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Corporate Governance Violation at Volkswagen
Introduction
Volkswagen was established May 28th, 1937. Since then, it has become an international
company with a logo that everyone can recognize. In 2015, information surfaced that
Volkswagen, “VW”, installed software in engines that produced nitrogen oxides, which are
dangerous to the environment. Around 11 million cars were affected by the unethical decisions
that VW made by selling the affected cars, and all of them were recalled. These cars were
producing toxic nitrogen oxides while being driven but didn’t produce them in the lab when they
were originally tested. Some of these cars were sold in 2008 meaning that some cars were
producing these gases for 8 years before they were recalled. The corporate governance of VW
was disregarded when this negligence occurred. This action by VW not only was unethical and