volkswagen; new strategy and cheating scandal
TRANSCRIPT
Volkswagen; New Strategy and Cheating Scandal
Class: Strategic ManagementResearcher: Natchaya Charnsakorn
Date 03/13/2016
Learning Objective: Ability to understand the role of
values, mission, and vision in formulating and
implementing strategy
Current Event Article: Hotten, R. (2015, December 10).
Volkswagen: The scandal explained.
Research Question
Did the Volkswagen Group make the right move to
formulate and implement new strategy into the
organization?
(Yes, it does not = Pro) (No, it does = Con)?
Description
• Focusing on positioning as a world’s
economic and environmental leader
(Strategy, 2016).
New Strategy = “GROUP Strategy 2018”
Company’s Mission
“The Group’s goal is to offer attractive, safe and
environmentally sound vehicles which can compete in an
increasingly market and set world standards in their
respective class.” (Jurevicius, 2013)
Volkswagen VZ. (2016)
Current Event
Creating harmony and good
culture within the company about
environment protection.
Organization’s value, mission, and vision
Con
Pro
• New Strategy fit with
- Not all level of employees
- Lose employees, investors trust
- Lose credibility and reliability
Pro
• New Strategy fit with
High demand of eco-friendly products
Con
- Lose huge cost of product recall- Lose market share- Lose brand loyalty- Lose customer trust
Con
- Hard to achieve - Lose brand image for
long term
Pro
• New Strategy fit with
World’s Current EventEnvironment and Eco-friendly
Evaluation
Good Strategy
• Good Value
• Good Mission
• Good Vision
Hard to achieve BUT
Recommendation
• Following value, mission, vision, and strategy
seriously.
• Finding the way to rebranding and regain the
customers base.
Short term profit
Thank you
References