Crisis Communication and Corporate Reputation Management

Abstract

This study examines the communication strategies used by Volkswagen via the X platform during the 2015 "Dieselgate" emissions scandal, focusing on the real-time interaction between corporate messages and public sentiment. The study draws on Coombs' (2007) framework for crisis management and Liu et al.'s (2011) SMCC model, which highlights the role of digital platforms in enabling direct communication with stakeholders. The scandal, which resulted from Volkswagen's manipulation of emissions tests, reveals low trust and strategic issues such as denial, delay, and poor transparency. This study addresses a gap in analysing immediate public reactions to high-stakes crises by applying the SMCC model through a multi-method approach. It combines quantitative sentiment analysis and engagement metrics with Critical Discourse Analysis (CDA), drawing on Fairclough (1995) and Wodak (2001), to examine how reputational outcomes discourse around blame, justification, apology, and resistance shapes. The conclusion was that most of the sentiments shared on X were negative in the first phase of the scandal. These studies support this view by quoting emotionally charged language that framed what was seen as irresponsible and deceitful conduct by Volkswagen. A modest rise in positive sentiment appeared later, linked to factors such as brand loyalty, audience fatigue, or strategic reframing. Using the Critical Discourse Analysis lens, it was further revealed that Volkswagen employed a risk-averse communication strategy based on low-modality, bureaucratic language seeking to allocate responsibility elsewhere. This clashed with public expectations of transparency and increased a discourse of blame, with very few voices in support and showing understanding of brand attachment. The study makes a contribution to both academic and practical aspects of crisis communication by showing how Volkswagen’s Dieselgate responses illustrate the risks of delayed and opaque messaging in the digital age, and by emphasising the central importance of transparency, empathy, and stakeholder trust in safeguarding corporate reputation under intense public scrutiny.