WE ARE MARKET:
List of New and Replacement Stores
Size (sq ft)
Postcrisis Stakeholders may still require follow-up information and updates after
the crisis is officially over. Social media provide another channel for delivering the
updates and addressing specific follow-up questions stakeholders may have. Crisis
KEY STRATEGY FOR BUSIENSS REGAINING MARKET
Exhibit 2 - Store Format Definitions for the Grocery Industry
Offers a full line of groceries, meat, and produce
Generates at least $2 million in annual sales
Carries between 15,000 and 60
In 2013, Shaw's and Stop & Shop closed 12 and 9 locations, respectively, in markets where
Market Basket operated. As one industry analyst stated, Stop & Shop left New Hampshire
because it was getting "battered" by Market Basket.
"We Are Market Basket"
Zeynep Ton, Thomas A. Kochan, and Cate Reavis
We're a crazy bunch. If this was a poker game, we just went all in.
Steve Paulenka, Market Basket Facilities and Operations Supervisor
It was three in the morning of August 28, 2014
ABOUT THE CO.
Culture and Speed of Decision Making
The chain's fast-paced operating environment required employees and vendors alike to be nimble. "We pride
ourselves on doing things rapidly," Trainor explained. "We call it a sense of urgency. If it needs
Challenges are when stakeholders perceive that an organizations behaviors and/ or policies are
inappropriate or irresponsible (Lerbinger, 1997). The core of the challenge is that stakeholders
argue that the organization is acting irresponsibly. Those char
This case was prepared as the basis for class discussion rather than to illustrate either effective or ineffective
handling of an administrative situation. All names have been disguised.
The Dashman Company was a large concern making many
Market Basket Store Network and Organization in 2014
The chain did survive and, in fact, thrived even after Mike died in 2003. Mike's son, Arthur T., became
president and CEO in 2008 and carried on the company's successful business model, telling the boar
REVIEWING THE CRISIS COMMUNICATION SYSTEM
With the personnel and CMP in place, crisis managers must make sure the physical setup of the
communication system is prepared. Elements of the crisis communication system include the
mass notification system, the
The board of directors of our company has recently authorized a change in our purchasing
procedures. Hereafter each of the purchasing executives in the several plants of the company
will notify the vice president in charge of purchasing of all cont
Social media is a broad term that covers a variety of different online communication tools. Developing a
comprehensive list of social media is like trying to count sand on the beach. New toolskeep emerging,
so you cannot have a complete and comprehensive
The Internet is an important evolutionary step in crisis communication, rather than a revolution. Crisis
managers still face the same needs to identify warning signs, confront the same basic communication
demands, utilize the same concepts, and must enact
The Firing of Arthur T.
When Rafaele switched sides on the board, Arthur S.'s side of the family gained control. On July 18, 2013, the
new board met to consider the "Motion for the removal of the President." By then it was evident that a
Spokespersons in a Digital World
Social media has added a new wrinkle for the spokesperson: starring in your own videos. There
seem to be plenty of corporate leaders appearing in YouTube videos to offer apologies to their
stakeholders. Here are six exampl
GRAPHS and CHARTS
Median Square Footage of Supermarkets, 1994-2010
Source: Food Marketing Institute.
Supermarkets faced competition from a range of different formats (see Exhibit 2 for
descriptions) and some industry experts predicted that market
SOCIAL MEDIA MANAGER
Many organizations now have a position titled social media manager. Social media managers
are charged with overseeing the organizations social media strategy. They should be able to
answer the question, Why are we using social media?
Organizations entered the online world, and thus created an online presence, with the use of web pages.
Taylor and Kent (2007) led the initial research investigating whether and how websites were used in a
crisis. They observed how important it was to inc
Websites also provide access to information outside of the organization. Some forms of
external information required during a crisis can be drawn from them. In particular,
government agencies provide information on regulations and reporting procedures. Ot
Crisis Preparation: Part I
All organizations should prepare to handle crises by taking six steps: (1) diagnosing
vulnerabilities, (2) assessing crisis types, (3) selecting and training a crisis
(4) selecting and training a spokesperson, (
Dissatisfied customer social media crises are really a customer relations problem rather than a crisis.
Many companies now use social media as part of their customer service. (p. 23). When McDonalds
asked people to use the hashtag #McDStories to share the
Listening is what scanning for crisis warning signs is all about. Social media provides an
opportunity for finding warning signs generated by stakeholders. Blogs, microblogs, content
communities, social networks, forums, aggregators, and social
FURTHER ABOUT COMPANY
Full-time and part-time cashiers at Market Basket started at $12/hr and $8/hr, respectively. Part-timers were
paid time and a half on holiday and received a $0.25 increase every six months until they reached $12/h