I identified an problem and suggested an solution

1. CRITICAL SITUATION IN AN
ORGANISATION AND
MANAGERIAL SKILLS
NAME:MEENAKSHI V
REG NO:109
MBA- B

2. VOLKSWAGEN

3. INTRODUCTION
• Volkswagen since 1937
• People’s car
• Icon of post war west German regeneration
• Product line expansion with beetle and luxury car subsidiaries
• World wide presence- car sold for in 153 countries
• Recently they start to preach environmental virtues , emphasising it’s diesel car

4. ANALYSIS OF THE CRISIS
• Global scale
• Cross culture conflict
• Number of cars affected in huge 11 million
• Clear case of well planned conspiracy and fraud
• SCCT – Situational Crisis Communication Theory-intentional crisis
• Customer resent decreased car valuation ?
• Replacement? Compensation package?

5. IMMEDIATE STEPS TO CRISIS
• Acknowledge to scandal
• Taking action to compensate the deceit
• Connecting with customer
• Started issuing financial compensation for customer
• Buying back some unsellable , used diesel vehicle

6. STRATEGIES
• Volkswagen to refit cars affected by emissions scandals
• More authority will be given to individual brands and region
• Special group created in efforts to repair its reputation in markets
• Offers to incentive to attract customer
• Introduction to electric cars

7. REFERENCE
• Quora
• Google

8. VOLKSWAGEN