In: Operations Management
To what extent do you think competition led to the Volkswagen scandal?
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After the Volkswagen scandal, customers started neglecting their cars and this had Impacted the company very badly. Volkswagen scandal leads the company to decrease there sales and it also affected the trust of there customers. Also, this scandal had led the competition declined as customers of Volkswagen started shifting to another company's products and the competition which should be there was left with nothing. This act led the company in declined to there sales as they tried to escape with the government checking evaluation of pollution which at the end caught by the government and the company was founded guilty for there act. This act doesn't only affect the present sales of the company but also the future sales of the company and it was very difficult for the company to make a come back into the market. The competition was affected very badly as this news gets viral and people get to know about what the company did then they started boycotting the company's product and started buying another company's product which also disappointed there customers trust and it helped there competitors to grow there business at this time because for them it was an opportunity which no company would have left to take.