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The Volkswagen Group switches official language to English

The Volkswagen Group can't be fairly thought of as entirely German anymore, so the news that the company is switching its official language to English to help attract managers and executives is a rational, if surprising, decision. While many VW Group companies are still staidly German in character and culture, consider the other companies that it controls: Bentley (British), Bugatti (French), Ducati and Lamborghini (Italian), Skoda (Czech), Scania trucks (Swedish), and SEAT (Spanish). Not to mention the large Volkswagen Group of America operation, which constructs cars in Chattanooga, TN. Volkswagen's explicit motivation is to improve management recruitment – making sure the company isn't losing out on candidates for important positions because they can't speak German – and that's inherently sensible in a globalized economy. Particularly considering, like it or lump it, that English is the lingua franca of said global economy. It also should make it inherently easier to communicate between its world-wide subsidiaries and coordinate operations. It's hard to say for sure if this will have any impact on the consumer, although it's easy to see the benefits if, say, VW Group hires some American product planners or engineers and they push for features and designs that more closely suit American needs. After all, the US is a hugely important market for any manufacturer, and so the switch to English almost certainly has something to do with the outsized influence of the US in the global economy. And there doesn't seem to be a downside from a purely rational perspective, although it could mean that the Group's corporate culture becomes less German. Whether that's a good or a bad thing depends on your perspective. Related Video: Image Credit: Krisztian Bocsi/Bloomberg via Getty Images Plants/Manufacturing Audi Bentley Bugatti Porsche Volkswagen SEAT Skoda

Updated J.D. Power APEAL study shines on VW Group, Chevy

J.D. Power has just revealed the results of its 2013 APEAL Study, which looks at which brands have the most appealing cars based on sales figures, dealer inventory, brand loyalty, transaction and trade-in prices. The study was revamped for 2013, and places a larger focus on the new tech and infotainment options available to customers. All told, study participants gauged their vehicles on 77 different attributes, delivering a score out of a 1,000 points.
The Volkswagen Group had the greatest success of any corporation, topping the APEAL rankings with the Audi Allroad, Porsche Boxster, Porsche Cayenne, VW GTI and Passat. Chevrolet had the highest number of awards for a single brand, though, with the Avalanche, Sonic and Volt all taking home a prize.
The best brand overall was Porsche, which scored 884 out of a possible 1,000 points. The top Japanese brand was Lexus with a score of 847, while the top American brand was Cadillac, at 841. The best mainstream brand was Ram, which received a very respectable 817. The industry average for this year's study was 795, with 16 brands, all of which were mainstream, falling below the average.

Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.