Exam 12: Issues and Crises

Marissa is working with her company's leadership to plan a response to the rise in theft in their discount chain stores. Marissa and the executive team is considering the specific actions that should be taken as well as whom should take these actions, when, and with what resources. Marissa and the executive team are at the ____________ stage of managing the issue.

A famous photographer found out New York-based fashion powerhouse DKNY used one of his photos in a store without his permission. He raised the issue on Facebook and asked for restitution in the form of a charitable donation. DKNY admitted its mistake and donated to a local non-profit. This example shows that even __________ can be raised and settled on social media.

Employees at a local factory are going on strike to protest their wages. Paloma, a public relations manager for the factory, uses contingency theory to determine the best course of action. After evaluating all the internal and external factors in this strike, she advises the company to award the workers the higher wages they seek. According to contingency theory, this course of action can best be described as ___________.

Once issues have been identified and prioritized, they need to be _______ to determine how they might affect the organization and its publics. For example, Chipotle expected same-store sales would fall 8-11 % in the quarter following its E. coli outbreak. The company also had to anticipate impacts on publics such as customers, employees, and suppliers.

When people think that an organization ____________, its reputation suffers, and leads to more anger, less purchase intent, and greater likelihood of negative word of mouth about the organization. Crisis management deals with how to repair damage and rebuild reputation.

Some crises, such as natural disasters, are unavoidable, whereas other crises are not. One of the toughest jobs in public relations is being called on to help organizations navigate crises __________.

Missouri Professor Glen Cameron and his colleagues developed the theory that proposes that the best course of action in any situation depends on the specifics of the situation known as __________.

According to crisis communication scholar Otto Lerbinger, crisis managers in a crisis should follow the same logic as a physician treating an illness. How does that analogy apply to crisis management, according to Lerbinger?

Exxon experienced an unforeseen oil rig malfunction in the Gulf of Mexico. A connection at the floor of the gulf ruptured, pouring millions of gallons of crude oil into the gulf waters and causing extensive damage to shorelines and wildlife. What type of crisis did Exxon face?

When an angry customer called Little Italy Restaurante in Anchorage, Alaska, to complain about a delivery driver, the owner chose a response strategy of "advocacy." What action best supports this response strategy?

__________ are a type of victim crises. For example, New York City did not ban hot dogs in an effort to combat climate change, and U.S. Congresswomen Alexandria Ocasio-Cortez and Ilhan Omar did not praise the destruction of Notre Dame Cathedral in a 2019 fire. Snopes.com did, however, confirm that Kim Kardashian wore mirrored glasses to a poker tournament.

The Federal Emergency Management Agency (FEMA) training manual instructs, "The need to control information released to the media and public requires that the crisis plan clearly designate the person or persons responsible for this function." Historically, these sources would operate with tactics such as periodic press conferences or conference calls. Today, however, those news media report breaking news via print, radio, and television, as well as via social media. The FEMA manual is training its public relations people to be ___________.

Public relations practitioners should use effective communication and issues management with all publics. The best public relations "crises" are ___________.

Bud Fox, a public relations officer for Blue Star Airlines, has learned from upper management that they are going to sell the company. He has family and friends who work at Blue Star. He is asked by the company to keep the information confidential so they will not lose their last major contract and set of work orders. In this obvious conflict-of-interest case, he follows a tenant of crisis management that states "tell it all and tell it fast." This strategy is known as __________.

Janet is a PR specialist for the city of Mountain View, California. The Los Angeles Times reported that Mountain View was issuing fines to residents who used chemical weed and feed products on their lawns, which resulted in angry e-mails and calls. The story contained a factual error when it identified Mountain View instead of Mountain Home as the city issuing the fines to residents. Janet was dealing with what type of crisis?

According to a Cone Communications study of millennial employees (people born between the 1980s and mid 1990s), 76% said they would take a pay cut to __________. Gen Z (people born between the mid 1990s and early 2000s) will likely follow that lead, but likely with a greater focus on the diversity and inclusion practices of employers.

When Main Street Bank closed its doors due to management's embezzlement of the bank's assets, customers were furious and frustrated. They blamed the bank's closure - and loss of access to their funds - on the bank's leaders. This was a __________________ that was caused by mismanagement and illegal activity, and is the worst kind for any organization.

In September 2015, the Environmental Protection Agency publicly accused Volkswagen of using "defeat devices" hidden in its diesel cars that manipulated the results of emissions tests. VW owners, car dealers, and employees all felt deceived by the company. This action has damaged relationships with so many key publics. Pressure builds as the impact of this issue on VW becomes clear in the ____________ stage.

Public relations professionals must respond quickly and appropriately to challenges on social media to prevent issues from becoming __________.

If an organization is responsible for a crisis, one of the most important communications it must issue is _________________.