Question

Public relations are a tricky thing. Our book describes PR as "any information about an individual, product or organization that's distributed to the public through the media and is not paid for or controlled by the sell" as found on page 460. Once a PR blunder begins it is hard to stop it or correct it because we don't control it.

Perform a web search for the "biggest public relations blunders". Select one and describe it for our classroom. Once done, answer the following:

How did it impact the company and is it still impacting the company?

What could have been done differently to "quiet the storm"?

Include your sources in your response. Return before the week is over and post responses sharing any additional thoughts you may have for your classmates.

Answer 1

Company: Volkswagen

This is the biggest scandal in the history of car industry. Volkswagen admitted that it deployed a software which cheats the user by giving false readings on exhaust level emissions. This software was planted in almost 11 million vehicles of Audi and VW diesel vehicles. After this scandal is made public than CEO of Volkswagen Martin Winterkon has to resign and the reputation of Volkswagen took a fall due to its cheating. Stock price of Volkswagen fall 40% -60% in three days.

After this scandal Volkswagen agreed to pay 4.3 billion $ as criminal and civil penalties and on an above the total costs of penalities that company paid is around 21billion $.

No this scandal is not impacting the company as it's sales are up now and it stock price also went up in one year after the scandal because of the relevation made by the company.

This thing may be a PR disaster but it did good for the people and the society so it cannot be done in other way.