Strengthen the Confidence of the Stakeholders
Faced with the sharp drop of the stock price and the loss of the goodwill, VW should initiate contact with its institutional investors, individual investors, regulatory agencies, and customers and convince them to remain loyal.

Institutional Investors Need a Conference to Know the Details
VW must convince its institutional investors that the huge loss is temporary and that VW can make enough revenue to compensate in the near future. Although the prospects of the company in its current position are not positive, it must let institutional investors know that the company will immediately take effective measures to minimize the loss. The best communication strategy to deal with the institutional investors is a direct approach because they are the top elites in the industry. The new CEO has the responsibility to hold a formal meeting of all institutional investors in the next week. This meeting aims to make the institutional investors believe that the new business strategies will “work steadfastly to put VW back on the right track” (Announcement of the new CEO, 2015).

(Source:http://www.volkswagenag.com/content/vwcorp/content/en/investor_relations/annual_general_meeting.html)

Individual Investors Gain the Information Through the Emails and Letters
In response to the sudden drop in the stock price, VW must make its individual investors believe that the stock price will rise and that holding VW’s stock is worthwhile. Individual investors have high credibility in the stock market. Therefore, VW’s Director of Investor Relations can use a direct approach to deal with the individual investors. The department can send emails and letters to stockholders and show them that the company has already taken effective measures. Additionally, VW can post relevant information on social media to expand the range of this information.