tv Business - News Deutsche Welle April 13, 2018 1:02am-1:15am CEST
boardroom reshuffle at the world's top carmaker. picks a new c.e.o. and restructures its top levels even though the company is performing well we'll tell you why. and the world trade organization is happy with the global outlook for trade protectionism could ruin it all. for business on the w m how you got to get us it's good to have you with us rumors had been circulating since the beginning of the week and now it's official. will lead to what is supposed to be a new era it won't be an easy task the company hopes to keep its record performance we saw confirmed today with solid gains in both revenue and operating income but at the same time it needs to restore confidence and the severely damaged reputation. has a new man at the top with immediate effect the w.'s new c.e.o. is. he's been with the company for three years now he's been tapped to kick start
the next one that will see the company betting big on electric cars if it falls behind in the race it could lose ground in critical markets like in china and news of d.c.'s new position is going over well with many employees. but the folks i work for and was at the meeting. i can only sing in a great job at v.w. so for. me it. the company now plans a massive restructuring program in china and in six other business branches. the program to better structure the company and make v.w. more manageable. and what's to become of moola sources say who remain with v.w. until twenty twenty he had been earning ten million euros a year and both sides seem unwilling to break his contract. of course
a big story especially for the auto industry let's cross over to the city of vive spoke where the company has its headquarters our correspondent stephen beardsley is standing by and has been following the board meeting for us thank you for joining us stephen now we do know that habit d.s. is not a new name to foxfire he has been in the company for a few years what can you tell us about fox news c.e.o. . the word around decent course is that he's a numbers man that he's a cost cutter and that comes with implications of course for unions especially here in germany who would fear job losses for any more strict cuttings from volkswagen. came from b.m.w. almost three years ago as you said javier and he came two months before the diesel scandal hit folks wagon and at the time that he arrived it was said that he had his eyes on the top position that he now it's been confirmed will take over but that of course he came at the wrong time his star fell
a little bit especially as he got into a little bit of heat with the unions for his cost cutting tendencies. we've heard that since then of course he's been very close to some of the families that are the biggest stakeholders and movers behind volkswagen and that he's sort of ascended back to the top we don't know exactly what his stamp will be on volkswagen but we look forward to hearing more about it hopefully tomorrow now let's take a look at the bigger picture here stephen because we know that fox martin has been doing pretty well actually under the now former c.e.o. the company had record profits and especially and here in germany analysts and the press have been consistently saying that this move came as a big surprise so why such a big change and why now. it's a fascinating question and i think that's the question that everyone wants answered hopefully tomorrow when we do have the official introduction of the changes. as you said miller has been seen as downing of as having done
a very good job by all objective measures like in stock is back up record sales record profits its position in china is solid its position in the u.s. has improved and it's in many ways back to where it was almost its reputation we will see but consumers haven't lost their taste for volkswagen's are still buying and has also led ford on electrification efforts which is a big deal for volkswagen's investing heavily in knots and of course he under mueller at the biggest fears of what volkswagen could face through the diesel scandal never came to fruition forty to sixty billion euros in penalties was what was expected when this first broke and it was only twenty five so far of course it's not over so why now one one of the worthy here most often is that this was wanted by both sides there was a push for a change the idea that diesel scandals behind volkswagen is part of it but also that miller himself was ready to go this is
a very difficult job for him he didn't necessarily want to leave porsches what everyone will tell you he was happy there at the top as c.e.o. and this has been a very stressful two and a half years you can imagine being the face of volkswagen at its lowest moment so what we're hearing is that this was a mutual agreement it is not necessarily a bad thing a firing but it was time to try to move on from diesel gate and speaking of moving on from diesel gate you just mentioned it's not really over yet there is still legal action not only in the united states but especially here in europe where we haven't seen any real consequences yet so can the company just close that chapter and leave behind just like that. yeah i think of course not and i think anyone would tell you that i mean obviously as you know from a legal perspective you do have ongoing cases you look at the u.k. which is mounting an enormous class action lawsuit in the u.s. there's still issues in europe as you said there's still massive questions and then there of course the the effects of the second tier effects including this new outlook on diesel as a synonym for dirty instead of clean that's
a big ripple effect as well of diesel gates so and then of course maybe the biggest issue here involved spoke and from what we've talked to what we've heard from people in the streets here is that of course there's the big cultural question within volkswagen has the culture the corporate culture really changed from a time when someone could deceive consumers about how much emissions their car was what was releasing and expect to get away with it how did that even happen in the first place that was one of mueller's biggest tasks was to change the corporate culture within volkswagen but that is a major undertaking for a firm as big as this and with as many employees but i think when you talk to employees here there's still this desire to know how will this not happen again how can we be convinced that this is not going to be the case in the future and it's going to be a big task and a big question for we'll see some official announcements tomorrow stephen beardsley following the story for us thank you very much. two other business headlines the world trade organization projects global trade will grow faster than expected this
year but there's a catch speaking to the press w t o head to head of the us where those said they expect a trade to expand by four point four percent this year however he warned the rosy predictions would go out the window if the u.s. and china make good on their credits of a tit for tat trade war their courage both sides to show restraint and find common ground through dialogue. belgium has one of the most fiercely competitive food retail markets in europe supermarket chains are squeezing out smaller operators and some people have had enough a group in brussels has taken a concept that was popular in the united states in the one nine hundred seventy s. called food co-op and brought it back to life. each customer in this grocery store in brussels is also an owner and a coworker at the same time. each of the two thousand members of b.'s co-op works at least three hours a month for free but in return they get something maybe more valuable than money.
food and medical team and it does i want to play an active role members here have a say in which products are sold and environmental and social criteria are factors and this is not the case with the commercial supermarket where profit is the main goal. this means that co-op members have a say in where the products are sourced to gain better control of the food chain. issues all our suppliers buy ourselves from producers who share our values this usually means they are sensitive to environmental aspects and respect fair trade practices. they will not exploited immigrant workers for example. they pay fair wages to workers a sense of. fairness is at the core of the concept co-op members pay only a twenty percent markup on the full sale price for products because members work
for free that's all that's needed to meet operating costs and. to cuba now where president or i will cost or will step down later this month part of his legacy will be deep economic reforms that allowed cubans to open small businesses and buy and sell their homes but many in the fledgling private sector have been thwarted since last summer when the government stops handling out business licenses bringing the reform process to a halt. have gotten used to economic reforms which were introduced in two thousand and eleven there are now over half a million people working in private companies many of those companies are in the tourism and service sectors. there are already over sixty thousand private restaurants. and private taxi companies abound. then the government temporarily halted granting licenses to small businesses last august and now people here that have bene has lost interest in further reform. the longer in
the year ninety three ninety four or ninety five at the hardest times the economic crisis of that special period. we have accumulated so many expectations regarding the improvements that probably most people are putting on the pressure was short term demands because they've been waiting for such a long time. many business people here are frustrated they say the current phase of reform is too rigid for them to grow. together and. there must be something broader more flexibility in that aspect. so you can buy things for their own businesses out of someone else you. cuban business people are already struggling with travel restrictions for. joining us we'll see you next time or whenever you want.
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