As the PR consultant with expertise in crisis management, outline a strategy to solve the current crisis below and ensure this situation does not happen again.
You are a public relations consultant with the prestigious Positive PR Consultancy. A major furniture retailer, Idea, has launched a range of innovatice computer furniture designed for children under ten years of age. The product range was launched in a high profile campaign. Six months later, there have been sixteen cases of the computer desks collapsing and the ergonomic chairs causing back strain. One case has already been settled out on court. A major current affairs program 'This Day in Depth' has exposed the faulty control and a lack of product testing. The company has issued an immediate recall of the furniture.
This is a difficult situation. I would say something like this can destroy a company completely. So, the first step is to define the scope of damage. If the company determines that the damage is their fault, they may have to close up shop. However, this is not the end of the company. They an buy another company, a smaller one and take their name for themselves and sell their products under a new company (assuming that they corrected the problems). In this way, the company can start fresh without any negative stigma. The PR, then, would have a much easier job. They would advertise a new company without any association of the former company.
In terms of the older company, the PR would only have to apologize and file for bankruptcy.