Dealing with the "Integrity Gate" Incident
Release Time:
2011-11-10 15:40
Source:
China Trade
"Learning PR from Da Vinci, when you talk to her about fraud, she talks to you about entrepreneurship; when you talk about compensation, she talks about charity; when you brag, she bursts into tears" — a netizen commented on the performance of Pan Zhuangxiuhua, General Manager of Da Vinci Home, at the press conference.
After Da Vinci's foreign brand identity was accused of being fake, Da Vinci Home's response was not slow, and a press conference was held in Beijing shortly after. However, the effect of the conference was not satisfactory.
Embarrassing PR response
On July 10, CCTV's "Weekly Quality Report" exposed that the high-end furniture brand Da Vinci's sky-high priced Cabrilli furniture was not 100% made in Italy as claimed, but was actually processed and produced by Dongguan Changfeng Furniture Company; the raw materials used were not precious Italian wood, but polymer resin materials, blockboard, and MDF.
On July 13, Da Vinci held a press conference. The hall was packed with major media wielding "long guns and short cannons". This was originally a press conference that could directly reveal the truth, but whether intentionally or unintentionally, Da Vinci's headquarters did not arrange time for reporters to ask questions.
It is reported that the media reporters on site received a document about the origin of the brands represented by Da Vinci, but no targeted explanation was made regarding the CCTV report, which disappointed the media and the public.
At the beginning of the press conference, Pan Zhuangxiuhua tried to face the media lightly and brought dozens of "foreign" manufacturer representatives to support her. These representatives all strongly supported Da Vinci, claiming "the origin is qualified, from Italy, trust Da Vinci, have had many years of friendship with Pan, and Da Vinci's annual purchase volume is increasing."
At the venue, a man claiming to be a consumer shouted: "I am a consumer, I spent more than 10 million yuan buying furniture from you, all fake, fake." Chaos broke out on site, and Pan Zhuangxiuhua began to talk about her hard entrepreneurial history, her determination and pride as an overseas Chinese opening a store in China, and the corporate social responsibility she bears, shedding tears as she spoke. However, she consistently avoided discussing the core issues of "origin" and product quality, and finally left hastily due to excessive emotion.
This press conference, Da Vinci put on a posture of integrity but did not provide content of integrity, nor did it win the trust of consumers.
"Because of Da Vinci, Guo Meimei was only famous for two weeks; because of Lai Changxing, Da Vinci was only famous for one week..." As the little joke circulating on the internet mocks, in today's era of frequent "integrity scandals" and "crisis scandals," some companies facing integrity crises often hope to cope with product quality crises by avoidance and delay, even hoping to dilute media attention on their incidents with the next news hotspot.
A report released by the Public Opinion Research Laboratory of Shanghai Jiaotong University shows that "no pre-judgment, lack of control during the event, and light repair afterward" is the way Chinese companies respond to crises.
Intensified "Integrity Scandals"
"Integrity scandals" have heated up, and crisis public relations became an unavoidable public topic in 2011. Whether big or small enterprises, accidents keep happening one after another: Carrefour's price "fraud scandal," Da Vinci's foreign brand identity faked, Ajisen Ramen's "blended bone broth scandal," KFC's "soy milk scandal," Donglaishun's "fresh juice scandal," Haidilao's "blended soup base scandal"... These trust crisis events are no longer just individual companies' food safety or product quality issues, but also include public events such as the "Guo Meimei incident," Charity Federation's "Shangde donation fraud scandal," Qing Foundation's "China-Africa Hope Project," as well as the untimely information disclosure after the "7.23 high-speed train accident," and inappropriate remarks like "whether you believe it or not, I believe it." More than two months have passed, and the Bohai oil spill incident has not ended but has worsened due to neglect and delay.
"In the past six months, sometimes praised, sometimes beaten, a bit chaotic, a bit difficult," Haidilao hotpot leader Zhang Yong lamented on Weibo.
In just two months, "Haidilao" seemed to ride a roller coaster of public opinion, experiencing extremes — first being praised by netizens, with "Haidilao style" going viral online, and netizens rushing to share and lament that "humankind can no longer stop Haidilao," but as catering companies frequently encounter multiple scandals, Haidilao was also exposed by reporters for blending bone broth and drinks, quickly issuing an official statement to clarify.
After public incidents occur, they not only bring crises related to the incidents themselves but often also image crises. In today's era of political democratization, economic marketization, and mass communication, public relations is needed to handle such issues.
The public expects Chinese companies to show "style" in the PR process. Li Xingguo, Executive Vice President of the China Public Relations Association, said: "Many people think public relations is about networking, overcoming difficulties, entertaining guests, giving gifts, or even sexual transactions, but none of these are public relations. Real PR is about doing solid work, like the Beijing Olympics, which very well promoted China's image worldwide. That is true public relations, no entertaining guests, no sending beauties. PR is the art of winning love, completed jointly by the government and the public."
The 2010 Mengniu PR incident was "boiling hot," becoming a typical case of the industry using internet water armies to "smear"; the 2011 Shuanghui clenbuterol mass apology conference was a "farce," also attempting to "redwash" but backfired, becoming a "PR scandal."
"Now some companies operate under the banner of PR but engage in deleting posts, which is a case of false advertising and naked deception, unrelated to public relations. When a crisis occurs, not solving the root problem but bribing newspapers and TV stations, deleting posts online, is like not putting out a fire but breaking the fire alarm. That is not PR, it is covering one's ears while stealing a bell, deceiving oneself and others. When a crisis comes, it is not about cutting off the fuel but about saving the fire with fire," Li Xingguo said. In response, the China Public Relations Association's Industry Standards Committee specially formulated industry guidelines, proposing "whether in traditional media or the virtual world of the internet era, resist any unfair competition. Do not use bribes or other improper means to influence media personnel's truthful and objective reporting, and prevent and avoid misleading information."
In this new era, every enterprise may become a troublemaker in various crises. From the perspective of public relations, the neglect by corporate decision-makers of internal and external information communication is often the "fuse" that triggers multiple crises — when a crisis occurs, fear is generally present. However, if there is an attitude and practice of illusion, concealment, and delay, for consumers and stakeholders, when the transparency of disclosed information does not meet their expectations, it creates a "trigger point" for a public relations crisis. From response to cooperation, respecting the people's right to know and express, and disclosing information truthfully, timely, and accurately, rather than fooling or deceiving the public, it is time to master some ways to deal with public relations crises.
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