Macasaet, Limuel E.

M4A

1. Research and discuss what is negative publicity and how it affects global
marketers.
- Negative publicity is described as the unpaid dissemination of potentially
damaging information about a product, service business unit, or individual in print or
broadcast media or by word-of-mouth. Negative publicity can be directed at a specific
product or an entire company. In general, negative publicity has a negative impact on
global marketers and sales. Companies that are totally unknown can occasionally
experience a surge in business as a result of negative publicity, but this is the
exception rather than the rule. Bad Publicity, in general, affects the long-term
success of larger, established businesses. Product accessibility may be affected as a
result of negative publicity, and potential customers may have less options for
purchasing products. When buyers and business owners have negative opinions,
their decisions have an impact on the possibilities available to their customers.

2. Research and discuss a particular company that was involved in negative publicity.
- Coca-Cola and Pepsi had to deal with negative publicity in India after pesticide
traces were found in their soft drinks. As soon as the word reached the public, sales
dropped. Coke and Pepsi mismanaged their response to the pesticide allegations:
they underestimated how quickly the situation would turn into a nationwide problem,
miscalculated the speed with which local politicians would seize on an Indian
environmental group's report to attack powerful global brands, and failed to respond
quickly enough to calm customers' anxieties. In short, two of the world's most
recognizable businesses failed to do what they do best: promote the benefits of their
products to customers directly. The dispute is serving as a warning to multinational
businesses doing business in emerging countries, particularly in India, where political
sensitivity to foreign influences is high.

3. React and give your insights on how the company (the one discussed in #2)
managed the negative publicity. You may also give recommendations to the
company.
- Coca-Cola and Pepsi, in my opinion, did exactly the right thing in their immediate
responses to the pesticides found in their soft drinks that created a crisis in India, and
both companies knew they were in trouble. They also organized committees in India
and the United States to work on legal and public relations issues simultaneously.
They worked nonstop to come up with rebuttals. They commissioned their own
laboratories to conduct the tests and decided to wait for the results before
commenting more.

References:
https://yourbusiness.azcentral.com/disadvantages-bad-publicity-3495.html
https://www.theguardian.com/world/2004/feb/05/india.randeepramesh