Volkswagen Porter's Five Forces

1367 Words6 Pages
Primary objective of the project is to identify and study the concepts of Groups and Organisational Dynamics by analysing Volkswagen’s current woes due to the diesel emission scandal, how the organization’s culture was one of its root causes and the current CEO’s measures to tackle the crisis within the organization’s structure. Based on secondary research, we analysed the situation by applying different theories and frameworks and how these theories can be applied in the organizational context.
2. PROBLEM STATEMENT
To examine the causes and repercussions of Volkswagen’s emission scandal on the cultural front and what changes the current CEO of the organization should incorporate in order to restore its brand image.
3. INDUSTRY PROFILE – AUTOMOBILE SECTOR
3.1 INTERNATIONAL
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Mission Statement and Vision:
At Volkswagen it is our mission to build long term strategic partnerships with our customers. To assist them in making the right choices for their business needs, by minimizing fleet costs and providing world class customer service

Volkswagen wants to be the no.1 car seller in volumes overtaking Toyota by 2018. They call this vision as Mach18 .Their vision is to make this world a mobile, sustainable place with access to all the citizens. Their brands all work together in different segments to define Volkswagen group, as it stands today.

Basic Principles:
• Top performance: To survive in the face of competition and to achieve top performance, the Volkswagen Group needs employees who enthusiastically give their best. A good balance between demands and ability (the so-called "flow channel") is the basic precondition for optimum performance and results.
• Leading by example: VW management assumes a decisive role in this entire process. Their principle is to be "Lead, Demand and
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