CASE

STUDY
Presenters,
Rani, Jay, Jancy,
Pallavi, Vedant
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Emission scandal 3
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 CASE

• Volkswagen cheat nitrogen oxide

emission test.

• Contained software to turns off

emission control Emit nitrogen
oxide up to 40 times the standard.

• In 2014 Environment Protection

Agency (EPA) investigation begins.

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 CASE

• Volkswagen argues third party tests are

flawed.
• 3 September 2015 Volkswagen admits
using software to trick regulator.
• 18 September 2015 scandal goes public.
• 7 October 2015 Volkswagen expects recall
of cars in January-2016.

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AFTERMATH

LOSS

 VW had to buy back cars in North

America. That means the scandal
has now cost the company $30
billion in total.

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• Volkswagen AG lost almost a
quarter of its market value.

• Volkswagen drops as much as 23

percent to 125.40 euros in
Frankfurt, wiping out about 15.6
billion euros in market value.

• The stock closed at 132.2 euros,

its lowest in more than three years.

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Ethical Issue:
violation

 Volkswagen not only disregarded EPA

laws and restrictions but also invented
software to avoid them.

 Volkswagen vehicles were emitting an

enormous amount of nitrogen oxides
negatively impacting the United States air

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 Ethical Issue:
violation

 Volkswagen's conduct did not carry

any virtue.

 Dishonesty.

 Lack of professionalism.

 Lack of responsibility.
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Duty ethics
Company's duty to,

 To look after the welfare of

customer.
 Maintain environmental protection
agencies [EPA] law and restriction.
 Produce environment friendly
product.
 Engineer's duty to make trusty
software
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Conclusion

Failure of ethical theories

Huge amount of air pollution

Recall the defective cars.

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VIDEO SLIDE

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 THANK
YOU!

Any questions?