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There are rumors that Volkswagen is considering abandoning the U.S. market over its diesel scandal. This is not the first time the German automaker has considered exiting America, the last time being the early 1990s when the quality of vehicles made by its Mexican plant was so bad that U.S. managers stopped importing them.
But the notion of leaving is now, as it was then, a foolhardy thought only imaginable by arrogant and obtuse executives who can’t bring themselves to simply do the right thing. Do what needs to be done to satisfy regulators you previously tried to flim-flam with bogus emissions tests, and decide that putting the company on sounder footing is more important than egos. Or leave, and let some new people take over.
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The Passat sedan VW designed for sale to be built at the Tennessee plant is practically invisible. I should know. I own one. In gray, the car is harder to find in a mall parking lot than a golfball on a glacier. It is the epitome of boring transportation. I leased it based on price alone.
Diess’s comments on the sidelines of the North American International Auto Show reflect the exasperation of German executives with a market, the U.S., that won’t behave as they will it. They were indignant over the advent of cup-holders, and they were disrespectful of the clean air rules California imposed. This has been the case at VW for roughly 40 years.
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When Volkswagen remade the Jetta sedan to be cheaper, it also made it less desirable on multiple levels–from the chintzy materials inside the cabin to the tinny door closures. When you take the jelly out of the jelly donut, don’t be surprised when they are harder to sell.
The Touareg SUV is six years old and transacts close to $50,000 for the V6, though if you check enough boxes, you can get it up over $60K. It’s never been taken seriously as a luxury SUV, and it’s too expensive to be mass-market.
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The fact that Volkswagen of America cannot keep a CEO for longer than it takes to cook a proper cassoulet is a problem. Good people do not wish to work for foreign management that does not accept the realities of a market, nor one that uses threats in place of morale or empowerment.
Herbert Diess says that Volkswagen may opt to pursue a boutique strategy in the U.S.? Herr Diess: when, since 1980, has Volkswagen not been a boutique brand in the U.S.?
http://www.forbes.com/sites/davidkiley5/...a/#239c50841d50
There are rumors that Volkswagen is considering abandoning the U.S. market over its diesel scandal. This is not the first time the German automaker has considered exiting America, the last time being the early 1990s when the quality of vehicles made by its Mexican plant was so bad that U.S. managers stopped importing them.
But the notion of leaving is now, as it was then, a foolhardy thought only imaginable by arrogant and obtuse executives who can’t bring themselves to simply do the right thing. Do what needs to be done to satisfy regulators you previously tried to flim-flam with bogus emissions tests, and decide that putting the company on sounder footing is more important than egos. Or leave, and let some new people take over.
Quote:
The Passat sedan VW designed for sale to be built at the Tennessee plant is practically invisible. I should know. I own one. In gray, the car is harder to find in a mall parking lot than a golfball on a glacier. It is the epitome of boring transportation. I leased it based on price alone.
Diess’s comments on the sidelines of the North American International Auto Show reflect the exasperation of German executives with a market, the U.S., that won’t behave as they will it. They were indignant over the advent of cup-holders, and they were disrespectful of the clean air rules California imposed. This has been the case at VW for roughly 40 years.
Quote:
When Volkswagen remade the Jetta sedan to be cheaper, it also made it less desirable on multiple levels–from the chintzy materials inside the cabin to the tinny door closures. When you take the jelly out of the jelly donut, don’t be surprised when they are harder to sell.
The Touareg SUV is six years old and transacts close to $50,000 for the V6, though if you check enough boxes, you can get it up over $60K. It’s never been taken seriously as a luxury SUV, and it’s too expensive to be mass-market.
Quote:
The fact that Volkswagen of America cannot keep a CEO for longer than it takes to cook a proper cassoulet is a problem. Good people do not wish to work for foreign management that does not accept the realities of a market, nor one that uses threats in place of morale or empowerment.
Herbert Diess says that Volkswagen may opt to pursue a boutique strategy in the U.S.? Herr Diess: when, since 1980, has Volkswagen not been a boutique brand in the U.S.?
http://www.forbes.com/sites/davidkiley5/...a/#239c50841d50
