Identification of Pertinent Fact
In the real estate case mentioned in the case study, it is fundamental to note that the real estate company is in a crisis hence the need to resolve the conflict. It is in disagreement with the government’s expectation of the firm’s operation. It is also significant to note that the role of public relations in an organization is to create a mutual understanding between an organization and its immediate publics (Cutlip et al, 1985). In this case, the presence of mutual understanding has been ruined by a product provider company of the real estate company called Chemco. It is evident that Chemco sells evergreen floor laminated systems to the real estate company and also offers a warranty of 30 years after installation.
After some time, the government decides that Chemco has been producing dangerous materials for human health. Substandard products are not only harmful to our health but can lead to massive losses to a company that deals with the same. When such an issue is raised by a government body that regulates standards, the parties affected must move fast to rectify and amend the situation. The public relations office has a major duty to inform the public of the same and avoid any collateral damage that may be caused to the company by the said substandard products.
The evergreen floor laminated system causes cancer to people who habit the buildings and those who live around the same building hence a health hazard. It is also a fact to note that the real estate companies are likely to experience losses as the government has cautioned the general public on the health hazards associated with occupying the buildings (Bernays, Edward L, 1952). The relevant fact, therefore, is the crisis that the real estate company is undergoing between itself and the public.
Formulation of Key Issues
The prime issues involved in this case affect all the immediate public of the real estate company which involves: the customers, these are the people who buy into the real estate company properties, the community, these involve anyone living around the completed properties, the shareholders, those who have invested in the property development and the government that regulates and controls the development of such properties.The key issues in this case study involve the following: The consequent actions that should be taken on Chemco company The right information to dispense to the public. The expected reaction of the real estate owners. The reaction of the tenants who had already occupied the buildings before the government’s warning.
The possible action by the government’s
List of Underlying Theories
The following theories are likely to be used in this case:
- Agenda-setting theory
- Persuasion theory
- Situational theory
Analysis of the facts with the theories on the topic of issue
Agenda-setting theory would come in the way the media dispenses information about the harm caused by the evergreen floor laminated system. The public will get the information and rely on it because of the opinion leadership qualities of the media. Media plays a major role in convincing the public on the true status of the situation, negative reporting may damage the reputation of the company while positive reporting goes a long way in boosting the corporate status of the company and the way it relates to its main stakeholders. Situation theory shows how passive and active people communicate messages differently.
In this case, the active people pass the information to others very fast than the passive who take a lot of time (Bernays, Edward L, 1952). Persuasion theory is applicable in initiating a change in belief or behavior. In this case, it can be used to change the belief that the evergreen floor laminated systems are from good to bad. It is therefore vital to understand the role of the public relations theories in the creation of crisis and solving of the crisis. In this case, as a public relations officer, I am likely to use these communication tactics indicated in the theories to calm the crisis by ensuring that the right corrections are done and the right communication is initiated.
Reach of Conclusions
The crisis at Chemco Company is all brought about by the availability of the evergreen floor laminated system and after keen scrutiny of the cause of the crisis, I will advise the CEO to take the necessary action which will solve the problem. I will persuade him to make the right corrections by avoiding any more purchase of the evergreen floor laminated system, initiating the removal of the current floors, and making a correction communication to the public. It is by doing all this that I will be able to re-shape the image of the organization’s hence the duty of a public relations officer (Grunig, James E, and Todd Hunt, 1984).
Possible Strategic implication
The possible strategic suggestion, in this case, is to avoid any kind of harm to the organization’s immediate public by maintaining a mutual understanding between the company and its publics.
Works Cited
Bernays, Edward L. Public Relations. Norman: University of Oklahoma Press, 1952. Print.
Cutlip, Scott M, Allen H. Center, and Glen M. Broom. Effective Public Relations. Englewood Cliffs, N.J: Prentice-Hall, 1985. Print.
Grunig, James E, and Todd Hunt. Managing Public Relations. New York: Holt, Rinehart and Winston, 1984. Print.