim Leman. "Tire Evolution Rolls Along," Daily Herald (Arlington Heights, IL), 28 March 2005, 1.

Editors, History of the company by year.

Sandy Smith, and William Atkinson, "17 Award Winners Share Best Practices," Occupational Hazards, October 2002.

Steve Lengell. "Strike Hurts Goodyear Reserves; Tires Beginning to Dwindle…[continue]

Cite This Term Paper:

"Goodyear Tire And Rubber Company " (2007, November 14) Retrieved December 8, 2016, from http://www.paperdue.com/essay/goodyear-tire-and-rubber-company-34360

"Goodyear Tire And Rubber Company " 14 November 2007. Web.8 December. 2016. <http://www.paperdue.com/essay/goodyear-tire-and-rubber-company-34360>

"Goodyear Tire And Rubber Company ", 14 November 2007, Accessed.8 December. 2016, http://www.paperdue.com/essay/goodyear-tire-and-rubber-company-34360

Other Documents Pertaining To This Topic

  • Goodyear Tire and Rubber Company

    61 billion / $1.3 million. In this aspect, CTB is a stronger company in comparison with Goodyear, as they are more effectively using their assets to increase sales. ("Cooper Tire and Rubber Annual Report," 2010) The Debt Ratio The debt ratio is used by investors to determine the overall risks to the business from: various loans and other financial obligations they have. During times of financial challenges, the total amounts of debt

  • Goodyear Case Analysis in the

    By choosing to sell through Sears, Goodyear will be relinquishing its brand exclusivity. It will also have to become more sensitive to retail marketing practices and may lose control over its own retail policies. By going with Sears proposal, the company will be accepting a dual distribution option. But this option also means catering to a different clientele. Different channels cater to different kind of customers. Selling through Sears may at

  • Tire Industry Tire Manufacturing This Is an

    Tire Industry Tire manufacturing This is an industry analysis of the tire manufacturing industry. It has sources. The Industry's dominant economic features Porters Five Forces -- the rivalry amoung competiting sellers in the industry the potential entry of new competitors -Wining customers over their own substitute products Supplier-seller collaboration and bargaining -Seller-buyer collaboration and bargaining Drivers of change in the industry Companies in the Strongest/Weakest Positions Key Success Factors for Competitive Success The tire manufacturing industry is one of the most diversified and

  • Capital Structure a Company s Capital Structure Is

    Capital Structure A company's capital structure is the balance of different methods of financing that provides funding for the company's operations. The basic breakdown is between debt and equity, but preferred shares may also factor into the capital structure. Debt includes all forms of liabilities, including both long-term debt and current liabilities. Equity includes both the book value of shares issued and the company's retained earnings. The market value of the

  • Heat Exchanger Rupture Incident Using the Information

    Heat Exchanger Rupture Incident Using the information in the CSB Case Study, identify probable direct causes, contributing causes, and root causes of the incident. Explain the reasoning you used to reach these causes. You may make assumptions concerning any missing investigative information as long as you clearly state your assumptions. Discuss how and where your proposed causal factors fit into the causation model on page 356 of the course textbook. For

  • Judicial Review of Ledbetter v

    ..making each withdrawal liability payment when due under the Multiemployer Pension Plan Amendments Act 29 U.S.C. Section 1381(a)." (Nager, et al., 2006; citing Bay Area Laundry & Dry Cleaning Pension Trust Fund v. Ferbar Corp. Of Cal., Inc. 522 U.S. 192, 208 (1997). The respondent further notes that in relation to each antitrust law a new violation is constituted by each "unlawfully high priced sale" since that sale is a

  • Liberating Entrepreneurial Energy Continental

    Organizing research-development-engineering meetings Such meetings were organized by Continental in order to focus around researchers and developers within the company and to grant them an entrepreneur value, in order to directly confront them with the demands expressed by the managers in charge of divisions that worked with the market and with customers. These meetings were in the favor of both the company and the researchers and developers. This is because the


Read Full Term Paper
Copyright 2016 . All Rights Reserved