Crisis Management, CSR, and Crisis Communication in the Volkswagen Emissions Scandal

Bachelor Thesis , 2017 , 60 Pages , Grade: 1,3

Business economics - Business Management, Corporate Governance

The purpose of this research is to examine the crisis management and crisis communication of the German car company Volkswagen (VW) in its recent emissions scandal. This study aims to analyse the applied crisis management and communication strategies of Volkswagen by evaluating the crisis´ impact on each stakeholder group. To accomplish this, the research adopts a single case study design, and it considers a significant amount of qualitative, secondary data.

The research first notes that Volkswagen failed in its crisis management prevention tactics, as it was unable to detect the crisis at an early stage. Moreover, the study reveals that VW implemented several immediate crisis management measures for a quick turnaround management. Instead of concentrating on a specific crisis response theory, it is evident that VW made use of different crisis response strategies. VW took full responsibility for the crisis, promising transparency, but it also shifted the blame onto a small group of employees, suggesting that the company was also the victim of human error.

Finally, the study reveals the significant impact of the crisis on each stakeholder group, which reveals that VW struggled to regain stakeholder trust and did not keep its promise of transparency. Thus, the study concludes by presenting future recommendations for Volkswagen in order to rebuild trust and avoid similar crises from occurring in the future.

Table of Contents

ABSTRACT

ACKNOWLEDGEMENTS

1.INTRODUCTION
1.1 THE BACKGROUND OF UNCERTAINTY AND OCCURRENCE OF CRISES
1.2 VW AND THE EMISSION CRISIS

2.DEFINITION OF CRISES
2.1 CRISES AND CORPORATE CRISES
2.2 DIFFERENT TYPES OF CORPORATE CRISES:

3. CSR, CRISIS MANAGEMENT & CRISIS COMMUNICATION
3.1 CORPORATE SOCIAL RESPONSIBILITY & STAKEHOLDER MANAGEMENT
3.2 THE PROCESS OF CRISIS MANAGEMENT:
3.3 CRISIS COMMUNICATION & CRISIS RESPONSE STRATEGIES

4. METHODOLOGY
4.1 MOTIVATION:
4.2 RESEARCH PHILOSOPHY:
4.3 RESEARCH DESIGN:
4.4 DATA COLLECTION:
4.5 DATA ANALYSIS:
4.6 ETHICS:
4.7 LIMITATIONS:

5. DISCUSSION AND FINDINGS - THE VW CRISIS
5.1. BACKGROUND OF VW’S “EMISSION ISSUE”
5.2 THE EMERGENCE OF THE CRISIS:
5.2.1 May - December 2014:
5.2.2 September 03, 2015
5.2.3 September 18, 2015
5.3 ANALYSIS OF VOLKSWAGEN PRESS RELEASES AFTER THE EMERGENCE OF THE CRISIS
5.4 VW´S CRISIS MANAGEMENT FROM A STAKEHOLDER PERSPECTIVE
5.4.1 Capital Market
5.4.2 Society
5.4.3 Customers
5.4.4 Partners

6. CONCLUSION AND FINAL DISCUSSION

REFERENCES

APPENDICES

• College: University of Cumbria
• Grade: 1,3
• Author: Marco Hölzel (Author)
• Publication Year: 2017
• Pages: 60
• Catalog Number: V417476
• ISBN (eBook): 9783668675360
• ISBN (Book): 9783668675377
• Language: English
• Tags: Crisis Management, VW, CSR, Corporate Social Responsibility, Crisis Communication, Volkswagen, Diesel, Emissions, Scandal, Abgasskandal, Krisenmanagement, Krisenkommunikatio, Sustainability, Nachhaltigkeit