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Managing a Product-Harm Crisis

• Define a product-harm crisis.
• Identify the factors that contribute to a product-harm crisis.
• Compare and contrast the findings of the various studies on product-harm crisis.
• Synthesize your analysis of the research to develop and support a recommendation for a company handling a product-harm crisis

Solution Preview

In accordance with Brainmass rules this is not a hand in ready assignment but guidance.

Step 1
A product-harm crisis is a situation caused by a defective product, contaminated product, or a product harmful to the consumers. This occasion receives high publicity and in several cases leads to product recall. Tylenol recall is an example of product-harm crisis. The company suffers crisis because of lost sales and costs related to product recalls. The company also suffers because of loss of reputation (George J. Siomkos, Gary Kurzbard, 1994).

Step 2
The factors that contribute to product-harm crisis are the increasing complexity of products. Another factor is the higher demands made by consumers. An important factor that contributes to product-harm crisis is increased media attention. This attention makes them more visible. The causes of product-harm crisis can be traced to manufacturing defects, poor product design, or sabotage. Poor managerial ...

Solution Summary

Public relations during product failure is discussed step-by-step in this solution. The response also has the sources used.