Public Relations

Paper Summary:

This paper explains that, in this dynamic global business environment, bad public relations (PR) can damage the business by swaying away its customers to its competitors because customers connect negative news reports with the company's core values, as in the case of Halliburton's media challenges to its accounting practices and services in Iraq. The author points out that the company has been under severe scrutiny from the liberal print and electronic media not because it has done something wrong but because of its political connections with the Bush administration; every action taken by Halliburton is news. The paper recommends that the company must counter the liberal media by projecting itself in a way that tells the people it believes in principals and not profits; the company should affiliate with non-governmental-organizations (NGO's) to create a good image towards the American people.

From the Paper:

"On March 7, 2005, NBC carried out news asserting, "Halliburton Co. (HAL) in January won a contract to drill at a huge Iranian gas field called Pars - which an Iranian government spokesman said "served the interests" of Iran - despite U.S. sanctions tightly restricting the ability of U.S. companies to do business there, NBC News reported Monday."
Similarly on March 14, 2005, Dow Jones Newswires ran a story asserting, "The oil majors stayed on the sidelines as oil-services companies like Halliburton Co. (HAL) were awarded billions of dollars worth of contracts to renovate Iraqi pipelines and other infrastructure. The U.S.-led postwar administration and the provisional government that followed lacked the democratic or legal legitimacy to approve full-blown production deals - which typically guarantee companies a share of oil extracted from fields they invest in (Dow Jones Newswires)." "

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