GROUP 5

The Evolution of Public Relations

Case Studies From Countries in Transition
Sewing Up a Torn Image: Hill &
Knowlton Responds to a Crisis in
the Garment Industry

Emma L. Daugherty California State

University, Long Beach United States
OVERVIEW
Responding to allegations made on “Hard
Copy,” a tabloid news show on U.S. television,
a Taiwanese garment manufacturer turned to
Hill & Knowlton’s international division to help
solve a big problem--false accusations and the
possible loss of key accounts. The television
show claimed that companies in Nicaragua’s
free trade zone were abusing and harming
workers. Major U.S. clothing buyers
responded quickly by asking the garment
maker to provide volumes of information about
its own treatment of workers.
The company’s owner
wanted and needed
public relations help to
ensure social
responsibility and the
retention of clients.

Otherwise, jobs would be lost and the company

might suffer unrecoverable losses.
Hill & Knowlton needed to explore the
situation to ensure that the Taiwanese
garment manufacturer was indeed
conducting business in a socially
responsible way. Not only did Hill &
Knowlton determine that the company did
not abuse or harm employees, but it
learned that the garment manufacturer
was dealing with political forces in a
volatile environment.
The agency in a five-day period reacted quickly by
assessing the situation, establishing goals and objectives,
defining key publics and making recommendations that
were implemented. All its objectives were achieved.
PROBLEM
“Hard Copy,” a tabloid television show
with wide viewership in the United
States, aired a story that ran for three
days from Nov. 11 to Nov. 13, 1997.
“Hard Copy,” working with an activist
group called the National Labor
Committee, made a series of damaging
allegations against the companies in
Nicaragua’s state-owned Las Mercedes
Free Trade Zone.
Some of the charges included
underpaying workers, employing children
and forcing employees to work up to 13
hours a day, seven days a week. The
broadcast also claimed that workers were
not paid for overtime; were verbally,
physically, and sexually abused by
supervisors and managers; were
exposed to dangerous chemicals; and
were housed in deplorable conditions.
The report also said that solvents, dyes and
bleach were allowed to drain freely into
open areas and containment barrels were
allowed to rust. “Hard Copy” depicted the
free trade zone as an area resembling a
prison with electrical fences and armed
guards. Two of the largest television
stations in the Los Angeles market that
target Latinos, KMEX and KVEA, ran
stories about the alleged working conditions
in the Nicaraguan free trade zone.
SOLUTION
 Hill & Knowlton analyzed the press
coverage. In Nicaragua, coverage in the
new press was favorable. The Sandiista
press made little attempt to cover the
story. There were few follow up reports in
the U.S. media.

Two companies, Wal-Mart and Kids International Corp., sent

representatives to the factories for their own inspections. In fact,
Wal-Mart gave the factories ratings of 92 and 80 on its visits. A
score of 70 is considered satisfactory.
No orders were lost, and business
for the Taiwanese garment
manufacturer continued as usual.
Moreover, no jobs were lost. In a
country with unemployment rates
upward of 40 percent and where
100 workers apply for just one job
opening, Nicaragua needs
employment opportunities for its
people.
 In five days, Hill & Knowlton was
able to assess a volatile situation
and make recommendations that
strengthened existing policies by
reinforcing communication channels.
The achievement of the
objectives meant that business was
not lost and jobs were saved.
Public Relations in Bosnia

Virginia Sullivan
Arkansas State University
United States
OVERVIEW
 NATO conducted its first major
crisis response operation in Bosnia
and Herzegovina.
The NATO-led Implementation
Force (IFOR) was deployed in
December 1995 to implement the
military aspects of the Dayton Peace
Agreement and was replaced a year
later by the NATO-led Stabilisation
Force (SFOR).
 Although it was a historic time, little did this group of
practitioners realize that the policies they developed and the
plans they wrote could become a blueprint for future
operations, not just military but also for those involved in
building international commerce as well
 The world watched as nations sent team members, who
met for the first time in 1995 to develop and plan an internal
communication program to reach a diverse internal audience.
 The lessons learned from these
experiences have long-range
implications for conducting public
relations in an international arena.
This case explains how the
internal information program was
conceived, developed and
implemented, and identifies the key
publics and key participants in the
process.
PROBLEM
As the first chief of IFOR’s
Internal Information
division, the author’s
challenge was to form an
international team, to
recruit members, and to
develop strategies and
tactics for a new program
involving several
countries.
The challenge was to develop a plan for communicating
within a multinational, multicultural, and newly constructed
organization, conforming to and consistent with the
political sensitivities inherent in the relationships involved.
SOLUTION
Strategic planning documents were modified to reflect the
requirements of the new internal information program.

Strategic goals established for the IFOR Informer were:

○ To provide an avenue for the commanders to
communicate with their troops, through articles and
editorials
○ For the troops to learn about other units and the countries
they represented
○ To entertain the troops
○ To provide valid information of interest to IFOR for the
duration of the mission
The tactical plan or the actual
execution of the strategic
goals hinged on how well
internal communication
worked, not just through the
newspaper.

Even when there is a

common language, the
communication process is
convoluted, at best. For the
multinational IFOR staff, it
was even more difficult.
The measurement of success can be
found in the completion of a task.

After a month of research, planning,

and communicating, the first
newspaper rolled off the presses and
was distributed throughout the region.

After the first two issues, many of the

troops surveyed said they eagerly
looked for the IFOR Informer.
The newspaper was a tool for
communicating with the troops,
but it became a souvenir for
many of those serving their time
in Bosnia.

It was a way of remembering

their part in a special mission and
of bringing cohesiveness to a
diverse organization.
Establishing IFOR’s Internal Information
Program presented many challenges,
even in following the basic principles of
public relations.

For initiating and conducting the programs

in Bosnia, change was the only constant.

Plans had to be modified and people

rotated in and out while the public
relations campaigns continued.

Training was a continual requirement to

blend cultural differences into a team
effort.
Effective public relations meant effective communication,
whether communicating face to fact at an IFOR staff
meeting, or through the IFOR Informer to the troops or
through the news media to the world.
Reaching Out to the Community:
Shell Oil’s Response to Crisis in
Nigeria

Amiso M. George
University of Texas at San Antonio
United States
OVERVIEW
 Shell Petroleum Development Company of Nigeria faced criticism in
1995 and 1996 for alleged environmental pollution in Nigeria's oil
producing delta region. The company was accused of tacit support of the
execution of human rights activist Ken Saro-Wiwa and eight others.
Saro-Wiwa used international human rights organizations and media to
appeal directly to the international community for support. The ensuing
media coverage portrayed Shell as an exploitative multinational
corporation with no concern for the well-being of the communities in
which it operated.
 Protests, in some cases violent, were
held at Shell headquarters in London,
and several Shell facilities in Nigeria
were destroyed. Shell closed its
operations in Ogoniland in 1993 and
took precautionary measures in other oil
producing communities. The negative
publicity caused Shell to embark on a
sustained public relations effort to repair
its image by repairing its relationship
with the communities it operated in.
PROBLEM
 Shell Petroleum Development Company of Nigeria
faced accusations of environmental damage and abuse
in Ogoniland by Ken Saro-Wiwa and his organization
MOSOP, which demanded $10 billion in damages and
autonomy from the Nigerian government.

Shell closed its Ogoni operations in 1993 due to

escalating tensions and subsequent deadly inter-ethnic
clashes.

MOSOP's co-founders split when Saro-Wiwa formed

a youth wing named the National Youth Council of Ogoni
People (NYCOP), which was perceived as a vigilante
group willing to act at his behest.
 Four Ogoni leaders were murdered at a public
meeting, and Saro-Wiwa was accused of instigating the
murders and of treason for demanding autonomy for
Ogoniland.
Saro-Wiwa and eight other collaborators were
sentenced to death by hanging, despite worldwide pleas
and calls for intervention.
Shell's perceived apathy highlighted the symbiotic
relationship between multinational corporations and
third-world governments.
Shell embarked on an international public relations
campaign, admitted to receiving help from the Nigerian
military and possibly contributing to environmental
pollution, and announced measures to improve its
operations and relationship with communities.
SOLUTION
1. When an organization's image is threatened, it is
motivated to defend and rationalize its behavior.

2. Shell's attempt to rebuild its image fell into the

categories of image restoration strategies.

3. Shell denied responsibility for environmental

pollution and Ken Saro-Wiwa's execution.

4. Shell blamed local thugs and the government for its

problems.

5. Shell tried to reduce its offensiveness by focusing on

its contributions to the economy.
6. Shell promised corrective action, including restoration
of the environment and improved communication with
communities.

7. Shell's general manager lobbied for economic reforms

to improve living standards.

8. Shell's relationship with communities is still evolving.

9. Shell's initial response to the crisis was insensitive.

10. Shell was forced to act on community concerns due

to national and international pressure.