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Bad Crisis Communications Hurts Electronics Manufacturer

By Jonathan & Erik Bernstein on December 17, 2010

Communication is important in a crisis, but say the wrong thing and it can quickly backfire

Foxconn, the Taiwan-based manufacturer of devices for Dell, Apple, and several other high-end electronics companies, has been facing criticism and protests following the ninth worker suicide at its southern Chinese factory. The company has been failing spectacularly at crisis management efforts, choosing primarily to dodge critics rather than engage and respond, and issuing canned statements that do more harm than good. Here’s one example of a particularly damaging quote, from a Communicate Magazine article:

In the case of Foxconn, crisis communications failed spectacularly. In a now much-criticised rearguard action, Foxconn quickly tried to paint itself in a positive light, pointing out it is overwhelmed by applicants when it announces vacancies. “We are certainly not running a sweatshop,” Foxconn chairman Terry Gou said.

A common mistake organizations make during crisis communications is to use the very labels they seek to avoid in defending themselves. Of course, the first thing reporters seeking a good headline will see is the word “sweatshop” in the chairman’s reply, which they will proceed to gleefully misquote in the quest for increased readership. Don’t place a negative connotation upon yourself, avoid these trouble terms and you can dodge the pitfall that Foxconn has fallen into.

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For more resources, see the Free Management Library topic: Crisis Management
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[Jonathan Bernstein is president of Bernstein Crisis Management, Inc. , an international crisis management consultancy, and author of Keeping the Wolves at Bay – Media Training.]

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Meet this Blog’s Co-Hosts

Jonathan L. Bernstein, founder and Chairman of Bernstein Crisis Management, Inc. has more than 25 years of experience in all aspects of crisis management – crisis response, vulnerability assessment, planning, training and simulations.[Read more ...]


Erik Bernstein is president of Bernstein Crisis Management. Erik started with BCM in 2009 as a writer and subsequently became social media manager for the consultancy itself as well as for a number of BCM clients before moving to the president position. [Read more ...]

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