Reference no: EM133237273

This feature follows the scandal at Volkswagen when it was discovered that the German automaker had been deliberately tampering with the emissions on its cars sold in the United States in order to meet U.S. Environmental Protection Agency (EPA) regulations. Interestingly, the investigation into the situation revealed that upper-level managers were unaware of the tampering, and that knowledge of it was limited to a few managers close to the problem. The scandal cost Volkswagen large sums in fines, and also the trust and loyalty of many of its customers.

Upper-level managers at Volkswagen were apparently unaware of the tampering that was going on in order to ensure that Volkswagen vehicles sold in the United States met EPA regulations. What does this situation tell you about the corporate culture at Volkswagen?

Reflect on the ethics of the managers who tampered with the emissions systems of the cars sold in the United States. Why do you think they made the choices they did? Did Volkswagen do the right thing when it disciplined the managers?

What a manager should do when the norms in a host country differ from those in a home country. Should a manager adopt local ethical standards if they are different from home country ethics? Why or why not? Please explain.

Can a company be good at corporate social responsibility but not be sustainability-oriented? Alternatively, is it possible to focus on sustainability but not corporate social responsibility? Please explain your reasoning.