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The ''Made in Germany'' is not at Risk

By Clément Bucco-Lechat (Own work) [CC BY-SA 3.0 (], via Wikimedia Commons

"Made in Germany", in particular in the industry sector, is regarded as a guarantee for high-quality, reliability, and trust. The top 50 German brands were valued at € 170 billion. And carmakers dominate this ranking : 1. Mercedes-Benz. 2. BMW. 3. Deutsche Telekom. 4. SAP. 5. Volkswagen (VW). 6.Audi. (Ranking Interbrand). Will the VW scandal over cheating the diesel emission tests affect the company or even threaten the "Made in Germany" as a whole? Yes, it will undoubtedly affect the image of VW. But it is unlikely that it will call into question the German industry's reputation. Indeed, the scandal is not over the skill and expertise of the German engineers and it is not about a failed system or device. It is a serious and, at the same time, a stupid matter of deliberate deceit organized by a few individuals. Yet, the German authorities realized the gravity of the situation and immediately expressed their concern about the reputation of the car industry at large. And that is understandable. Germany's auto industry accounted for roughly 18% of the country's exported goods in 2014 (estimate Deutsche Bank). And one in seven of all German jobs are connected to the car industry. To date, the "VW scandal" could affect more than 11 million vehicles worldwide and lead to the payment of fines estimated between $ 18 billion and $ 45 billion! However, we do not share the concerns expressed by some analysts about potential severe implications for the entire German industry. Again, it is not a matter of expertise or technology, but it is a matter of deceit. And of course, it is not a minor matter for VW. But in spite of this all, we believe that the reputation of the "Made in Germany" will continue to be very strong around the globe.

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