A Chef Resigns After Sexual Harassment Charges

An investigation found 25 employees of Besh Restaurant Group claiming sexual harassment. BRG owns 14 restaurants, including Restaurant August in New Orleans and Johnny Sanchez in New Orleans and Baltimore.

The women describe a hostile working environment where "vulgar and offensive comments, aggressive unwelcomed touching, and sexual advances were condoned and sometimes even encouraged by managers and supervisors." Some charges were against John Besh, co-owner of the group.

When faced with the first complaint, Besh said it was "a consensual relationship with one member of my team." But additional women came forward, and it became more difficult for Besh to isolate the incident. BRG announced Besh's decision to resign. In an email to employees, CEO Shannon wrote, "John has decided to step down from all aspects of operations and to provide his full focus on his family."

Besh and BRG issued statements in response to the claims.

John Besh's statement:

"Two years ago, I deeply hurt those I love by thoughtlessly engaging in a consensual relationship with one member of my team. Since then I have been seeking to rebuild my marriage and come to terms with my reckless actions given the profound love I have for my wife, my boys and my Catholic faith. I also regret any harm this may have caused to my second family at the restaurant group, and sincerely apologize to anyone past and present who has worked for me who found my behavior as unacceptable as I do.

"I alone am entirely responsible for my moral failings. This is not the way the head of a company like ours should have acted, let alone a husband and father. But it should not taint our incredible team of more than 1,000 employees, nor undermine our unyielding commitment to treating everyone with respect and dignity, regardless of gender, race, age and sexual preference."

Statement from Raymond Landry, Besh Restaurant Group's general counsel:

"We have learned recently that a number of women in our company feel that we have not had a clear mechanism in place to allow them to voice concerns about receiving the respect they deserve on the job. I want to assure all of our employees that if even a single person feels this way, it is one person too many and that ends now.

"While we've had a complaint procedure in place that complies with all existing laws, we now recognize that, as a practical matter, we needed to do more than what the law requires and we have revamped our training, education and procedures accordingly. Now that we have learned of these concerns, we believe going forward that everyone at our company will be fully aware of the clear procedures that are now in place to safeguard against anyone feeling that his or her concerns will not be heard and addressed free from retaliation."

Discussion:

• Analyze Besh's response: the first attempt, his statement, and his decision to step down.
• How well does Landry's statement for BRG address the situation? What, if anything, should the company do differently?

Goodell Skirts Anthem Issue

NFL Commissioner Roger Goodell seems to be conflicted about how to handle the issue of players kneeling during the national anthem. A PR Daily writer summarizes the results of a recent news conference.

His aim was to stem backlash over players kneeling during the national anthem. However, Goodell's response didn't do much to alleviate the NFL's troubles.

This video caption reads, "Roger Goodell: 'We believe everyone should stand for the National Anthem' | NFL." But other messages aren't quite as clear. In a memo to owners, Goodell wrote, "we also care deeply about our players and respect their opinions and concerns about critical social issues. The controversy over the Anthem is a barrier to having honest conversations and making real progress on the underlying issues."

In a tweet and elsewhere, President Trump has made his perspective clear.

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Discussion:

• Assess Goodell's news conference. Consider his audience and communication objectives.
• Contrast the NFL's with the NBA's. What differences and similarities do you notice? Which league is handling the controversy better?

Tarantino Admits to Knowing More

As more female victims come forward to describe Harvey Weinstein's sexual harassment behavior, one male celebrity admits to knowing and doing not enough about it at the time. Director Quentin Tarantino said, "I knew enough to do more than I did," and "There was more to it than just the normal rumors, the normal gossip. It wasn't secondhand. I knew he did a couple of these things."

Tarantino cited incidents with women including his former girlfriend Mira Sorvino and also said, "I wish I had taken responsibility for what I heard," and "If I had done the work I should have done then, I would have had to not work with him."

The director regrets not seeing the larger pattern of abuse and demonstrates vulnerability when he admits, "Anything I say now will sound like a crappy excuse," and "I chalked it up to a '50s-'60s era image of a boss chasing a secretary around the desk," he said. "As if that's O.K. That's the egg on my face right now."

Unsurprisingly, Tarantino says others close to Weinstein also knew and did nothing to stop the abuse.

Above is a picture of Tarantino in the movie Pulp Fiction.

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Discussion:

• What's your reaction to Tarantino's statements?
• In what ways is Tarantino demonstrating vulnerability?
• Why do you think he's coming forward now? Why haven't other Hollywood men come forward? Should they?

Harvey Weinstein's Plea

Harvey Weinstein may have worsened his case by sending emails to friends asking for their defense. After several allegations of sexual harassment and at least two charges of assault over decades, the Hollywood producer's board of directors was getting ready to fire him from the company. Not willing to go quietly, Weinstein emailed people, including Jeffrey Katzenberg, the chairman of Walt Disney Studies. But he didn't get the response he was expecting.

Weinstein's email is below. He demonstrates some vulnerability but fails to take full responsibility, instead saying "a lot of the allegations are false as you know":

My board is thinking of firing me. All I'm asking, is let me take a leave of absence and get into heavy therapy and counseling. Whether it be in a facility or somewhere else, allow me to resurrect myself with a second chance. A lot of the allegations are false as you know but given therapy and counseling as other people have done, I think I'd be able to get there. 

I could really use your support or just your honesty if you can't support me. 

But if you can, I need you to send a letter to my private gmail address. The letter would only go to the board and no one else. We believe what the board is trying to do is not only wrong but might be illegal and would destroy the company. If you could write this letter backing me, getting me the help and time away I need, and also stating your opposition to the board firing me, it would help me a lot. I am desperate for your help. Just give me the time to have therapy. Do not let me be fired. If the industry supports me, that is all I need. 

With all due respect, I need the letter today.

Instead, Katzenberg emailed Weinstein and made his response public. In part, he says, "You have done terrible things to a number of women over a period of years," yet Katzenberg calls him a friend and offers his help.

An interesting part of this story is the criticism of men who have come forward with a preface such as, "As a father of two daughters." A writer for Vulture explains this perspective.

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Discussion:

• What's your view of Weinstein's letter to his friends? What other approaches could he take knowing his board is planning to fire him?
• How do you assess Katzenberg's response and his choice to make the email public? Is he a bad friend? What is he trying to accomplish for himself and for Weinstein in his response?
• Finally, what's your view of people referencing their wives and daughters? Is the Vulture writer's perspective spot on, too harsh, or something else?

Pro-Life Congressman Resigns

We might expect a congressman who serves on the U.S. government's House Pro-Life Caucus to be against abortion in his personal life. But Representative Tim Murphy reportedly suggested that his girlfriend get an abortion if she is pregnant.

A women who says she was having an affair with Murphy went public with text messages:

She: "...zero issue posting your pro-life stance all over the place when you had no issue asking me to abort our unborn child just last week when we thought that was one of the options."

He: "I've never written them. Staff does them. I read them and winced. I told staff don't write any more."

Curiously, he didn't dispute her allegation about the abortion request. Pro-life advocates criticized Murphy for his "hypocrisy."

Although the woman wasn't pregnant, Murphy resigned from his position. House Speaker Paul Ryan announced the decision, saying "I think it's appropriate he move on to the next chapter in his life." Murphy said he'll "take personal time to seek help as my family and I continue to work through our personal difficulties." 

Murphy also posted a statement on his website:

Statement From Congressman Tim Murphy

For Immediate Release: October 4, 2017
Contact: Carly Atchison 202.225.2301

WASHINGTON, DC - Today Congressman Tim Murphy (PA-18) released the following statement:

"After discussions with my family and staff, I have come to the decision that I will not seek reelection to Congress at the end of my current term.
 
"I plan to spend my remaining months in office continuing my work as the national leader on mental health care reform, as well as issues affecting working families in southwestern Pennsylvania.
 
"We have accomplished much in the past year through the Helping Families in Mental Health Crisis Act and there is much work yet to be done.
 
"In the coming weeks I will take personal time to seek help as my family and I continue to work through our personal difficulties and seek healing. I ask you to respect our privacy during this time." 

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Discussion:

• Assess Murphy's statement. How well does his address the situation? What else, if anything, could he say, or what could he say differently?
• In what ways is this situation an issue of integrity? Do you see a contradiction, or do you believe Murphy's political stance and personal stance may differ?

Equifax Visits Congress

Former Equifax CEO Richard Smith admitted failures during a House Energy and Commerce Committee hearing. Smith had already apologized in a video statement, but during the hearing, he mentioned his personal accountability:

"The criminal hack happened on my watch. I am truly and deeply sorry for what happened."

Yet critics say that Equifax is still not taking full responsibility. A TechCrunch article highlights Smith's testimony blaming one person: 

"The human error was that the individual who's responsible for communicating in the organization to apply the patch, did not."

The TechCrunch writer seems to think this is ridiculous:

"The notion that just one person didn't do their job and led to the biggest breach in history is quite an amazing claim and shows a fundamental lack of good security practices. But that's what Smith says led to this disaster."

Smith and Equifax's CIO retired from the company after the news became public, which took a while: executives apparently knew about a software issue back in March, but the company didn't announce the breach until September.

A Wired article cites "6 Fresh Horrors from the Equifax CEO's Congressional Hearing." In addition to the delayed admission, the article attack's Equifax's technology, including inadequate patching, failure to encrypt data, limited security reviews, and insufficient website capabilities.

Another twist is this case is why three top people in the company sold $1.8 million in stock around the time they would have learned of the breach. Smith denies questions of integrity:

"I've know these individual for up to 12 years. They're men of integrity. I have no indication that they had any knowledge of the breach when they made this sale." 

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Discussion:

• Assess Smith's testimony. What parts do you find most and least convincing? 
• What else, if anything, should Equifax do now to rebuild trust?
• In what ways is this case an issue of integrity?

Harvey Weinstein Apologizes for Sexual Harassment

Revered Hollywood producer Harvey Weinstein has been accused of sexual harassment, and he has apologized. A New York Times article cites "decades" of sexual harassment, including regular reports of women seeing Weinstein partially or fully naked. Women also report being asked for massages and other sexual activities, but few reported them at the same.

He submitted a written apology that meets many of the criteria for a good apology, yet a reporter on The Daily described a different conversation with Weinstein. She indicated that, over the phone, Weinstein's response was more "complicated." She says that he denied some aspects of the accusations, and indeed, his attorney has said, "he denies many of the accusations as patently false."

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Discussion:

• Read the NY Times article. How credible do you find the women's reports? Which are more credible than others?
• To what extent do you find Weinstein's written statement credible? How would you explain some of the contradictions between the statement and the quotations from him and his lawyer? 
• In part, Weinstein describes another time, when his behavior was considered acceptable. (Think Mad Men.) Do you buy this argument? Why or why not?

Wells Fargo on the Hot Seat Again

Again, Wells Fargo executives faced angry lawmakers, and again, Senator Elizabeth Warren encouraged the CEO to leave. This time, she told CEO Timothy Sloan, "You should be fired." Last year, around this time, she told former CEO John Stump, "You should resign." She also referred to Stumpf's actions as "gutless leadership."

Senator John Neely Kennedy had tough words for the CEO too:

What in God's name were you thinking? I am not against big, but with all due respect, I am against dumb. I am against a business practice that has puts Wells Fargo first and customers second.

Sloan defended the board and his leadership by saying that a "throughout, independent investigation" has been made public. He said that he's "been making change at this company for 30 years," his actions have resulted in "fundamental change at the company," and that he has "the support of 270,000 people."

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Discussion:

• How convincing do you find Sloan's testimony? Should he continue at Wells Fargo or leave the company?
• Analyze Elizabeth Warren's arguments. Do you find her criticism too harsh, on point, or something else?
• From this longer video segment, do you believe Sloan is holding himself accountable? What tells you he takes responsibility, or what else would he need to do to convince you?

Passenger Is Escorted Off Southwest Flight

United is getting renewed attention-and not in a good way. This week, a passenger on a Southwest Airlines flight was escorted off the plane. The situation is quite different: she is allergic to animals, and two dogs were on the flight. She complained but didn't provide documentation and refused to deplane.

Video shows a rough scene, with two police officers and passengers encouraging her to walk, and the woman saying that she can't.

Nothing about the incident appears on Southwest's otherwise active Twitter feed or its website. But the airline did submit statements to Business Insider:

"Our policy states that a Customer (without a medical certificate) may be denied boarding if they report a life-threatening allergic reaction and cannot travel safely with an animal onboard."

"Our Flight Crew made repeated attempts to explain the situation to the Customer, however, she refused to deplane and law enforcement became involved."

The airline later apologized:

"We are disheartened by the way this situation unfolded and the Customer's removal by local law enforcement officers. We publicly offer our apologies to this Customer for her experience, and we will be contacting her directly to address her concerns.

"Southwest Airlines was built on Customer Service, and it is always our goal for all Customers to have a positive experience."

Yet the woman is facing multiple charges, including disorderly conduct, disturbing the peace, and resisting arrest.

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Discussion:

• How well did Southwest address the situation?
• As the woman is walking/being dragged down the aisle, she says, "I'm a professor." Does this help or hurt her case?

New Facebook Policies for Targeted Ads

Facebook is taking responsibility for ads that target audiences based on self-reported information. In their profiles, users wrote descriptions about their hatred of certain groups, and ads displayed for them based on that quality.

Identifying hate groups wasn't the original intent of targeted ads, which Facebook describes as a way to "Connect with the people who will love your business." Yet an article in Verge says the "problems were baked in from the start." The design did allow people to choose a way to identify, and the descriptors weren't monitored.

COO Sheryl Sandberg expressed her disappointment:

"Seeing those words made me disgusted and disappointed – disgusted by these sentiments and disappointed that our systems allowed this," Sandberg said in a Facebook post. "Hate has no place on Facebook – and as a Jew, as a mother, and as a human being, I know the damage that can come from hate. The fact that hateful terms were even offered as options was totally inappropriate and a fail on our part."

"We removed them and when that was not totally effective, we disabled that targeting section in our ad systems."

She also talked about how Facebook's internal systems failed:

"Such targeting has always been in violation of our policies and we are taking more steps to enforce that now," Sandberg said. "We never intended or anticipated this functionality being used this way – and that is on us. And we did not find it ourselves – and that is also on us."

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Discussion:

• What responsibility does Facebook have in this situation? Should the company have been monitoring people's descriptors and how ads targeted specific groups?
• What else, if anything, should the company do now?

News Conference about Deaths at Florida Nursing Home

Eight people died in a nursing home from heat after Hurricane Irma. Local police, the medical director of a nearby hospital, and the city mayor held a news conference to describe the situation. Although the video references six people, two additional have died for a total of eight at Rehabilitation Center at Hollywood Hills. No one was present from the facility.

Florida Governor Rick Scott called the situation "unfathomable" and "inexcusable." The facility didn't lose power, but the air conditioning wasn't working. It's not clear why people weren't transferred to another facility, for example, the hospital across the street. Patients died of heart attacks, dehydration, and other issues related to the extreme heat.

Critics say that some business in Florida, such as gas stations, are required to have backup generators, but this is not the case for nursing homes. A criminal investigation has begun. The owner of the facility has a criminal past involving kickbacks; the case was settled for $15.4 million

At this point, the facility has been evacuated, and people are being accommodated at other locations.

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Discussion:

• Who should be held accountable in this situation?
• Assess the three statements in the news conference. How appropriate was each to the person's role?
• We're obviously missing someone from the rehabilitation facility. Would representation help or hurt their case?
• For the questions we hear in English, how well does the police chief respond? What strategies does he use to deflect questions he can't or won't answer?

SoFi CEO's Resignation Letter

SoFi CEO Michael Cagney has stepped down after sexual harassment charges. This is a blow to tech start-ups, like Uber, that have been criticized for a "frat" culture. SoFi is short for Social Finance, Inc., and is the largest online lending company.

The evidence against Cagney is strong, including text messages and people who have seen Cagney flirting and holding hands with another employee. (Cagney is married with two children.) Employees also complain about Cagney bragging about his sexual prowess and about seeing supervisors and employees having sex in the office and in the parking lot. As a settlement, one employee was paid about $75,000 to leave SoFi.

Other lawsuits against the company include unfair labor practices (e.g., pay and breaks) and financial reporting issues. The company denies these claims.

In a message to employees, Cagney explained his reasons for leaving.

All,

It is with a heavy heart that I am announcing that I will step down as CEO of SoFi by the end of
this year.

SoFi has been an amazing journey. From the early days with five of us in a one-room office in 2011, to 1,200 employees spread across the country today, few firms have matched our success. We have had massive impact on our members lives, lending over $20 billion to our over 350,000 members, saving them over $1.8 billion in student loan interest and $500 million in credit-card interest, and helping them advance their careers and relationships.

That impact keeps growing. In the second quarter alone, we funded over $3.1 billion in loans, producing $134 million in revenue and $61.6 million in adjusted EBITDA. I could not be prouder of the company's we've built together.

Recently, though, the focus has shifted more toward litigation and me personally. The combination of HR-related litigation and negative press have become a distraction from the company's core mission.

I want SoFi to focus on helping members, hiring the best people, and growing our company in a way consistent with our values. That can't happen as well as it should if people are focused on me, which isn't fair to our members, investors, or you.

I will be fully dedicated to the business through year-end, and will work closely with the Board to find the best candidate to lead us forward.

SoFi has built an incredible team. While we've come a long way, we're still in the early innings of what we can and will accomplish. I'm grateful to have had the opportunity to help get us to where we are today – and I look forward to seeing where all of you take SoFi in the coming years.

Thanks,

Mike

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Discussion:

• Who is responsible for organizational culture and for maintaining a workplace free of harassment?
• Assess Cagney's resignation letter. To what extent does he demonstrate humility and accountability? Where does the letter fall short?
• Also assess the writing style, tone, audience focus, and organization. What works well, and what could be improved?

Defense After Nurse Is Arrested

A nurse at a Utah hospital was arrested for disobeying an officer's request, and everyone seems to be apologizing. An officer asked Alex Wubbels to draw blood from a man who was unconscious, and she refused. Wubbels said, in order to draw blood, the patient would need to be under arrest, and she would need to see a warrant. She said she had authority from hospital administrators to maintain her position.

The police officer, Jeff L. Payne, became angry and said she would be arrested if she didn't comply. And then he followed through while Wubbels screamed for help. It seems that Officer Payne's anger may have impaired his judgment.

Statements from the Salt Lake City major and the chief of police offer apologies for the incident:

Mayor Jackie Biskupski:

"Like many of you, I watched the video of police officers interacting with University of Utah Medical Center nurse Alex Wubbles for the first time through the media late yesterday. What I saw is completely unacceptable to the values of my Administration and of the values of the Salt Lake City Police Department. I extend a personal apology to Ms. Wubbles for what she has been through for simply doing her job.

There is currently an Internal Affairs investigation examining the actions, and the Civilian Review Board is conducting a parallel investigation. I have reiterated to Chief Brown that I expect the highest level of professionalism and integrity from his team. I have also instructed Chief Brown to conduct a thorough review of all policies and trainings to ensure respect for all individuals, in all situations. Following the incident Salt Lake City Police Department command met with hospital administration. We immediately changed policies that may have been a factor in this encounter, and the officer's duties have been modified.

I take these incidences very seriously. Since I took office, I have been working with Salt Lake City Police Department to increase our use of de-escalation techniques and we have had great success, and this incident is a troubling set back to those efforts. No medical professional in Salt Lake City should be hindered from performing their duties, and certainly not be fearful of the police officers they so often partner with to save lives."

Chief Mike Brown:

"I was alarmed by what I saw in the video with our officer and Ms. Wubbles. I am sad at the rift this has caused between law-enforcement and the nurses we work so closely with. I want to be clear, we take this very seriously. Immediate steps were taken and within 12 hours, body cam footage was reviewed and an internal affairs investigation started. We've looked at the actions that took place, the policies that could have prevented it, and the training that must be done. Within 24 hours of this incident, Salt Lake City Police Department took steps to ensure this will never happen again. We met with hospital CEO and COO, Nursing Management Team, their legal representation team, and University of Utah Chief Brophy. 

Most notable of all these conversations were that we apologized for the incident and promised to find a solution. Additionally, our policy management team continues to work closely with the hospital staff on improved policies and training. 

To date, we have suspended the officer from the blood draw program. We have already replaced our blood draw policy with a new policy. All remaining officers on the blood draw program have reviewed, and are operating under the new policy and protocol.

It is my sincere desire to get back to a very cooperative, respectful, and friendly relationship with our "brothers and sisters in white" we work so closely with. Salt Lake City Police Officers have a very soft spot in our hearts for all medical professionals. We know that if we are ever hurt in the line of duty, it is their caring hands that will perhaps save our lives one day. 

I believe we can learn from mistakes and from building strong relationships with everyone we work with and serve. By doing that we become a stronger police department." 

In addition, Mayor Jackie Biskupski apologized during a news conference and announced an internal investigation. Biskupski also said they met with hospital administrators and changed some policies. Police Chief Mike Brown also apologized  and said they would put steps in place to make sure this type of incident doesn't happen again.  

Discussion:

• How effective are the apologies from the mayor and police chief? What works well, and what could be improved?
• How well did they answer questions? What were their best responses?
• In what ways did the nurse demonstrate courage? What risks did she take to stand by her position?
• How did she also demonstrate integrity?

Pastor Responds to Criticism

Joel Osteen, senior pastor at Lakewood Church in Houston, Texas, has a large following, but he has taken a hit since Hurricane Harvey. Critics say Osteen should have offered his mega-church, which seats 16,8000, to people needing housing after the storm. Instead, Osteen tweeted his prayers, and people say it wasn't enough.

Church officials said the building experienced "severe flooding," but pictures told a different story. In TV interviews, Osteen defended the church's practices. He said, "The main thing is, the city didn't ask us."

 In an article on PR Daily, Brad Phillips raised the issue of authenticity:

If you're cynical about televangelists, Osteen's tone in the Today show interview probably struck you as smarmy and self-satisfied. If you're one of the millions of people who watch his sermons and read his books, you probably viewed him as sincere.

Phillips also questioned why the church didn't have plans in place and, specifically, why the leaders didn't coordinate with Houston city officials ahead of time. 

The social media response has not been kind: memes abound.

Discussion:

• What's your view of the church's actions during and after the hurricane?
• How well did Osteen respond to criticism? What are his main arguments? Which are strongest, and which fall short?
• Given Phillips' question about Osteen's authenticity, how do you view his interview on the Today show?
• What's your view of the social media response and memes: cruel, justified, or something else?
• How do your own religious beliefs or practices influence your assessment of the situation and of Osteen, particularly? 

Airbnb Steps Up During Hurricane Harvey

Airbnb is offering free rooms for people who had to leave their homes because of Hurricane Harvey. Evacuees won't have to pay fees to hosts through September 25. Originally, the offer was through September 1, but the company extended it after seeing the storm's devastation. Free listings appear for homes in Houston, Dallas, Austin, and San Antonio.

Conditions are explained on Airbnb's Disaster Response site. Currently, the site lists programs for Hurricane Harvey and for the Mumbai floods.

Other sharing companies have stepped up following the hurricane. Uber, Lyft, and WeWork are offering free services and other promotions. 

Discussion:

• What examples of generosity have you seen during Hurricane Harvey?
• How should a small business owner decide what to offer? What are the advantages and disadvantages of, for example, a restaurant offering free food?

Companies Criticized for Price Gouging

As Texans are desperate for housing and food in the aftermath of Hurricane Harvey, some companies are taking advantage. People reported hundreds of examples of price gouging for items like bottled water, groceries, gas, and hotel rooms.

A Best Buy near Houston was selling a case of water for $42; others reported prices up to $99. Price gouging is illegal after natural disasters, as the Texas attorney general's site explains.

Best Buy issued a statement that this was the act of one store.

A Best Western in Robstown was also over-charging: $321.89 a night compared to its usual price of $119. In addition to raising the room rate, the hotel added extra fees. The PR manager for Best Western's corporate office issued this statement:

"Best Western was founded on the principles of honesty, integrity, compassion, and service. We are deeply offended and saddened by the actions taken by this hotel. As a result, we are immediately severing any affiliation with the hotel. This hotel's actions are contrary to the values of Best Western. We do not tolerate this type of egregious and unethical behavior."

The hotel has been removed from Best Western's website.

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Discussion:

• What's your view of raising prices during disasters? How is this different from revenue management?
• Analyze Best Buy's statement. How well does this meet audience needs and communication objectives?
• Did Best Western do the right thing in severing the hotel from the company? What will be the consequences of this action?

How Not to Apologize

The owner of a bar in Crown Heights, Brooklyn, has faced her critics but didn't handle the apology well. Former corporate tax attorney Becca Brennan wrote a press release encouraging people to visit her new bar and photograph the wall of bullet holes.

It was a bad joke: the holes weren't from bullets. Brennan played on previous violence in a gentrifying neighborhood. The NY Eater summarizes the issue:

Nostrand Avenue between Eastern Parkway and Atlantic is quickly gentrifying, and increasingly, bars and restaurants targeting young and primarily white new residents have opened. Summerhill may be the first business to capitalize on historic violence and poverty in Crown Heights as a point of the decor - making it an easy lightning rod for existing tensions.

Neighbors took offense, and some considered the promotion racist. Brennan issued an apology:

"I truly never meant it in that way, but I recognize that it was insensitive. I was excited to keep the wall as a shout out to the different businesses that occupied the space before us, but my intention was misinterpreted, and I'm sorry for that."

A month later, a town hall meeting was supposed to ease tensions but didn't. In response to criticism, Brennan said, "I'm sorry I have a sense of humor," and "I'm very sorry you were offended." These are classic mistakes in apology.

From her perspective, Brennan can't say anything right. She told reporters, "I mean, you see me try to talk, and nothing I say will ever be good enough." At the same time, she refuses to cover the damaged wall.

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Discussion:

• What makes a good apology, and how did Brennan's fall short?
• What would you suggest for Brennan to demonstrate vulnerability?
• Should she cover the damaged wall or stick to her plan, as she says, to "keep the integrity of an 100-year-old building"?
• At this point, how, if at all, can she improve relations with neighbors?

Is Poland Spring Water from Poland Spring?

A consumer lawsuit accuses Pepsi of falsely promoting Poland Spring Water. The product is marketed as "100% Poland Spring water," but the plaintiff group of 11 say it's really ground water. The company is accused of false advertising and misleading customers, and the plaintiffs seek $50 million in damages.

According to the Food and Drug Administration (FDA), spring water has a specific definition: "Spring water shall be collected only at the spring or through a bore hole tapping the underground formation feeding the spring. There shall be a natural force causing the water to flow to the surface through a natural orifice." Although a Poland Spring did exist in Maine, according to the suit, it dried up almost 50 years ago.

The accusations are an issue of behavioral integrity, as my colleague Tony Simons defines it: doing what you say you will do. In other words, does Nestle Water promise something it doesn't deliver?

Nestle Waters denies the claims. In response to the suit, the company created an extensive web page with a brief statement, two videos, and an infographic. The statement reads as follows:

For more than 170 years, Poland Spring® has delivered great tasting spring water from Maine to millions of people in the Northeast. The claims made in the lawsuit are without merit and an obvious attempt to manipulate the legal system for personal gain. Poland Spring® is 100% spring water. It meets the U.S. Food and Drug Administration regulations defining spring water, all state regulations governing spring classification for standards of identity, as well as all federal and state regulations governing spring water collection, good manufacturing practices, product quality and labeling. We remain highly confident in our legal position.

They are taking a strong approach to counter the claims, and they accuse the plaintiffs of seeking personal gain. One of the videos, only 30 seconds, demonstrates principles of persuasion: emotional appeal, logical argument, and credibility.

Discussion:

• What elements of persuasion (pathos, logos, ethos) do you find in the video example? What other communication strategies does Nestle Water use on its web page?

• Analyze the full infographic from this page. What communication design principles does the infographic illustrate? How could it be improved?

• Given what little we know so far about the case, what's your view? Do you side more with the plaintiffs or with Nestle Water?

Email Persists

A survey shows that CIOs (73%) and office workers (53%) agree that email will continue as the primary internal communication tool through at least 2020. When instant messaging became popular around 2004, analysts predicted it would outpace email, which obviously hasn't happened. Reports of email's demise were common until about 2010, when people may have realized how stubborn the technology is.

Email's persistence isn't because it's a great tool. According to the MediaPost survey, CIOs did rate email best for daily communications (41%), but this is compared to other channels: in-person meetings (22%), instant messaging (13%), phone calls (9%), internal social networks (8%), and video conferencing (7%). I would argue that the channel depends on the purpose and audiences. Otherwise, this is a difficult question to answer.

The survey reporters criticized instant messaging because people expect an immediate response. But, again, this doesn't consider that IM has a different purpose and will often solve immediate problems. Academic research shows that people who use IM, perhaps paradoxically, feel they have more control over their work, possibly because they get work accomplished through IM instead of having to wait longer for an email response. Then again, in some circles, people are expected to respond to email immediately as well.

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Discussion:

• What's your view of email compared to other communication tools, such as, instant messaging? 
• What's the real value of email compared to other tools? Why do you think it has persisted?
• What's your biggest frustration with email?
• What, if any, tools, such as Slack, have you used to help manage email? What have you found helpful?

Comparing CEO Statements

A writer for The New York Times doesn't condemn CEOs for leaving President Trump's business advisory councils, but she says that we should expect more, particularly from those who gave what she considers vague statements. Zoe Greenberg writes,

It's fine to thank these executives for doing the right thing. But to look to these men as brave leaders? Let's not lower our standards, both politically and morally, so far that we're cheering for the absolute bare minimum of human decency.

She gives the example of Brain Krzanich of Intel's statement:

 I resigned to call attention to the serious harm our divided political climate is causing to critical issues, including the serious need to address the decline of American manufacturing.

The Los Angeles Times rounded up 15 CEOs' statements about their decision to leave, some before the Charlottesville incident. Comparing the statements and the reasons they identified is an interesting exercise. Some executives used the opportunity to promote their companies, and some gave more specific reasons that others.

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Discussion:

• Which executives most used the opportunity to promote their company?
• Which gave the most vague and most specific reasons for leaving?
• What other differences do you notice?
• Which statements do you find most effective and why?