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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's new 1,000-hp hybrid pulls like a freight train

Audi's latest plug-in hybrid handles like it's on rails, and pulls like a freight train. That's because it's a train, and literally rides on rails. The vehicle in question is a locomotive which the German automaker developed for its main factory in Ingolstadt incorporates over 11 miles of railroad tracks, along which are transported parts and completed vehicles to be moved around the site. To carry out those duties, Audi teamed up with French manufacturer Alston to deploy a new hybrid locomotive on premises. The locomotive features a plug-in hybrid propulsion systems capable of running on electric power alone for two hours at a time, and can be plugged in to recharge during down-time. The upshot is that it not only pollutes less overall, but can be run inside warehouses more safely. When the power runs out, the electrical system is backed up by a diesel engine. Audi reports that 15 trains arrive at the factory every day. It employs 17 locomotive drivers on site. And each locomotive runs for 3,800 hours each year. Whether we can take Audi at its word when it comes to diesel emissions or not, the company claims that the new hybrid locomotive cuts its carbon emissions by half, taking 60 tons of CO2 out of the atmosphere each year. 10/30/15 Ingolstadt Hybrid locomotive at Audi plant in Ingolstadt This Audi drives on rails: A 1,000 horsepower plug in hybrid locomotive manufactured by Alstom replaces the plant locomotives previously used at the Audi plant in Ingolstadt as of today. This means that components and finished Audi models will now reach the plant's loading stations in a more climate friendly way. "Our goal is all-round sustainable logistics," stated Johann Schmid, head of the Audi plant railway in Ingolstadt. "The new railway technology allows more economical, energy-efficient and low-emission rail transport. In connection with the latest chassis technology, the plug-in-hybrid locomotive sets new standards in shunting and rail transport." The complete automobile plant in Ingolstadt includes 18 kilometers of railways. Every day, 15 goods trains arrive at Ingolstadt North railway station for Audi – loaded with pressed parts, engines and transmissions, as well as cars from other Audi sites that are ready for delivery to customers. And cars produced in Ingolstadt also start their journey to customers by rail. 17 Audi locomotive drivers work at the plant railway. One of their tasks is to allocate the wagons to the various plant buildings.

Audi Q7 testing gives us clearer view of new look

Audi just announced its intentions to build the Q1 in 2016. By that time, the company will already have introduced the opposing bookend to that subcompact utility vehicle, the fullsize Q7. The last time we saw the next-gen Audi Q7 out testing, our spy shots were very low quality and didn't reveal much about the luxury SUV. This time around we're able to make out a few key elements about the Q7.
For starters, the unfinished headlights have a stylish, wave-like lighting element with a three-dimensional appearance, while the rear of the Q7 will definitely get a similar wraparound liftgate as the current model. Overall, this prototype looks to be about the same size as the existing Q7, so it will be interesting to see how Audi squeezes almost 800 pounds from the SUV's curb weight. The diet will surely help improve efficiency, and we also hear that Audi is considering a plug-in hybrid model in addition to the standard gas and diesel variants.
Riding on a shared platform with the next-gen Volkswagen Touareg, Porsche Cayenne and the upcoming Bentley Falcon SUV, the next Audi Q7 is expected to bow in late 2014 for the 2015 model year.