GOP Debate or Circus?

The Republican candidates for president debated for the second time last night, and the popular commentary is below.

Rand Paul attacked Donald Trump, the most common target of the night, in part for his comment about Carly Fiorina's appearance:

"I kind of have to laugh. I'm very concerned about having him in charge of the nuclear weapons because I think his visceral response to attack people on their appearance - short, tall, fat, ugly - my goodness, that happened in junior high. Are we not way above that? Would we not all be worried to have someone like that in charge of the nuclear arsenal?"

Trump shot back, "I never attacked him on his looks, and believe me, there is plenty of subject matter right there."

Fiorina handled the situation well, and several analysts applaud her "breakout performance" throughout the debate.

 

She was, once, put in her place by Chris Christie: "You interrupt everyone else on this stage. You're not going to interrupt me."

Discussion Starters:

• Watch parts of the debate (or the entire three hours if you have the time!). What do you consider to be the highlights?
• From your point of view, who won the debate? 
• Do the results from this debate influence your opinion of the candidates? How so?

Comedian Apologizes for 9/11 Account

For 14 years, Steve Rannazzisi stuck to his story of escaping the Twin Towers during the 9/11 attacks. In 2009, he gave a detailed account of the day and how the event inspired him to move to Los Angeles. Now a comedian with his own TV show, a special on Comedy Central, and an endorsement deal with Buffalo Wild Wings, Rannazzisi's lie is biting him back.

Rannazzisi posted a series of tweets, but his confession doesn't seem to be winning him any favors. He also published a statement, which The New York Times called "contrite":

"It was profoundly disrespectful to those who perished and those who lost loved ones. The stupidity and guilt I have felt for many years has not abated. It was an early taste of having a public persona, and I made a terrible mistake. All I can ask is for forgiveness."

Buffalo Wild Wings is reconsidering their deal:  

"We are disappointed to learn of Steve's misrepresentations regarding the events of September 11, 2001. We are currently re-evaluating our relationship with Steve pending a review of all the facts."

Discussion Starters: 

• What's your assessment of Rannazzisi's tweets and statement?
• Should Buffalo Wild Wings cancel his contract? Should Comedy Central cancel his show? If so, what should they say?

Air India Deems 130 Unfit to Fly

In 2014, India's Directorate General of Civil Aviation (DGCA) provided body mass index (BMI) guidelines for flight crew members, and now Air India is taking action against those who haven't complied. The DGCA also imposed rules for medical check-ups:

"The Initial Medical Examination shall be conducted upon induction. Subsequently, cabin crew shall undergo medical examination once every four years till the age of 40, once every two years till the age of 50 and yearly thereafter."

Before the guidelines were published, some Air India flight attendants ("air hostesses") refused the fitness test and instead asked the airline to pay for gym memberships.

Now, Air India, with the highest percentage of attendants over 40, has grounded 130 of its 3,5000 crew members. Most are women. A 51-year-old attendant told The Washington Post, "It is incredibly upsetting that working women are being targeted. This is not a modelling job; we are not working a catwalk."

The airline is stressing job requirements, not appearance. One official said, "People who are fitter can respond quicker and more efficiently in case of any untoward situation."

But Air India has a history of focusing on looks. In 2004, the personnel manager told BBC:

"Looks matter in this line of work, and therefore we are giving it a lot of importance. When we review a candidate, we look at the skin, teeth and height. There should be no scars, acne, or any major marks on the face. The candidate should have a pleasing personality, should be able to carry him or herself with confidence and be ready to serve others. After all, that is the job of an air hostess and a male steward."

Although crew members will stay employed, they miss out on benefits of flight travel.

Image source.

Discussion Starters:

• What's your view of this situation? Should the airline stress BMI and/or looks in its decisions to hire and retain cabin crew?
• What is the best way for Air India to quell the controversy at this point?

Chinese Premier Speaks at World Economic Forum

Chinese Premier Li Keqiang is doing his best to rebuild confidence in his country's economy. He delivered the opening session at the World Economic Forum, the ninth "Annual Meeting of the New Champions" with more than 1,500 people representing more than 90 countries.

Seven video quotes may show a representation of the speech, although we don't know the criteria for selection. The first is below: 

According to The Financial Times, despite the government's focus on progress, critics accuse authorities as they "sought to prop up stocks by banning large share sales, detaining journalists and punishing 'rumour mongers' as well as orchestrating state-directed buying." 

Li has tried to put China's financial position into perspective: "The fluctuations in global financial markets recently are a continuation of the 2008 global financial crisis." The Financial Times summarizes Li's position: 

"Although he did not outline any further stimulus measures or policy reform initiatives, Mr Li did say he was confident in future growth because he saw a 'massive wave of mass entrepreneurship and innovation across the nation.'"

Li did acknowledge difficulties: 

"China is an economy that is closely integrated with the international market. Given the weak growth of the global economy, China cannot stay unaffected and the deep-seated problems that have built up over the years are also being exposed."

But he repeated that the Chinese economy is in a "proper range," which The Guardian calls, "a favourite phrase."

Discussion Starters: 

• Analyze the audience at the World Economic Forum. What are their goals for attending the event? Who are the secondary audiences for Li's speech? 
• Read the speech transcript. Does Li meet his goal of reassuring us about the strength of Chinese economy? 

European Commission Official Calls for Unity

Jean-Claude Juncker, president of the European Commission, called for quotas for European countries to accept more than 160,000 refugees. Juncker is encouraging consistent immigration policies and warning sanctions for countries that don't take their fair share. 

Juncker used emotional appeals in his state-of-the-union address to the European parliament: 

"Today it is Europe that is sought as a place of refuge and exile. It is Europe today that represents a beacon of hope, a haven of stability in the eyes of women and men in the Middle East and in Africa. That is something to be proud of and not something to fear."

When speaking of the potentially 500,000 refugees who may cross borders, Juncker gave more examples: 

"Europe is the baker in Kos who gives away his bread to hungry and weary souls. Europe is the students in Munich and in Passau who bring clothes for the new arrivals at the train station. Europe is the policeman in Austria who welcomes exhausted refugees upon crossing the border. This is the Europe I want to live in."

Although Germany, France, and Italy support the plan, other EU members are reluctant. Juncker used Ukraine as an example of a country that may seek assistance in the future. But he did not convince everyone. Slovak prime minister said, "We won't bow down to Germany and France. Quotas are irrational." The plan also faces resistance from Poland and the Czech Republic, whose Europe prime minister called quotes "nonsensical." 

The UK has been a notable resistor to accepting migrants. Britain's Liberal Democrat Member of the European Parliament chastised the prime minister's lack of cooperation: 

"By refusing to take a single refugee that has arrived on Europe's shores, the UK government is shirking our international duty and lowering Britain's standing in the world. Of course we must do more to tackle the causes of the refugee crisis at source, but we cannot turn a blind eye to the human tragedy unfolding right now on our continent."

Prime Minister Cameron has defended his financial contributions and focus on resettlement. 

Discussion Starters:

• What are Juncker's challenges in delivering this speech? What type of resistance does he need to overcome?
• Read the transcript of Juncker's speech. What examples do you see of emotional appeals, credibility, and logical argument? What rhetorical devices does he use?
• Assess Juncker's delivery skills. What suggestions do you have for his future presentations?

Pilot Strikes

Two pilot associations are in the news for strikes this week: Vereinigung Cockpit (a German pilots' union for Lufthansa and Germanwings) and the Independent Pilots Association (for UPS).

The Lufthansa pilots have extended their strike-their 13th in the past 18 months-to a second day, causing more than 1,000 flight cancellations. In a press release, the company stated its willingness to negotiate with the union:

"Lufthansa remains willing to resume its negotiations on all open collective labor agreement items with the VC's Group Collective Labor Agreement Committee at any time. 'Our goal is still to work with the VC to find a joint solution to all the open CLA issues through the negotiating process,' confirms Dr. Bettina Volkens, Chief Officer Corporate Human Resources of Deutsche Lufthansa AG."

The UPS pilots took out a full-page ad in The Wall Street Journal to express their dissatisfaction with union negotiations. The ad claims, "UPS management has stalled and delayed, unnecessarily prolonging our contract negotiations."

In a statement, UPS management clarifies that, although the union is threatening to strike, it won't happen. The first three paragraphs of the statement follow:

"UPS continues to negotiate in good faith for a contract that is good for our employees, our customers and our company, and we are confident these negotiations will be completed without disruption in our service.

"Despite the IPA's announcement, there is no real threat of a strike. Such authorization votes are routine during negotiations in the airline industry, but they are legally irrelevant under the Railway Labor Act, the U.S. labor law that governs airlines.

"Under the RLA, a strike is not possible unless authorized by the National Mediation Board. Even then, there are a series of fail-safes, including presidential and congressional intervention, designed to prevent an interruption in operations. . . ."

Discussion Starters:

• What's your view of the IPA's full-page ad in The Wall Street Journal? This is an expensive communication. Is it effective? Who is the audience, and what are the objectives?

• Assess UPS's full statement. Which are the most and least convincing arguments?

United Airlines Announces Executive Departures

Three United Airlines executives left the company because of an investigation into whether unprofitable flights were added to suit NY/NJ Port Authority Chairman David Samson. The question is whether United executives exchanged flights to Samson's home for funding from the Port Authority.

The company gave this statement about the departures of CEO Jeff Smisek, the vice president of communications and government affairs, and the senior vice president of corporate and government affairs:

"The departures announced today are in connection with the company's previously disclosed internal investigation related to the federal investigation associated with the Port Authority of New York and New Jersey. The investigations are ongoing and the company continues to cooperate with the government."

The statement was also part of a longer press release, which focused on newly appointed CEO Oscar Munoz. In a message to employees, Munoz expressed his hopes for the company's future.

Discussion Starters:

• Assess United's press release and the CEO's message to employees. What are the communication objectives, and how well do these communications meet those objectives?
• How do you think employees are reacting to the news? What else should the management team communicate internally? How should they reach employees throughout the company?

Hillary Clinton Apologizes About Email

Hillary Clinton's long-awaited apology came yesterday, and it's a hot news story today. In an ABC TV interview with David Muir, Clinton said,

"What I had done was allowed, it was above board. But in retrospect, as I look back at it now, even though it was allowed, I should have used two accounts. One for personal, one for work-related emails. That was a mistake. I'm sorry about that. I take responsibility."

This is most direct apology yet. In an MSNBC interview last week, she said,

"At the end of the day I am sorry that this has been confusing to people."

Clinton is also acknowledging that she could have handled the situation better:

"I do think I could have and should have done a better job answering questions earlier. I really didn't perhaps appreciate the need to do that."

Her decision comes after an investigation found two emails to contain classified information. The Clinton campaign said no emails were marked classified at the time, and they dispute what is considered classified. 

Of course, she is also trying to rebuild her image. In a recent questionnaire, respondents most commonly associated the word "liar" with Clinton ("dishonest" was second).

Discussion Starters:

• Should Clinton have apologized earlier? Would it have made a difference in her campaign?
• What's your prediction for Clinton's campaign at this point?

Arguments About Raising the Minimum Wage

Perspectives on the whether and how much to raise the U.S. minimum wage are heating up. A recent National Labor Relations Board ruling made it easier for fast-food workers to negotiate with companies, even if they are contractors or work for a franchisee. And the minimum wage in New York State will increase to $9.00 in December 2015 and likely to $15 for fast food workers. 

The upcoming presidential election also has heightened interest in the topic. A New York Times Editorial Board op-ed describes some of the Republican candidates' arguments: "none of which make much sense." Popular opinions include the following, according to the article: 

• States should decide (Fiorina)
• The market should decide (Bush)
• Businesses will be hurt (Trump)
• Robots will replace workers (Rubio)

The National Restaurant Association has been an active voice in the debate. In an article, the organization points to potential negative impacts on young workers and the industry. 

Image source. 

Discussion Starters: 

• Which arguments do you find most and least compelling? What evidence supports your own point of view? 
• Have you worked for minimum wage? How, if at all, does that affect your position in the debate? 

Commentary on Google's New Logo

When Google changes its logo, everyone seems to weigh in. Some criticism has been harsh. The author of a New Yorker article, "Why You Hate Google's New Logo," writes, "Whenever a brand wants to freshen itself up, you start hearing talk about 'clean lines,' as if a few gorgeous, old-fashioned letters were keeping us in the Dark Ages." 

The new logo is sleeker, looking as though it dropped a few pounds and got a tummy tuck. 

The author's disappointment continues: 

The new logo retains the rainbow of colors but sheds the grownup curlicues: it now evokes children's refrigerator magnets, McDonald's French fries, Comic Sans. Google took something we trusted and filed off its dignity. Now, in its place, we have an insipid "G," an owl-eyed "oo," a schoolroom "g," a ho-hum "l," and a demented, showboating "e."

In a blog post, the company describes the logo as "simple, uncluttered, colorful, friendly" and touts its visibility on "even the tiniest screens." 

Discussion Starters: 

• What's your view of the new logo? Love it, hate it, indifferent to it? 
• The New Yorker article describes more of Google's evolution. Do you agree with the author's perspective? 

SeaWorld Responds to Harry Styles

With two sentences, Harry Styles of One Direction contributed to SeaWorld's continuing decline. The trouble started with the movie Blackfish, which exposed the park's treatment of orca whales. Now, Credit Suisse analysts point to new culprits resulting in "a 400% spike in mentions and 13% increase in negative commentary month-over-month:"

"Brand impairment issues were magnified in July from allegations that a SeaWorld employee acted as an undercover member of activist group Peta, and after One Direction lead singer, Harry Styles, urged all of his fans to boycott SeaWorld during a concert in San Diego."

After Styles' performance, the company issued this statement:

"Dear Harry, we've seen a concert clip of you urging your fans not to visit SeaWorld. We want you to know we love dolphins too. We care for the animals in our parks like we would our own family.

"We are committed to making sure their lives are enriching and they are continually engaged socially, mentally and physically. And, we also care for animals in the wild.

"We invite you to see for yourself, and then decide based on facts. We are happy to open our doors, take you behind the scenes, and have our trainers and vets answer any questions you have." 

New CEO Joel Manby acknowledged damage to the brand:

"We realize we have much work ahead of us to recover more of our attendance base, increase revenue and improve our performance as returning to historical performance levels will take time and investment. On the reputation side, early feedback on our campaign has been positive. However, we recognize that fully resolving our brand challenges in California will require sustained focus and commitment to correct misinformation."

Discussion Starters:

• How does a performer such as Styles have such a big impact? Do you believe Credit Suisse's assessment?
• What can SeaWorld do at this point to repair its brand image? Is it hopeless?

Auschwitz Museum Accused of Insensitivity

Management of the Auschwitz museum in Poland say they were just trying to cool off visitors from the heat, but people took offense to the sprinkler system they say reminded them of gas chambers used during the Holocaust. A visitor from Israel said, "As soon as I got off the bus I walked into the shower contraption. I was in shock. It was a punch to the gut."

A spokesperson for the museum told TIME, "Because of the extreme heat wave we have experienced in August in Poland, mist sprinklers which cool the air were placed near the entrance to the Museum. The mist sprinkles do not look like showers and the fake showers installed by Germans inside some of the gas chambers were not used to deliver gas into them."

He also said, "The safety and health of visitors are our priority during the period of extreme heat. Cooling air have been really helpful to visitors in this difficult situation."

Image source.

Discussion Starters:

• What's your view of the situation? Should the museum have had the foresight to avoid this controversy? Should the management handle the situation differently now? Or are people just being overly sensitive?
• Can you think of a statement that would address visitors' concerns, yet explain management's perspective in a more balanced way?

Ashley Madison's CEO Resigns

Now that the jokes about increasing divorces have subsided, Ashley Madison is in the news again because company CEO Noel Biderman will step down. Ashley Madison is the online dating site that fell victim to a computer hack along with 37 million users who were exposed for cheating on their partners and spouses. The site's tag line is "Life is short. Have an affair."

Although the company promised anonymity, it couldn't protect users from having their emails revealed in an easily searchable database. Further damaging the company's credibility, thousands of Ashley Madison emails in the system showed that many of the female profiles on the site weren't real. 

In a statement, the company says decision for the CEO to leave is by "mutual agreement." 

Discussion Starters: 

• Analyze the statement about the CEO leaving the company. Consider the timing, content, and tone. What could be improved? 
• Although Noel Biderman denied having affairs, the hack revealed communications between him and women. Do you think this factored into the decision for him to resign?  
• Read additional company statements. How is Ashley Madison trying to rebuild its image?Which tactics do you find most effective? 

Walmart Stops Carrying Some Rifles

Walmart will stop some selling high-powered rifles, and the company says the decision is based on sales, not politics. Although speculation links the news to Wednesday's on-air shooting of two television reporters, Walmart's announcement came first.

Spokesman Cory Lundberg said, "It [the decision] was done purely based on customer demand." He also told Forbes, "We previously carried modern sporting rifles in less than a third of our stores. Our merchandising decisions are driven largely by customer demand. In our everyday course of doing business, we are continually reviewing and adjusting our product assortment to meet our customers' needs."

At the same time, news reports question Walmart's motivation. According to a New York Times article, sales of assault rifles have not fallen (although the sales process may be slowed by background checks). Further, after the terrible church shooting in Charleston, S.C., chief executive Doug McMillon "indicated in an interview with CNN that he wanted to curb sales of such weapons."

Image source.

Discussion Starters:

• Why is Walmart focusing on sales rather than political motivations for discontinuing these guns? Consider Walmart's constituencies when you answer this question.
• Walmart has not posted a news release on its website to describe the decision. Why do you think the company might avoid this?

Google Fights EU's Antitrust Allegations

In a post on Google's "Europe Blog," Kent Walker, SVP & General Counsel, focuses on the company's innovation and quality. In a previous post, Google argued against the contention that search results favor the company. Now Google is trying to reframe the argument for us to see the value the company brings.

The first three paragraphs of the post, shown here, explain the European Commission's Statement of Objections (SO), including how Google ads shift users away from shopping on other websites.

Read more.

The posts ends, "We believe that the SO's preliminary conclusions are wrong as a matter of fact, law, and economics. We look forward to discussing our response and supporting evidence with the Commission, in the interest of promoting user choice and open competition."

Discussion Starters:

• Assess the organization of Walker's post, particularly the paragraph organization. What principles of business communication are demonstrated by the article?
• Assess the video included in the blog post. What works well about the interviews and examples, and what could be improved? What value does the video add to the blog post?

Candidate Word Clouds

A Quinnipiac University poll isn't good news for Hillary Clinton-or the other candidates. Sixty-one percent of voters said Clinton is untrustworthy. When asked to identify words associated with the democratic candidate, the most frequent was "liar."

For republican candidate Donald Trump, the most common word association was "arrogant" and for Jeb Bush, it was "Bush," which could mean bad news if he's too closely associated with the family, particularly George W. Bush, not a very popular president. The word cloud shows mostly negative words for Clinton, and the one below, for Trump, isn't much more inspiring. 

Hillary Clinton Word Cloud

Donald Trump Word Cloud

The word clouds can be deceptive. Even if the word height is representative of sentiment, several aspects may skew visual impressions, for example, 1) the (presumably) random color choice, 2) the length of the word (number of letters), and 2) the position of the words, which may make some stand out more than others. 

Discussion Starters: 

• Looking at these word clouds, which words stand out most to you? Of the smaller words, which ones stand out that may be equal in height to others, but capture your attention because of color or word length? 
• Does this poll influence your opinion of either leading candidate? If so, how?

Is Dr. Dre's Apology Enough?

The movie "Straight Outta Compton" about hip hop has raised questions about Dr. Dre's history of domestic violence. One victim called the film "revisionist history" because it omitted incidents of abuse by members of N.W.A.

Dr. Dre did issue this statement to The New York Times:

"Twenty-five years ago I was a young man drinking too much and in over my head with no real structure in my life. However, none of this is an excuse for what I did. I've been married for 19 years and every day I'm working to be a better man for my family, seeking guidance along the way. I'm doing everything I can so I never resemble that man again."

He added, "I apologize to the women I've hurt. I deeply regret what I did and know that it has forever impacted all of our lives."

Apple, which hires Dr. Dre as a top consultant, also issued a statement:

"Dre has apologized for the mistakes he's made in the past and he's said that he's not the same person that he was 25 years ago. After working with him for a year and a half, we have every reason to believe that he has changed."

Victims and reporters have been highlighting Dr. Dre's past. And the LA Times reported that an abuse scene was in an earlier version of the movie but was cut.

The controversy doesn't seem to be affecting movie goers. Box office results show "Straight Outta Compton" leading this weekend with $26 million in sales after a $60 million opening.  

Image source.

Discussion Starters:

• Are you convinced by Dr. Dre's apology? Is it enough?
• Did Apple do the right thing by issuing its own apology? What are the risks?

Video Interviews on the Rise

According to a Futurestep (Korn Ferry) survey, more companies are interviewing candidates via video, and they are reporting good results. Of the 700 companies surveyed, 75% use video to interview leading candidates, and 50% use it to narrow down the pool. Respondents say video has the following benefits:

• Less time for candidates and hiring managers
• Less travel expense
• Faster process

A representative at Novartis reported, "We have had some impressive results. In the past year, 2,700 video interviews have taken place with a cost-avoidance savings of $475,000 and a reduction in manager interview travel by 220 trips."

Companies are also using set questions for candidates to respond to by video. About 25% are using this method, and another 24% have "employee testimonials or messages from recruiting managers" on their websites.

A representative at Futurestep summed up the value of video on a company's career webpage: "Day-in-the-life videos with real employees can showcase a particular job function or office location. Also, welcome videos from the CEO or hiring managers are easy, inexpensive and effective ways to personalize the job seeker's experience and communicate an organization's employer brand." Deloitte has been including videos for some time, as shown here.

 

Discussion Starters:

• Some of the benefits seem to focus on organizational fit. How does video contribute to this determination about a candidate and company?
• What do you see as the potential dangers of using video for interviews? What could get lost?
• Have you experienced a video interview? How did it go?

McDonald's Copies Burrito Ads

McDonald's has apologized for using photographs similar to another campaign. About a month ago, photos of a man getting engaged to a burrito were making the rounds on Twitter. Recently, McDonald's showed a series of photos of people in similar positions with its food. Compare the left and right images below, shown on Adweek.

David Sikorski, a freelance writer, told Adweek that he created the idea:

"I came up with the concept as a satirical take on the engagement photos that flood my everyday social media channels. The photos are in fact licensed. We gave permission to BuzzFeed for the first use of the photos within an article highlighting the project."

Kristina Bakrevski was the photographer for the campaign. She said, "My reaction was shock, disbelief. I was mad, even though a lot of friends told me the imitation was a form of flattery." For its part, McDonald's responded:

"This shouldn't have happened, and, with our agency partner, we're working to find out how it did. We're reaching out to David Sikorski and Kristina Bakrevski. We apologize to them, their fans and ours."

Discussion Starters:

• McDonald's statement says they will explore how this happened. What are your theories, and how could this have been prevented?
• What else, if anything, should McDonald's do? How could the company avoid a lawsuit at this point?
• Sikorski and Bakrevski said they would like to be paid. How much do you think is appropriate?

Update on Subway's Jared

Last month, Jared Fogle, who was featured in Subway's advertisements for more than 15 years, was under investigation for child pornography. At the time, the company reported that they "agreed to suspend their relationship." Now, Fogle intends to plead guilty to charges of paying for sex with minors and distributing child pornography. He is expected to serve 5 to 12 years in prison. 

On its Twitter feed, Subway tried to announce the final cord-cut with a simple tweet but, 20 hours later, issued a second tweet, presumably after pressure to say more. Tweets asked, "Where are the disclosures?" and are calling for a boycott. 

 

Discussion Starters: 

• Was Subway's first tweet enough? Should the company have said more and, if so, what?
• Or, perhaps the company shouldn't have said anything at all. They had already "suspended" the relationship. What could have been the consequences of that decision? 
• Did the second tweet add value? People want to hear more, but what else is there to say? 
• Would you boycott Subway after hearing the news?