In December 2014 Volkswagen (VW) shares were €245 and widely tipped to go higher. On 29 September 2015 they were €105 and it was hard to find a buyer. The cause? An interesting mix of two of the most powerful exam topics: business objectives and business ethics.
Volkswagen’s ethical crisis highlights the problems that can be caused by chasing objectives. Between 1931 and 2007 General Motors (GM) stood as the world’s biggest car manufacturer. The desire to overtake it and become number one seems to have caused huge problems at Toyota and VW. GM’s wish to retake its crown has also had consequences. Just as some sportsmen and women cut corners to get to the top spot, these car makers have done the same.
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