Case Study Business Ethics

Comment on Piech’s neglect in not telling the board about Porsche buying Volkswagen shares. What is the significance of this event? During a Volkswagen supervisory meeting on April 19,2006, some of the board members asked for the reason on the dramatically changes on the price of Volkswagen shares. Unfortunately, there was no answer on this matter. Piech was the one who know about Porsche buying Volkswagen shares and purposely not informed to the board members of Volkswagen. The price of shares increased was due toPorsche keep buying the Volkswagen shares. Piech stated that he kept quiet on the increasing of the price of Volkswagen shares because he did not want the price of Volkswagen shares to increase much more higher.