There’s an old PR saying that “perception is reality”; how better to explain why three struggling organizations facing possible bankruptcy poured salt on their fiscal wounds with bad PR decisions.
Mack isn’t saying these companies face oblivion because of bad PR; rather these bad moves are symptoms of failure. Poorly run organizations are often PR disasters waiting to happen.
The Bad PR three:
· Kodak – the 131 year-old photo firm failed to adapt to a digital world. Spent tons of cash it couldn’t afford promoting itself on “Real Housewives”. Expected to file for bankruptcy this month.
· Sears – failed to adjust its retail model. Will close 120 stores and has seen its share price drop 73% since being bought by Sears Holdings in 2005. Pushed the state of Illinois to pay it to keep its head office in Chicago.
· Research in Motion – lost out to other mobile technologies. Product delays, layoffs and a share drop of 75% in 2011. Its PlayBook tablet launch was a textbook PR disaster.
Learn the correlation between perception and reality. Register for the SFU Public Relations Program