Management Problem Solving Analysis

Running head: MANAGEMENT PROBLEM SOLVING ANALYSIS
MANAGEMENT PROBLEM SOLVING ANALYSIS
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1MANAGEMENT PROBLEM SOLVING ANALYSIS
Executive Summary
The report is based on the analysis of the case study of Volkswagen that has faced major
issues related to the sustainability levels in the operations and CSR activities as well. The
emission scandal that had taken place in the organization had an impact on the image and
share prices of the firm in the automobile industry. The issue has been analysed with respect
to the CSR theories and different aspects that are a part of the case study. Recommendations
and alternate strategies will also be provided based on the future strategies that can be
implemented by Volkswagen in the automobile industry.

2MANAGEMENT PROBLEM SOLVING ANALYSIS
Table of Contents
Introduction....................................................................................................................3
Background and context.................................................................................................3
Problem identification and description..........................................................................5
Analysis..........................................................................................................................5
Alternative approaches and solutions.............................................................................7
Recommendations..........................................................................................................8
Conclusion......................................................................................................................9
References....................................................................................................................10
Appendices...................................................................................................................11
Appendix 1...............................................................................................................11
Appendix 2...............................................................................................................11

3MANAGEMENT PROBLEM SOLVING ANALYSIS
Introduction
The case study is mainly based on the German car maker Volkswagen that is currently
paying out around 15.3 Billion Dollars in order to address the crisis that has taken place in the
US. The issues that have been faced by Volkswagen are an important part of the discussion
that is made in the case study. Hyper-competition is considered to be a key aspect that is able
to affect the operations and profitability levels of Volkswagen in the automobile industry.
The CSR or corporate social responsibility failure that has been faced by the company is the
major part of the analysis made in the case study (Volkswagenag.com. 2019).
The report will be built on the analysis of the concerns that are mainly faced by
Volkswagen in its operations and their impact on the revenues and position of the firm as
well. The impact of ineffective CSR on the image of Volkswagen will also be a major part of
the analysis that will be made in report.
Background and context
The intense levels of competition that have been faced by Volkswagen in the
automobile industry have an influence on the organization and its profitability levels as well.
The stakes that have been faced by the firm and the levels of inflated corporate power are
considered to be major factors that have an impact on the organization as a whole. A major
emission scandal had been faced by the company in the year 2015. The scandal had a major
impact on the share prices, sales revenues and the pre-tax profits that are earned by
Volkswagen as well. The new business strategy of the firm had been quite aggressive in
nature and the agreement to terms and conditions of Volkswagen have been huge. The major
focus of this strategy was thereby based on the future operations of Volkswagen in the
automobile industry (Volkswagenag.com. 2019). The costs related to emissions scandal have