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Strategic Communication Management of Corporate Crises: Case Analysis
Journal article   Open access   Peer reviewed

Strategic Communication Management of Corporate Crises: Case Analysis

Umi M Khattab, Stine Bergseth Fonn and Saira Ali
e-Journal of Social & Behavioural Research in Business, Vol.8(1), pp.15-40
2017
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Abstract

Business and Management Cognitive Sciences strategic communication public relations corporate crises issue management reputation case study news media
Purpose: The purpose of this article is to investigate how Multinational Corporations (MNCs) manage crises that can potentially damage their global reputation in an interconnected world. Design/Method/Approach: A Case study approach was used to examine Nestle's response to the campaign launched by Greenpeace International in 2010 against its chocolate brand Kit Kat and its sustainable practices in Indonesia; and Benetton Group's response to the garment factory collapse in Bangladesh in 2013. Findings: The findings show commonality in both crises' lifecycle patterns and stages of development, and explain how crisis management strategies deployed by both organisations contributed to the ways in which the crises were represented in the public arena. Two MNC response patterns were identified from the cases - lack of understanding of the integrated and international nature of news and social media and its power to influence public opinion, and poor choices in the deployment of crisis communication strategies. While these cases are not generalizable, they call on MNCs to reflect on their communication practices and consider the role of issue management as a long term cost effective measure to protect global reputation in a mediated world.

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