Case Study: Samsung’s Next Steps

Background & Dilemma

Let’s take the wonderfully rich case of Samsung’s Galaxy Note 7. As you probably heard, Samsung recalled all Galaxy Note 7 phones from North America because of widespread reports that the phones can become overheated and explode—a public relations nightmare. The company timed the release of the phone to directly compete with Apple’s release of the iPhone 7 and Google’s new Pixel phone. The company suddenly faced a huge financial loss, a major setback in the mobile phone market, and a damaged reputation globally. Imagine you are on Samsung’s North American public relations team. How, from a public relations perspective, do you move forward?

Course of Action

Article 1 from Business Insider

Article 2 from Fortune

As part of your environmental scanning role, it is first important to see what, exactly, media are saying and what issues need to be addressed. So, before walking through the discussion below, first download the two news articles above and read through them as if you are a member of Samsung’s public relations team. Make any notes regarding what stands out as an opportunity or issue for your company’s PR. This will help you start to consider the following questions: What types of information are being highlighted for the public? And how does this news influence your response? Once you have completed your own analysis, continue to the bullets provided to see how your notes compare.

Now take a look at article #2, written approximately one week later. This article demonstrates that in complex cases such as this one, the situation evolves over time; the story remains in the spotlight. Consequently, the public is able to observe the company’s actions (and inactions). So what are the PR-specific implications from this article?

Consequences & Moral of the Story

Response Rubric Worksheet

Given these initial notes from the two articles, now really analyze for yourself and think about the most appropriate, ethical next steps for Samsung. Attached is a rubric that might help organize the material and help map out a plan. The rubric is based on the five types of micro-level analysis dimensions we reviewed in lesson one. Normally, you also would incorporate a macro-level analysis, looking at associated images, links, call outs, and article placement. For purposes of this analysis, though, focus on the micro-level detail in order to map out your PR response. In mapping out potential implications, consider if there is a need to shift the tone, get a spokesperson quote from Samsung, comment on certain content, etc. In mapping out your PR next steps, what are the short-term and long-term ethical considerations?

Article 3: Industry publication

As a postscript to this story, now look at the follow-up piece (article #3) written by an industry publication one month later. Does this article provide additional insight into what Samsung did right or wrong? Are the suggestions sound? And how should Samsung’s PR team move forward?

Next Page: Lesson 2 Assessment