VW 15 Pages - Running Head VOLKSWAGEN EMMISSION SCANDAL The...

This preview shows page 1 - 4 out of 19 pages.

Running Head: VOLKSWAGEN EMMISSION SCANDAL 1 The Role of Public Relations in Volkswagen Crisis and Emission Scandal
Image of page 1

Subscribe to view the full document.

VOLKSWAGEN EMMISSION SCANDAL 2 The Role of Public Relations in the Volkswagen Crisis and Emission Scandal Chapter 1 Introduction Public relations are an essential aspect of any business organization or company. Therefore, business organizations and enterprises need to lay down appropriate public relation strategies to ensure a good reputation (Solis & Breakenridge, 2009). Through public relations, companies, individuals, and business organizations communicate to the public and the media. Such communications are done by public relation specialists directly or indirectly to the target audience. Such public relation strategies include the utilization of the World Wide Web, public appearances, newsletters, and press releases. Public relations can be used to communicate with the public about new products, new offers on the market, and resolving of crises. In every industry, public relations play a significant role. Consequently, the car industry is no exception. In the world of business, there is stiff competition. Therefore, for business organizations and companies to retain existing customers and win new customers, the organizations need to distinguish themselves in the process of competition. In attempts to gain a competitive advantage in the market, companies and business organizations have an obligation to create and maintain a positive public image (Holweg, 2008). In such cases, the role of public relations specialist comes clear in any organization. They help the firm or business organization to create and maintain a good reputation among the customers and the media. Consequently, the company will be in the position to present its products and services. Therefore, a positive reputation in the public creates a strong relationship with the clients increasing its products.
Image of page 2
VOLKSWAGEN EMMISSION SCANDAL 3 On the case of Volkswagen Company, the reputation of the company that is based on trust and reliability faced a lot of challenges in an attempt to respond to the emissions scandal. This Emissions scandal was started by the United States Environmental Protection Agency, which gave notice to Volkswagen group on 18 September 2015 on the violation of Clean Air Act. German automaker Volkswagen group was found to have intentionally programmed turbocharged direct injection of diesel engines that was meant to activate some emissions controls only during laboratory testing. Due to this programming, the Volkswagen cars were producing 40 times more nitrogen oxide gas into the air than real world driving which was above the U.S standards. Due to this air pollution, Volkswagen group become a target where many regulatory investigations from different countries come up like in Italy, UK, South Korea, Canada, France. Because of this emission scandal, the stock price of Volkswagen group fell in value by about a third in the whole world which made Volkswagen group CEO Martin Winterkorn to resign.
Image of page 3

Subscribe to view the full document.

Image of page 4
  • Summer '13
  • momanyi
  • Audi, Volkswagen, Volkswagen Group, VOLKSWAGEN EMMISSION SCANDAL

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern