In the News–Social Media
Crisis of the Week: Tesla Slams the Brakes on Seat Belt Problem
Ben DiPietro, The Wall Street Journal’s Risk & Compliance Journal, November 30, 2015
The crisis this week deals with Tesla Motor’s decision to recall all Model S cars—about 90,000 of them—because of a problem reported with a seat belt in one of the vehicles. The company said even though the car in question wasn’t involved in an accident, and no one was hurt—and the problem wasn’t found on 3,000 other vehicles it inspected—it decided to proceed with a full recall nonetheless. “We have decided to conduct a voluntary recall as a proactive and precautionary measure to inspect all front Model S seat belts and make absolutely sure that they are properly connected,” the company said in a letter sent to every Model S owner.
Using only the public statements made by the company, or the comments it sent to owners, we asked the experts to evaluate whether the company is doing the right thing with a total recall, or overreacting to a minor problem in one vehicle. Is there more to the company’s response than just dealing with a seat belt issue?
Davia Temin, chief executive, Temin and Co. says: “In this highly unstable world of social media–where anything can catch fire or be totally ignored–Tesla has wisely understood that overreaction can keep problems from going ballistic. Throw every wise solution you have at an incipient problem, especially if human life is at stake, and no one will ever doubt your trustworthy intent.” […read more]
The CEO apology, in 14 tweets
Jena McGregor, The Washington Post, November 21, 2014
When Uber CEO Travis Kalanick rattled off a series of 14 tweets Tuesday afternoon, most of the attention was on what he said rather than how he said it. While Kalanick may have intended to apologize for the controversy that erupted after one of Uber’s executives suggested digging into the personal lives of journalists, he was chided for the sorry-not-sorry nature of his remarks.
Yet his decision to issue that apology via a “tweetstorm” — a series of tweets on a single subject — was also a head scratcher. Using a series of tweets, rather than a single one that links to a blog post or press release for more information, has become an increasingly popular vehicle for corporate communications. But that might be misguided.
Davia Temin says she generally likes the idea of executives using a tweetstorm: It has a feel of spontaneity and authenticity, and the flood of comments can prompt greater visibility for the CEO’s remarks. If an executive is using it to lay out a position or discuss an industry issue, it can be “a brilliant use of the medium,” she says. “People report on a tweetstorm more than a blog.” […read more]
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