On September 26, 2017, the FBI announced the arrest of 10 men in connection with “fraud and corruption in college basketball.” The announcement shook the intercollegiate athletics world to its core. Three of ten individuals implicated in the investigation were employees or representatives of sportswear manufacturer, Adidas AG. This case delves thoroughly into the FBI’s investigation of the bribery and money laundering that took place over a two-year period and Adidas’s response. This case also offers an overview of the company’s history, highlights the history of endorsements, introduces another key player in the NCAA, and provides a framework for further analysis.
Case #19-10. (16 pp.)

Airbnb, a rapidly growing peer-to-peer rental property platform, faces scrutiny and backlash for its actions after teenage guest, Jacob Lopez, claims to have been sexually assaulted by his host. The case discusses the struggles associated with a rapidly growing company in the sharing economy. To provide a proper framework for analysis, the case also details a brief history of Airbnb’s responses to similar previous incidents. How does Airbnb protect its guests from harm with little to no control over the behavior of its hosts? (Or, vice versa?) What communication tactics need to be implemented to respond to future hazardous incidents? 15 pp. Case #16-03 (2016)

Professional golf’s most prestigious venue and most storied tournament come under fire as the
National Council of Women’s Organizations attacks Augusta National Golf Club for its
exclusionary membership practices. The Club, which annually sponsors The Masters Golf
Tournament, has no women members and balks at the idea of being told who it must include as
members. A very public tussle ensues, involving the CBS Television Network, the Professional
Golfers Associations, several prestigious sponsors, and the business organizations of the club’s
members. Both sides resolve to stand their ground. 12 pp. Case #03-02. (2003)

This case study focuses on Raelyn Campbell, a former Best Buy customer, who is suing the company for $54 million. Campbell states Best Buy lost her laptop - while being serviced for repairs - and tried to cover up its disappearance for more than five months. Additionally, Best Buy failed to address her concerns about identity theft when she acknowledged that years worth of tax returns were still on the missing laptop. The company must now decide how it will manage its image in response to this allegation and devise a communication strategy to further address customer concerns and privacy issues. 14 pp. Case #09-01. (2009)

On April 9, 2008, Jack Cafferty made comments concerning the United States’ relationship with China. These comments included calling the Chinese “goons and thugs” and labeling Chinese products “junk.” Over the next month and a half, thousands of Chinese Americans organized outside of CNN studios across the U.S. demanding an apology from Cafferty and CNN. CNN responded with silence, clarifying statements, and thin apologies, all of which served to fuel negative opinion and ultimately elevate the story to international headlines. 9 pp. Case # 09-06. (2009)

On Friday, January 13th, 2012, around 9:40 p.m. local time, the Costa Concordia, a luxury cruise ship carrying 4,200 passengers, punctured its hull off the coast of Italy. What followed the collision was a chaotic evacuation, irresponsible actions from the ship’s captain, and a lack of communication from the parent company, Carnival, all leading to a public relations disaster. 14 pp. Case # 12-05

Just weeks before the tightly contested 2004 presidential election, the CBS television network aired a feature story alleging that President George W. Bush received preferential treatment while in service to the Texas Air National Guard. At the center of the story are photocopies of memos supporting the allegations. Almost immediately following the broadcast, bloggers and news sites begin to question the authenticity of these memos. The maelstrom that ensues questions CBS’ and Dan Rather’s motives, and both the credibility and the role of broadcast media in the internet age. 9 pp. Case #05-05. (2005)

While conducting an internal audit, David Cruickshank, the newly-hired publisher of the Chicago Sun-Times, was faced with a chilling reality about how his newspaper was operating. Cruickshank uncovered data proving that the Sun-Times circulation figures – the lifeline of the paper’s advertising revenues – had been inflated for nine years. The credibility of one of the nation’s top publications was on the line, and Cruickshank needed to decide how to communicate this to his staff and, more importantly, to the world.

The world’s two high-end, venerable auction houses face serious allegations of cooperative
price-fixing. The U.S. Department of Justice began an investigation into the companies in 1997
and Christie’s offered information in exchange for immunity. Both companies face a serious
blow to their reputation while they wade through the profound charges of violating anti-trust
laws. (A) Case, 5 pp. (B) Case, 3 pp. Case #00-14. (2000)

The new CEO of Citigroup, Charles Prince, proposes a Five Point Ethics Plan in an attempt to change the
ethics, culture and operations of the company. The plan is a response to significant regulatory scrutiny,
paying out massive legal settlements and a Federal Reserve announcement requiring the company to
refrain from mergers and acquisitions until it has cleaned up internal controls. His plan includes
expanded training, enhanced focus on talent, balanced performance appraisals, improved
communications and strengthened compliance controls. As current key executives leave the company
and experts in ethics are skeptical, many wonder if Citigroup will be able to successfully communicate
this program while it holds back on growth to implement this new culture. 11 pp. Case #06-04. (2006)

A mid-size, non-union healthcare company confronts a racial incident on the loading dock. Issues
include leadership, cultural diversity, management structure, and conflict resolution. An
alternative version of issues discussed in Hayward Healthcare Systems, Inc. (94-05-2) 3 pp. Case
#94-05-1. (1994)

The collapse of the energy trading giant Enron has put the focus on accounting firms, and
especially on the amount of consulting being performed for large audit clients. Deloitte &
Touche CEO Jim Copeland convinced the U.S. Securities and Exchange Commission in 2001 to
allow accounting firms to continue to provide consulting services. With the possibility of
increased regulations and governmental interference following Enron, Copeland must decide if
this is still a viable option for his firm. (A) Case, 7 pp. (B) Case, 3 pp. Case #02-14. (2002)

The newly appointed CEO, Jim Adamson, had his work cut out for him as he tried to salvage the
tarnished image of Denny’s Restaurants. Denny’s was riddled with accusations of racial
discrimination at its restaurants. Lawsuits were pending and press coverage was increasing as
Adamson was faced with changing the fundamental corporate culture. (A) Case, 5 pp. (B) Case,
3 pp. Case # 00-31. (2000)

Consumer credit reporting company Equifax announced on September 7, 2017, that cyber criminals accessed its databases to obtain private information of 143 million US consumers. CEO Richard Smith faces public scrutiny and ponders his next move to effectively manage the crisis at his company. 12 pp. Case #18-03 (2018)

In 2014, the National Academy of Sciences published a study about an emotional contagion experiment that Facebook conducted on almost 700,000 of its members. Unbeknownst to test subjects, Facebook manipulated the newsfeeds certain members received and studied their reactions. This led to media coverage that called into question Facebook's ethics and corporate procedures. This case examines media and network user backlash to the experiment, and looks at Facebook’s policy on behavioral studies. 8 pp. Case #16-02. (2015)

In July 2018, Mark Zuckerberg landed Facebook at the center of another political firestorm when he appeared to defend users wishing to post content that denied the Holocaust. This case examines Facebook’s rise, its influential role in society, and the potential ramifications of this latest controversy. 7 pp. Case #19-04 (2019)

The world’s largest sports organization, FIFA, is caught in a corruption scandal as the U.S. Department of Justice leads a criminal investigation that indicts 14 of its top officials from North, Central and South America and the Caribbean on charges of racketeering, wire fraud and money laundering. How can FIFA regain the public trust? Should international organizations be more transparent? (A) Case 15 pp. (B) Case 2 pp. Case #16-06 (2016)

A series of controversies and market reversals begin to affect one of the world’s largest
pharmaceutical firms. As share price tumbles and market share erodes, CEO J. P. Garnier is
awarded a very large compensation package early in 2003. Shareholders revolt, voting down the
executive compensation package, and threaten to take down the management team. GSK
Chairman Lord Christopher Hogg and Communications VP Jennie Younger must decide how to
proceed in the face of mounting criticism and public outrage. 13 pp. Case #04-02. (2004)

A mid-size, non-union healthcare company confronts a racial incident on the loading dock. Issues
include leadership, cultural diversity, management structure, and conflict resolution. An
alternative version of issues discussed in Deerfield Hospital Supply, Inc. (94-05-1) 3 pp. Case
#94-05-2. (1994)

For five years Mark Hurd has enjoyed dramatic success as the CEO of Hewlett Packard, turning the company’s PC division around and getting the company back in the black through aggressive cost-cutting, including the elimination of 14,500 jobs. However, employee morale is through the floor and there may be high turnover costs down the road. When Hurd is accused of sexual harassment by a female contractor, and her attorney is the high-profile feminist Gloria Allred, H-P’s Board of Directors has a very difficult decision to make. Should the board use the sexual harassment accusation as an excuse to oust the wildly successful – but unpopular – CEO? (A) Case: 9 pp.; (B) Case: 4 pp. Case #10-13
 

In September of 2006, Hewlett-Packard Company submitted a filing to the Securities and Exchange
Commission revealing boardroom intrigue and a corporate spy scandal. Responding to information leaks
from within the board of directors, board chairwoman Patricia Dunn had authorized an internal
investigation using illegal investigation techniques to gain access to the confidential phone records of
board members and several news media reporters. Hewlett-Packard, once a well-respected technology
corporation, now faces chaos in its boardroom, challenges to its ethical values, and various government
investigations. As the company picks up the pieces, it must find a way to restore customer and employee
confidence in its commitment to security and the right to privacy. 12 pp. Case #06-19. (2006)

A New York Times author unearths evidence of deceptive search engine optimization tactics
linked to JCPenney.com. Google reacts by burying JCPenney’s search ranking as JCPenney
denied any knowledge of foul play. Millions will read the The New York Times article detailing
the controversy as J. C. Penney Company must determine how to protect its reputation and
minimize any impact on internet sales. 7 pp. Case #11-10 (2011)

On September 16, 2010, amidst a congressional inquiry into numerous product recalls over the
past 15 months, Johnson & Johnson’s Chairman of the Consumer Group, Colleen Goggins,
announced her retirement. With the bulk of the recall focused on their flagship product, Tylenol,
the tendency was to compare these with the famous recall in 1982, which cemented the public’s
trust in the company. Unfortunately, that trust has eroded because of their reaction to the
numerous current product issues. When it was revealed that subcontractors had secretly bought
back Motrin off the shelves without notifying the public that something was wrong with it, J&J
found itself with a much larger issue than just public dismay. This phantom recall had compelled
FDA regulators to call upon its crime unit to investigate whether or not these actions by Johnson
& Johnson constitute criminal behavior. 15 pp. Case #10-11

After launching as a new brand in 2015, JUUL products quickly became a part of the “cool” image amongst the teenage crowd. On July 30, 2018, The Washington Post published an article quoting attorney Esfand Nafisi regarding a nationwide class action lawsuit he was preparing against JUUL Labs. This case discusses the marketing strategy of the JUUL product that has directly affected a nationwide teenage use and addiction epidemic. Case #19-09 (12 pp.)

Kaplan University, a Washington Post Company subsidiary, is a network of for-profit colleges that faced scrutiny for educational rigor and admissions practices. The school educates an underserved demographic but was challenged with media attacks and whistleblower lawsuits. The Washington Post was accused of compromising its ethics in defending Kaplan University.

When a L’Oreal executive walks through a West Coast department store and demands that a
sales representative be dismissed solely because of her appearance, lower-ranking managers
resist. After the dismissal of a manager who defended the productive, but apparently
unglamorous sales clerk, L’Oreal executives face charges of improper termination and
employment discrimination. Title VII of the U.S. Civil Rights Act comes into play as
Communications EVP Rebecca Caruso works to defend the image of the world’s largest
cosmetics retailer. 7 pp. Case #04-01. (2004)

Maria Sharapova, the world’s highest-paid female athlete for 11-straight years and five-time Grand Slam tennis champion, admitted testing positive for the banned drug Meldonium during the 2016 Australian Open. Following her admission, sponsors such as Nike, Porsche, and Tag Heurer quickly distanced themselves from Sharapova as she began her two-year suspension. This case examines the consequences on Sharapova and her multi-million-dollar brand, the value of celebrity endorsements and their associated risks, and the effects of social media reactions during a crisis. 11 pp. (2017)

Domestic advice and home products maven Martha Stewart is accused of selling nearly 4,000
shares of ImClone Systems, Inc. stock shares, just ahead of a public announcement that the
company’s promising new drug, Erbitux, has failed FDA clinical testing. Accusations of insider
trading, based on her special relationships with ImClone CEO Samuel Waksal and Merrill Lynch
broker Peter Bacanovic, threaten her own company’s reputation, share price, and market position.
Can Martha Stewart Living Omnimedia survive accusations of misconduct or the downfall of its
namesake? (A) Case, 16 pp. (B) Case, 5 pp. Case #02-15. (2002 & 2004)

In August of 2016, Mylan Pharmaceutical came under public scrutiny for its highly priced EpiPen, a drug used to treat life threatening allergic reactions. “EpiGate” erupted almost overnight, as EpiPen customers took to social media to voice their frustrations. Mylan was accused of using “greedy robber baron” tactics against a helpless customer base. Mylan issued several price-related reparations to its customers (increased rebates, generic product offerings). A month later, Mylan was still struggling to silence its critics. Why did Mylan’s responses fail to address their concerns? What was missing in Mylan’s strategy? This case illustrates (a) the influence of social media on corporate reputation (b) the difficulties of balancing business strategy and public approval and (c) the principles of successfully responding to negative news media. (A) Case, 7 pp. Case #17-04. (2017)

By July 2011, News Corporation and one of its UK newspapers, News of the World, faced mounting pressure over revelations that it hacked into cellphone voicemails of crime victims, war widows, celebrities, government officials, and even members of the Royal Family. This case examines the events leading up to the peak of the crisis, as well as the communications that News Corporation undertook to address stakeholder concerns throughout the emergence and escalation of the scandal. Case # 12-09 (2012)

On March 25, 2003, People for the Ethical Treatment of Animals (PETA) revealed an undercover investigation of alleged abuses in Procter & Gamble subsidiary The Iams Company’s independent research facilities. Iams, a company of self-described animal lovers, responded quickly to evolve testing procedures to better conditions for study animals. Intense media coverage of PETA’s aggressive protests, however, has generated many questions about whether Iams is concerned about profits to the detriment of its customers’ pets. 8 pp. Case #05-04. (2005)

Progressive Insurance faced a widespread public relations crisis when Matt Fisher took to his personal Tumblr site to post a scathing account of his family’s experience with the company who insured his deceased sister. The blog entry went “viral” overnight, panning Progressive’s use of their attorney to seemingly assist in the defense of the driver who collided into his sister’s automobile, taking her life. This case examines the moral, economic, and legal views of business decision-making, as well as the social media consequences of a perceived imbalance between the three approaches. The question for Progressive Insurance is how to best mitigate the negative consequences of the current social media crisis and to avoid any recurrence. 13 pp. (Case # 13-05)

On August 24, 2012, a jury in the U.S. District Court for the Northern District of California found that Samsung mobile devices infringed six Apple patents, awarding Apple $1.05 billion in damages. The lawsuit was a battle of the largest smartphone manufacturer, Samsung, and the world’s largest company, Apple. Samsung must decide what actions they should take in response to the outcome reached by the jurors. Decisions at hand include trial proceedings, public communications, and research and development philosophy changes. 13 pp. Case #12-12 (2012)

On January 7, 2009, Ramalinga Raju resigned as chairman of Satyam Computer Services. This resignation came as a result of the largest corporate fraud in India’s history. Questions remain for Satyam executives about the company’s survival, as well as the reputational effect on PriceWaterhouseCoopers offices in India. 12 pp. Case #09-12. (2009)

An investigative report into corporate tax avoidance prompts an increasingly powerful citizen’s group to target Starbucks’ UK operation. Starbucks faces numerous sit-ins and boycotts throughout the UK. Increasing public outcry grabs the attention of Parliament which summons Starbucks’ CFO Tony Alstead to come testify. Austerity measures and complex international tax laws further complicate the matter. As a corporation that prides itself on social responsibility, Starbucks must decide between their duty to minimize tax liabilities (for shareholders) and their promise to serve the communities where they do business. Case #14-2. (A) 9 pp (B) 3 pp

One of the country’s largest insurers and financial institutions faces a lawsuit by some
policyholders for the use of non-Original Equipment Manufacturer parts in the repair of damaged
vehicles. The lawsuit claims State Farm breached its contract by specifying non-OEM parts
(which are known to be inferior to OEM parts) on repair estimates without the consent of the
policyholder. 5 pp. Case #00-08. (2000)

Texaco gained public attention when The New York Times reported on an audio tape with Texaco
senior managers making “disparaging comments about minorities.” Texaco was already in the
midst of a little-known discrimination suit when the report about the tape became public. The
company, now under fire for racial discrimination problems within the corporate culture, faces
the task of answering the allegations. (A) Case, 7 pp. (B) Case, 24 pp. Case #00-11. (2000)

This paper highlights the history of the development of the carbonated beverage industry in India
by the Coca-Cola Corporation and recent allegations made by the non-governmental
organization, Center for Science and Environment, of pesticides found in Coca-Cola’s soft
drinks. The purpose of this paper is to encourage discussion on how the key players in this event
used communication and the media to further their interests on the local and international levels
and what Coca-Cola should do to elevate the situation now and in the future.
21 pp. #06-22. (2006)

A promising young reporter is given an unprecedented opportunity to move up quickly through
the ranks of The New York Times. Questions about the accuracy of his reporting and the source of
his material, however, soon turn his case into a referendum on the leadership of Executive Editor
Howell Raines and Managing Editor Gerald Boyd. Reporters soon begin taking sides as a
credibility crisis and loyalty rift develop among the Times staff. (A) Case, 9 pp. (B) Case, 2 pp.
Case #04-05. (2004)

Larry Nassar’s conviction of first-degree sexual misconduct with young girls in USA Gymnastics raised important questions about the efforts of the USOC and affiliated organizations to keep their athletes safe. The scope and duration of his abuse brings into question the execution of the International Olympic Committee’s values. 15 pp. (A) Case; 10 pp. (B) Case. Case #18-05 (2018)

Publishers, editors and journalists at The Washington Post find themselves in a life-and-death struggle to defend their work against allegations of “Fake News.” The issues at play include a responsibility for the paper to fairly report the news, as well as the responsibility of the public to critically analyze, but be receptive to, truthfully reported facts. 15 pp. Case #18-06. (2018)

Since 2005, the nation’s top-ranked high school basketball prospects (and future NBA players) have been forced to delay their NBA draft declarations by one year. The “One-and-Done” rule has faced harsh scrutiny for a number of reasons, and recent corruption in the college basketball world has only intensified the issue. This case explores the history of the rule, how it has affected young athletes, and whether it is the best solution for athletes and institutions of higher learning. 8 pp. Case #19-13. (2019)

Federal immigration agents’ raids on Wal-Mart stores, referred to simply as “Operation
Rollback,” raises some concerns for the world’s largest retailer, especially in light of the negative
media exposure the company receives largely due to its massive size and expansionist efforts
throughout the globe. Criticisms of Wal-Mart’s non-union stance and its controlling relationship
with suppliers continue to surround the publicity of “Operation Rollback,” transforming the raids
into a symbol of the effects of the company’s low cost business model and unbeatable low prices.
12 pp. Case #04-08. (2004)

Fraudulent customer account management at Wells Fargo has left the company with $185 million in fees and numerous stakeholders demanding answers from top executives. Newly promoted CEO Timothy Sloan is tasked with transforming a poisonous company culture, rebuilding a tarnished brand, and assuring investors of the financial security moving forward. (A) Case, 15 pp. (B) Case, 3 pp. Case #17-12 (2017)

In August of 2009, the founder and CEO of the successful natural and organic food company Whole Foods Market published an op-ed in the Wall Street Journal espousing a position on the highly contested national health care debate that many perceived to be at odds with the company’s core customers. In the midst of a slow news month, the media seized on the apparent contradiction, and many diverse interests used the ensuing attention to further their own agendas. 14 pp. Case # 10-01 (2010)

Marissa Mayer’s decision to end Yahoo’s work from home program sparks a firestorm of media scrutiny. Yahoo, whose business it is to connect people over the Internet, finds itself at the center of a nationwide debate on workplace flexibility – even though Mayer never intended to make a broad industry statement about working from home. This case examines communication efforts to contain the conflict, and it may spark lively debate over where and when worker productivity and creativity are most likely to occur. (12 pp.) Case #13-07.

YouTube, the most popular Internet-based video-sharing platform, offers prolific content creators an opportunity to monetize videos for advertising revenue. While YouTube has published policies regarding what content is permissible, recent controversial videos have advertisers abandoning from the platform. YouTube must decide whose interests to prioritize: its content creators, viewers, or advertisers. 14 pp. Case #18-07. (2018)

Sports wagering had been illegal in the United States since 1992, creating massive illegal
markets, including 97% of all wagers ($10.1 billion) placed illegally on March Madness in 2019.
Now, with the 2018 repeal of PASPA, 42 states are considering legalizing sports wagering. The
AGA and state governments are excited to generate more revenue; collegiate organizations
including the NCAA, Power Five Conferences, and Universities are concerned for players’ wellbeing
and game integrity. How should each stakeholder respond? 13 pp. Case # 19-20 (2019)

After a terrorist attack at the Pensacola Naval Air Station, Apple received immense public pressure to comply with the FBI’s request to assist in unlocking the encrypted iPhone of the attacker. Apple’s evolving technology will open the company up to further concerns about user privacy that will need to be addressed. 10 pp. Case #20-03

On June 10, 2020, the editor-in-chief of Conde Nast magazine Bon Appétit resigned amid allegations of racial discrimination. The publisher faces criticism from the public as well as its own employees over racially biased pay inequality involving the brand’s YouTube channel. A number of employees resign. All new content production has ceased while the matter is being resolved. Conde Nast must hire a new editor-in-chief. What other actions should the magazine take to rebuild trust with readers and staff? 14 pp. Case #20-04

In August 2020 – in the midst of a hotly contested U.S. presidential election – Donald J. Trump used the online Twitter platform to criticize Goodyear Tire & Rubber Company’s policy banning “Make America Great Again” apparel, creating a firestorm of politicized press and public outrage that lowered Goodyear’s share price. This case examines the company’s political expression policy, the fractious nature of American politics, and limits of political expression in the workplace. (A) Case, 11 pp. (B) Case, 4 pp. Case #20-06

In preparation for the holiday shopping season, Peloton, a home exercise equipment manufacturer and workout streaming service, created controversy with one of its advertisements in 2019. A number of reactions accused the company of reinforcing sexist stereotypes. The aftermath included a loss of more than $1 billion in market value, social media outcry, and the creation of a number of parodies mocking the Peloton commercial. The company now hopes to rebound from its financial and reputational damage, just before the holiday season. 16 pp. Case #20-08

The death of George Floyd sparked a cry for racial justice that infiltrated every aspect of American life in the summer of 2020, including business marketing and product branding. The racist history surrounding the Aunt Jemima pancake mix and syrup line compelled Quaker Oats Company to review their product portfolio. While Quaker wants to protect the reputation of the brand and comply with social change, re-branding presents serious complications for a categoryleading product. 12 pp. Case #20-09 (2020).

The Washington Redskins professional football team face a new social climate with the sudden rise of power and influence of the Black Lives Matter Movement. The team, its owners, sponsors and fans confront a momentous shift in American tolerance for racially charged brands following the death George Floyd in 2020. Sponsorship arrangements, logotypes, even the team’s name are under fire. 8 pp. Case #20-10 (2020).

For $500 million annually, Facebook contracts Accenture PLC to moderate content that violates its Terms of Service and is not caught by artificial intelligence. The graphic nature of the content has led to mental health issues for content moderators, as well as multi-million-dollar lawsuits, leading Accenture managers to reconsider the value of the Facebook contract. 11 pp. Case #21- 06 (2021)

Robinhood, an online trading platform, has revolutionized the trading industry by the incorporation of payment for order flow (PFOF). The platform has drawn many amateur investors to start investing, especially in cryptocurrencies. Controversies have arisen with the widespread use of the PFOF business model that have called for regulators to step in and possibly make changes. 12 pp. Case #21-08 (2021)

Following reports of forced labor in its supply chain, fast fashion merchandiser H&M stopped sourcing cotton from China’s Xinjiang region, the site of alleged genocide. After Western sanctions sparked nationalist outrage, China retaliated by boycotting H&M. Will H&M continue defending human rights or choose to preserve the growing Chinese market? 20 pp. Case #21-13 (2021)

Microsoft Corporation: Open AI and ChatGPT in the Workplace Chauhan, V.; Hough, P.; Lomeli, J.; and O’Rourke, J. S. (editor)

This business school case study explores Microsoft Corporation’s investment in a start-up called OpenAI, along with the potential impact of Artificial Intelligence on the company’s operations and future products. The case examines the actions of Microsoft’s competitors in the AI space and the regulatory environment, highlighting the importance of AI development in the 21^st century. 16 pp. Case # 23-04 (2023)

Keywords: Microsoft Corporation, OpenAI, ChatGPT, Generative Pre-Trained Transformers, Artificial Intelligence, Discriminative Fine-Tuning, Disinformation, Hallucinations, AI Algorithms,

Uber Technologies, Inc.: Surge Pricing and Consumer Reaction Tonongbe, G.; Pontarelli, A., and O'Rourke, J.S. (editor)

Ride-sharing giant Uber Technologies, Inc. has begun using algorithms to employ dynamic pricing strategies, popularly known as surge pricing. The company, long viewed as a disruptive force in the collaborative consumption sector now faces controversy, as well as legal and regulatory challenges. While surge pricing aims to optimize supply and demand, stakeholders' perspectives vary widely, prompting debate on fairness and unpredictability. Can surge pricing become more equitable and beneficial for all parties involved. 18 pp. Case #23-06 (2023).

Keywords: Uber, Surge Pricing, Dynamic Pricing, Ride Sharing, Ride-Sharing, Fair Pricing.

Target Corporation: Pride Merchandise and Consumer Reaction Bao, L.; Swanson, A.; Mubvuma, S.; and O’Rourke, J. S. (editor)

As discussions on LGBTQIA+ inclusivity persist, the public debate continues about whether publicly traded organizations should voice their opinions through public advocacy. This case study spotlights Target Corporation and its twelfth annual Pride Collection launch. Target faced unforeseen financial and safety consequences in response, prompting merchandise removal.

Their future involvement in the LGBTQIA+ community remains uncertain. 9 pp. Case #23-07 (2023)

Key Words: Inclusivity, Business Strategy, LGBTQIA+, Crisis Management

During the Wendy’s Q4 investor's meeting on February 15, 2024, CEO Kirk Tanner delivered an announcement that would reverberate with profound impacts within the Wendy’s corporation and beyond.1 What began as a routine gathering took an unexpected turn, sparking a flurry of social media backlash and media scrutiny. In a virtual presentation to investors, Tanner unveiled Wendy’s ambitious plan: the implementation of dynamic pricing across its franchises through a groundbreaking $20 million digital menu board project.2

In the aftermath, Tanner and Wendy’s found themselves at the receiving end of scathing criticism across various television networks and esteemed publications like The Washington Post.3 Meanwhile, a flood of derisive social media commentary from  is gruntled customers added insult to injury. Memes and jokes proliferated about Wendy’s dynamic pricing proposal on popular platforms like Facebook.4 To Tanner’s astonishment, many had misconstrued his announcement regarding the introduction of dynamic pricing at Wendy’s outlets, drawing parallels to Uber’s controversial surge-pricing model.

In a bid to quell the uproar, Wendy’s swiftly issued a public statement on its website and through its various media channels, clarifying that the pricing adjustment aimed to offer discounts during off-peak hours rather than inflating prices during periods of high demand.5 Nevertheless, the damage had been inflicted, and the flood of jokes and outrage persisted unabated. The company grappled with the challenge of articulating and solidifying its vision for the future amidst the ongoing turbulence.