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How should Volkswagen deal with its diesel problems?

The hounds of hell are bearing down on Volkswagen in the wake of allegations of cheating on diesel emissions testing. In just a single day, Volkswagen's stock has dropped 23 percent and the German government has announced that it is going to investigate a far larger number of vehicles over emissions violations. The American storm is quickly becoming a global one. Volkswagen sells over a million diesel vehicles a year and also has more than 13 percent of the automotive market overall – it was the number one automaker in the world up until the scandal. Yet in a matter of hours, Volkswagen has also become a pariah with potential fines and recalls that may be dwarfed by how the alleged lies and deceit change how governments and consumers view the company. Consumers are really going to be the key to the company's survival. It's those consumers who are really going to be the key to the company's survival. Every single one of them now finds themselves with a product that was sold illegally and may not be registered until recall work is done. What's worse is that Volkswagen doesn't yet have a solution for the emissions issue to offer these customers. It should also be noted that this is not the first time Volkswagen has found itself in violation of EPA emission regulations. Volkswagen is in a world of trouble, so what now? As a car dealer and former financial analyst who took several companies public, I believe Volkswagen can and should consider three points of action that would make an enduring difference in the times to come. 1. Offer affected TDI owners a compelling reason to stay with the brand. Recall work and a cup of coffee at the dealership are not going to be enough to placate current owners. Volkswagen should provide compensation for customers at the earliest opportunity and offer some type of inducement that keeps them within the fold. This shouldn't be the industry's version of a Chuck E. Cheese coupon - a small discount on a new vehicle. Volkswagen needs to offer something along the lines of a strong warranty extension of the entire powertrain (not just the emissions system) or some type of valuable feature upgrade for these vehicles so that owners feel that they have been treated fairly. Perhaps a combination of a brand new navigation system, software upgrades for the infotainment components, or some type of basic free WiFi service would be a healthy act of generosity.

Audi revisits Ahab on desert island paradise in new ad

Well, call us Ishmael. Long ago (okay, about eight months), Audi debuted an ad during the NFL playoffs called "Ahab." It showed a salty tow truck driver and his years of catches. During that time, one particular car eluded and haunted him - a white Audi A6, whose Quattro all-wheel-drive system had no issues with the inclement conditions.
Now, there's a sequel that has Ahab, not dead and not missing any legs, on a tropical island. What he doesn't realize, though, is that the white whale (which, Audi, if you're going to associate an animal with a luxury sedan, a whale isn't the best choice) has followed him. Take a look at chuckle-worthy spot below, and then click over and see the spot that started it all from back in January.

2015 Audi A3 Sedan priced from $29,900* [w/video]

One year after the all-new Audi A3 bowed in Europe, the US finally will get the 2015 A3 sedan in 2014, and the German automaker announced yesterday that it's priced from $29,900 (*not including destination, and we've reached out to Audi asking for the price of delivery). A bit later in 2014, the A3 Cabriolet will be released along with the S3 sedan. The A3 Sportback will be a 2015 model, though it will only be offered as a gasoline-electric hybrid. Prices weren't given for those models and, sadly, the three-door hatch isn't slated for US consumption.
The A3 sedan will be offered with three engine choices, all of them featuring direct-injection, turbocharging and four cylinders: a 1.8-liter TFSI, 2.0-liter TFSI and 2.0-liter TDI - that last one's a diesel. If you count the S3 sedan, that's another engine in the lineup - a 296-horsepower version of the 2.0 TFSI.
As we were told at the 2014 A3's "unofficial" world debut in New York City earlier this year, Audi says US customers won't get the option of a six-speed manual transmission, as the Europeans do. All engines will be mated exclusively to a six-speed dual-clutch transmission.