Question
Read the following scenario about Environment of business I dont believe they were trying to create a win-win situation for all stakeholders. At first, they
Read the following scenario about “Environment of business”
I don’t believe they were trying to create a win-win situation for all stakeholders. At first, they tried to downplay and minimize the scope of the catastrophe. Then, they repeatedly had to change the estimates of how much oil was spilling into the ocean, and with each press conference the news became more and more grim. Their estimates were unreliable and continually challenged by scientists and environmentalists, and as a result they lost credibility with the public, especially with the residents in the gulf coast who were being directly affected. Plus, the company appeared incompetent with each failed attempt to stop the surge of oil. they also did not accept responsibility right away and instead tried to blame the accident on contractors. This further created the impression that they were just trying to cover their butts and the situation was made worse when they appeared before congress and pointed fingers at Transocean and Halliburton. CEO tony Hayward’s remarks seemed disingenuous and callous, with the most infamous being, “there’s no one who wants this thing over more than i do. i’d like my life back.” showing a complete lack regard and understanding for the fact that fisherman, restaurant owners, and many others had just lost their livelihoods. Their lives had totally been upended. As CEO I think I would take a play from Johnson and Johnson’s playbook and accept responsibility for the accident even if it wasn’t known at the time if the company is at fault. Johnson & Johnson used the 3 ads: acknowledge, action, avoid. Johnson & Johnson’s first concern was for the customers and second to protect its product. This showed the public they were doing everything they could to protect them. It also showed the world, that the company was more concerned about their customers than they were about covering their butts. Even though the deaths happened in the Chicago area they quickly withdrew Tylenol everywhere. Unlike tony Hayward’s concern, Johnson & Johnson’s appeared genuine. Plus, even after it was established that the company was not responsible for the deaths, they still provided counseling and financial assistance to the victim’s families. They also developed the first tamper-proof packaging as a result of the scare, which again showed concern for what had happened and they took steps to make sure it couldn’t happen again. Also, since a crisis team can have external members I think I would want to include several scientists or environmentalists who could liaison with those out in the field. Perhaps this would have produced more reliable information as to the extent of the oil spill. I also would have chosen a well-suited spokesperson. Tony Hayward was not the best choice in that respect. He was not able to relate well to the individuals affected by the oil spill. Crisis communication strategies (2016) case study: the Johnson & Johnson Tylenol crisis. Department of defense, retrieved from
In case of emergency: what not to do. New York Times 2. April 2010, BP oil rig explodes in the Gulf of Mexico. BP responded in the appropriate manner to its stockholders and not is stakeholders. The largest stakeholder in this oil spill was the government. Realizing the impact that the oil spill had on the oil industry, bp needed to realize they affected more than just the oil industry. Tourism, seafood industries were in shambles in the Gulf of Mexico. If I were CEO of bp; I would ensure that teams responded and reacted as quickly and efficiently as possible to ensure proper clean up. The employees affected by the oil spill as well as the surrounding industries directly impacted would need compensation for the lost wages and profit due to the major oil spill. Making better business partners helps everyone in the long run. Compensation for lives lost is easier said than done, wildlife was also directly impacted. Showing your concern and desire to seek positive resolution is what consumers want to see. http://www.bp.com/en_us/bp-us/commitment-to-the-gulf-of-mexico/deepwater-horizon-accident.html http://ocean.si.edu/gulf-oil-spill
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