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1. Volkswagen Disaster
PRESENTATION on Reviewed
Real Fiasco with (VW)
Brand Management
Name : Junaid Amjad
Class ID : 55724
Fall 2015

2.  11 million vehicles worldwide are involved scandal in the rigging environmental tests for
diesel emissions.
 It said it was setting aside €6.5bn (£4.7bn) to cover costs of the scandal.
 VW chief executive Martin Winterkorn issued a fresh apology for the test-rigging, saying he
was "endlessly sorry" for the "manipulation.
 EU-wide investigation into the affair and then US Environmental Protection Agency (EPA) said
VW diesel cars had much higher emissions than tests had suggested and that software in
several diesel cars could deceive regulators.
 Volkswagen stock drops 20% on US diesel recall probe.
 VW scandal threatens 'Made in Germany' brand. Cars and the environment - two things that
Germany cares so deeply about that they form part of the national character.
Overview of Volkswagen Brand Disaster

4. New Management Faces 5 Big Challenges
1. Purge the scoundrels
2. Create "guiding principles
3. Don't ignore the product
4. Rethink diesels
5. Tap into warm feelings for VW

5. Brand Strategic Corrective Measures
Come Clean
Viable option is for management to apologize quickly.
Polish the Halo
Polish the brand image in the mind of consumers.
Brand advertising and public relations activities.
Inoculation
If you believe that even identified consumers will begin to
question your brand when the news hits