The controversial case of defeat device engine TDI Volkswagen has just begun. There are still many points that remain to be clarified, and further affected economic and figures that remain to be officially confirmed. Therefore, and casting a glance at a little encouraging for the Volkswagen Group’s future, we have analyzed in 8 points scenarios to which the carmaker faces German which is already considered the greatest crisis suffered by a manufacturer in automotive history.
1. The economic impact on the Group VAG
How they can deceive the approved manufacturers consumption? The Volkswagen case in the United States and Defeat Device
The discovery of defeat device by the US Environmental Protection Agency (EPA) has led German industry to such a complicated market situation, the same German government has decided to take action on the matter to stop the bleeding. The Volkswagen Group has lost in two sessions over 25,000 million euros in bag , dragging the red numbers to other companies such as Porsche (largest shareholder of Volkswagen AG) and the German index DAX . A business of the size of Volkswagen AG has many ties, ties that currently are dragging the whole industry under an alleged manipulation of approval emissions. Volkswagen AG has confirmed the reservation of a first package of 6,500 million euros to repair this issue that could affect a total of 11 million cars , but the actual cost could be multiplied by 4 or 5 times once start arriving fines and judgments in favor of customers.
2nd. Branding: the value of trust and shadow con
The face of Martin Winterkorn, current CEO Volkswagen, admitting the use of defeat device in mechanical 2.0 TDI (code EA 189 ) is the best summary of caught of biblical proportions. Volkswagen has not bothered to cast doubt on the statements of EPA , and indeed was quick to admit the problem and confirm the opening of an investigation by outside entities . To all this one must add the contagion effect, because already talk of a review of all mechanical TDI which manufactures Volkswagen (from 1.4 to 4.2 liters) and the involvement of Governments and agencies to analyze in detail each component exiting the exhaust of a diesel engine vehicle Volkswagen.
This whole process results in a tedious and complicated process that Volkswagen will plunge into the worst crisis in its history . The impact of the announcement EPA is very high, and the image of the Volkswagen Group is now in doubt after he enjoyed a leading brand image in mechanical moved by diesel. To put it another way, smoke of TDI is now more black than ever , even making use of the name Clean Diesel. Quite possibly this case joins other major crisis in the history of the automobile as the Toyota Pedalgate or defective bowlers of General Motors.
| All you need to know about the case of diesel Volkswagen |
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| The EPA Volkswagen accuses US of anti-pollution falsify the test half a million cars |
| Volkswagen stopped sales of cars equipped with engine 2.0 TDI US |
| How they can deceive the approved manufacturers consumption? The Volkswagen case in the United States and Defeat Device |
| an awkward moment Volkswagen choose to introduce the facelift of the US Passat |
| 10 ways to manipulate the homologated consumption (to be so different from actual) |
| 11 million engines 2.0 TDI of the Volkswagen Group have a defeat device that distorts its emissions |
3rd. Real extent of the use of defeat device by Volkswagen
Here the great problems facing the Volkswagen. The actual range of the device defeat not only concerns the 482,000 cars sold in the US, but affects 11 million vehicles globally for the moment . The next step is to analyze the mechanical diesel rest of the group, something that already are working since the discovery by the EPA . Only the confirmation of the 11 million units affected, calculating the economic cost scares, Volkswagen would have to assume as fines, restitution and possible repairs / replacements in dozens of markets. Is there light at the end of the tunnel?
4th. A call to patch fixes the problem?
11 million engines 2.0 TDI of the Volkswagen Group have a defeat device that distorts its emissions
No. The problem of the engines “rigged” Volkswagen of mechanical design which alone has failed to comply with emission regulations . For this reason, Volkswagen introduced an algorithm capable of altering engine performance to reduce their actual emissions. The device concept defeat of an amendment on the map of the engine, so that a possible solution to provide its customers Volkswagen, will not be other than updating the control units of the affected vehicles to integrate an engine map yes comply with anti-pollution regulations. But make no mistake, this new map engine significantly affect the performance of the mechanics.
The most appropriate solution would be the introduction of a system SCR catalytic reduction with AdBlue, the formula used by the bulk of manufacturers to adopt the regulations Euro 6. But again we encounter the complexity and soaring costs of implementing anti-pollution systems workshop.
5th. The automotive industry in the spotlight
Vokswagen was the first. Stay with this statement because very likely Volkswagen AG could become the first of a long list of automotive firms that have employed certain “aid” to comply with anti-pollution standards . The lack of pronunciation by ACEA in the sector concerned, since its release – in defense or attack – Volkswagen strategy extract the European automotive industry to withstand the storm that are coming.
What is not in doubt is that For Volkswagen has become the perfect excuse to placate the European Commission to the automotive lobby in their struggle to impose a test cycle fairer consumption and further tightening of anti-pollution laws governing the sector. It was difficult to think that an automobile group Volkswagen AG magnitude is only in this whole affair.
6th. The bleak future of the Volkswagen Group in R & D
At the end of this whole thing will be summarized quite a number of digits, and it will be like this tricky issue can. That said, and to prospects who speak of up to 15,000 million euros in fines only for the US, the future of the Volkswagen Group is in a difficult time if we focus on its profit for 2014 was 14,800 million euros. The accounts do not balance and the Volkswagen Group could face losses record .
Although this whole thing could be delayed for a period of years, the costs of this process seems to drag a Volkswagen to a policy of austerity unceremoniously . The latest results from Volkswagen as the manufacturer and led to a serious internal restructuring which slowed the development of different models, but this new case could jeopardize the future of the group forced to have to make tough decisions in search of liquidity and cut expense .
Since the group has made a call to peace in the entire structure, from dealerships production plants, but the reality is that the business network of Volkswagen is supported by thousands of workers who could eventually be the ones to suffer most the final impact of this alleged fraud.
7th. I am one of the 11 million customers affected What to do?
The role of client Volkswagen Group at the moment is complex. In Europe, until it becomes known a protocol by the group, a recall eg only can resort to patience and contact the dealer to try to gather first-hand information . As mentioned in the previous paragraph, the solution is far from simple, as it requires a major effort by all affected vendors to determine a protocol that solves the problem, do it at no cost to the customer and that pleases to the authorities.
From US we can follow the movements of this case for references . To one side of the Atlantic for sure we will see multimillionaire and demands serious accusations with Volkswagen and Audi compromised. However, this approach is not directly transferred to Europe given the importance of Volkswagen AG in our market and the legislation we have here.
8th. The opportunity in disguise
Like any major problem, the idea of a well used opportunity is present. reinforce the brand image from a problem that seems wallow in the abyss is the best strategy you can take right now Volkswagen . , Although very different, as the engines defective Porsche 911 GT3 , recent cases show that every setback can serve to reinforce image and links with customers.
Volkswagen has a serious problem to solve, yet still has the ability to repair the damage and show that a mistake can also lead to a better end. Extended warranties, adaptation to Euro 6 completely new engine … there is a wide range of possibilities to get out of this whole thing, but let’s face it, the extent of the problem is so large that it is difficult to think of a solution that does not speak of thousands of million.
| All you need to know about the case of diesel Volkswagen |
|---|
| The EPA Volkswagen accuses US of anti-pollution falsify the test half a million cars |
| Volkswagen stopped sales of cars equipped with engine 2.0 TDI US |
| How they can deceive the approved manufacturers consumption? The Volkswagen case in the United States and Defeat Device |
| an awkward moment Volkswagen choose to introduce the facelift of the US Passat |
| 10 ways to manipulate the homologated consumption (to be so different from actual) |
| 11 million engines 2.0 TDI of the Volkswagen Group have a defeat device that distorts its emissions |
In motor:
10 ways to manipulate homologated consumption and emissions (to be so different from actual)
11 million engines 2.0 TDI Volkswagen Group have a defeat device which distorts their broadcasts
