This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Shouldn't public relations practitioners keep quiet when there's bad news that could affect the ... (Read 86 times)

RODY.ELKHALIL

  • Hero Member
  • *****
  • Posts: 591
on: Aug 11, 2018
Shouldn't public relations practitioners keep quiet when there's bad news that could affect the performance of their company's stock? Why not let investment analysts discover the news on their own?
 
  What will be an ideal response?

Question 2

Why, in your opinion, did Sunbeam's board of directors issue the remarkable statement that the company's financial report from the previous year might be unreliable?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

katara

  • Sr. Member
  • ****
  • Posts: 305
Reply #1 on: Aug 11, 2018
Answer to Question 1

As discussed elsewhere in the book, practitioners employed by publicly held
companies face ethical (Chapter 6) and legal (Chapter 15) requirements to
disclose any information that could influence an investor's decision to buy or sell
stock. Even if you put the ethical and legal requirements aside, being less than
honest is just plain bad business. The most important thing a practitioner has is
his/her credibility. Jeopardizing that credibility to artificially boost stock prices
is short sighted and, as demonstrated in this case, potentially destructive.

Answer to Question 2

As discussed in the answer to the first question, there were ethical and legal
considerations. And as discussed, there was the need to reestablish the
company's damaged credibility


RODY.ELKHALIL

  • Member
  • Posts: 591
Reply 2 on: Aug 11, 2018
Great answer, keep it coming :)

tranoy

  • Member
  • Posts: 344
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

The highest suicide rate in the United States is among people ages 65 years and older. Almost 15% of people in this age group commit suicide every year.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Did you know?

Human stomach acid is strong enough to dissolve small pieces of metal such as razor blades or staples.

Schemas Affect How We Encode and Remember Schemas Affect How We Encode and Remember
Children with attention deficit disorder with hyperactivity (ADHD) diagnoses typically need a quiet, ... Children with attention deficit disorder with hyperactivity (ADHD) diagnoses typically need a quiet, ...
Propaganda to influence public opinion surrounds us, but most propaganda is covert, difficult to ... Propaganda to influence public opinion surrounds us, but most propaganda is covert, difficult to ...
Ads from the public service campaign in the late 1960s and early 1970s that encouraged people to get ... Ads from the public service campaign in the late 1960s and early 1970s that encouraged people to get ...
Majority-Minority Relations Majority-Minority Relations
Prime Numbers & Public Key Cryptography Prime Numbers & Public Key Cryptography
Video: Interview with Person who has Panic Attacks

For a complete list of videos, visit our video library