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I. Background Information On June 10, 1993, elderly Fircrest, Washington, couple claimed that they had discovered a syringe floating inside a can of Diet Pepsi So, after two weeks later public started to offensive them. Thats why Pepsi started tribute to sound communications thinking and rapid but it made their corporate to face into catastrophe. The day after the Fircrest complaint, Tacoma woman reported finding another hypodermic needle in a can of Diet Pepsi. So with story of the two tampered cans it sent whole worlds to shockwaves. Whether this two story became publicist in whole world Pepsi CEO chose to hold its powder thats why many of people advised them to not to underestimating this problems. So on June 13, the commissioner of FDA, David A. Kessler warned consumers in Washington, Oregon, Alaska, Hawaii and Guam that before they drink Diet Pepsi they should check tempering of can and should pour the contents in cup. With this crisis, Pepsi continued claimed that those cans were virtually tamperproof and they even urged its bottlers and general managers not to remove the products from shelves. On June 14,

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Pepsi issued an internal consumer advisory to its bottlers and general managers and made them to claim that they did not have syringes of this type in any of their production facilities and all cans used for Pepsi-Cola products are new packages. But whether with their effort, the nation was awash in copycat Pepsi-Cola tempering and finally Pepsis image became decreased from nations. Pepsis story dominated for three days in the evening news and networking morning programs so on June 15, the Government said to Pepsi to break first. During break time, a man who had fraudulently reported becomes arrested. With this arrested, Pepsi seized the offensive. From Media relations, Pepsi started to show customers to know the real facts with these methods. First, Using VNR pictured conveyed the massage to consumers how manufacture process built on speed, safety, and integrity especially when they tampering cans. Second, VNR pictured Pepsi president Weathercup claimed four critical points to give more impact to consumers. Third, VNR pictured even Pepsis president thanked to consumers for their support, reported additional arrests, and reaffirmed Pepsis decision not to recall its product. In addition, VNR made Pepsis

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president and a product safety expert on as many talk shows as could be fit into their schedules. From Government relations, Pepsi started to cooperate fully with Commissioner Kessler and the FDA. FDA office of criminal investigation reported about arrest man in central Pennsylvania and Kessler issued a statement on the tampering and the possibility of copycats. On June 17, Commissioner Kessler approved unequivocally characterizing the controversy as a hoax and on June 21, Pepsi president wrote letters to express his thanks to presidents in Kessler and the FDA. From Employee relations, Pepsi adopted a policy of full and immediate disclosure as soon as it had discerned the pertinent facts. Even consumer advisories claimed to Pepsi that at least once a day, Pepsis 400 field locations know what was going on, what has been reported and how the company was responding to customers. President Weathercup personally wrote to bottlers and general managers during crisis time to keep them advised of breaking developments. So, when the surveillance video was found Weathercup sent overnight mail to his all bottlers to share.

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By June 18, Pepsi seemed like one millennium. They got their reputation and product had been challenged. Finally, Pepsi declared victory through national ads. The story of national ads was like this Pepsi is pleased to announce..nothing. This incident of Pepsi called as one of the worst kind of national nightmare with critics and copycats threatening the company at every juncture, ended in a flurry of pervasive public praise. Even several companies praise them as Media-smart Pepsi, a mistake, a big mistake and the right moves, Baby. FDA/OCIs arrested around 55 suspected hoaxers after that Weathercup reported that sales had fallen just 3 percent at the height of crisis, approximately $30 million. But by July and August, Pepsi sales were up 7 percent, the best summer in five years.

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II. Situational Analysis Pepsi had nightmare on June 10, 1993 because of Fircrest couple report about discovered a syringe floating inside a can of Diet Pepsi. Thats why, around 50,000 people of Pepsi-Cola started to prevent offensive from media to claim because of them 95 years old trade mark will have disaster. But the day after the Fircrest complaint, a nearby Tacoma woman reported that she found another hypodermic needle in a can of Diet Pepsi. So, it made Pepsi to not to claimed their opinion to offensive of media and it made this incident became more and more of a mystery. Whether this incident happened, the president and CEO, Craig Weathercup acted like this happen will be removed faster because of showing trusty for many years to his consumers and believed that consumers will think this is just rumors by people who were jealous about their company fame. But nonetheless consumers believed the rumors and finally on June 13, the commissioner of FDA, David A. Kessler, warned consumers who were living in Washington, Oregon, Alaska, Hawaii, and Guam to inspect closely cans of Diet Pepsi before they drink it and to not to get harmful effect should poured the contents into a gals or cup. Time by time copycat tampering accelerated to

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make Pepsi to hold its ground. So, critics urged to Pepsi to recall their products but Pepsi continued to insist that their cans were virtually tamperproof. On June 14, Pepsi begun to issue an internal consumer advisory likes this. First, the syringes that were found are those commonly used by diabetics for insulin. But Pepsi do not have syringes of this type in any of their production facilities. Second, all cans used for Pepsi-Cola products are new packages. They also dont reuse or refilled at any time. On that day, the nation was awash in copycat Pepsi-Cola tampering. So, to barrage this copycat Pepsi-Cola tampering Pepsi told media to report their opinion.Pepsi tampering stories dominated in national media, leading the evening news and network morning programs for three days. So on late in the evening of June 15, Pepsi received first break because a man in Pennsylvania was arrested on the charge that he had fraudulently reported finding a syringe in a can of Pepsi. With this arrest, Pepsi seized their offensive and started to show up their claims. Through Media relations, Pepsi get out their tampering allegations. They usually used VNR to convey the message to consumers that their manufacturing process built on speed, safety and integrity especially when they tampering cans. The president and CEO of Pepsi, whos named Weathercup pictured in VNR to

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show up several critical points to consumers. He narrated the story of woman who was caught because of inserting a syringe in to an open Diet Pepsi can. And also said thanks to consumers for their support, reported additional arrests, and reaffirmed Pepsis decision not to recall its product. Finally, this video was broadcast to 95 million viewers on 325 stations in 159 markets and made Pepsi to get their fame again. Through Government Relations, Pepsi cooperated fully with commissioner Kessler and the FDA to build up trustful to consumers. During that time FDA office of criminal investigation was the one who reported the arrest of the man in central Pennsylvania. In addition they did alert in the Pacific Northwest too. Commissioner Kessler issued a statement on the tampering and the possibility of copycats. Because of their efforts Pepsi president Weathercup wrote thanks letter. Through Employee Relations, Pepsi was able to dispatch at least once a day, usually twice or three times on each day of the crisis to their consumers that what was going on, what has been reported, what the government was doing and how the company was responding.

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III. Implications / Consequences / Parallelism / values Implications- Implication of this Pepsi punctures the great syringe soda scare is to give warning to companies could get in trouble as Pepsi. As bigger companies should prepare well so, whenever this kinds of incident came to them they could solve problems without go into mystery. Consequences- The consequence of this incident will affect many of companies to learned a lot of lessons and made them to alert even if small incident. Media also developed and became most influential effect equipment for companies which can convey messages to people. Parallelism- Media relations used VNR to conveyed messages to consumers and to targeted their visualize influences. But unlike media relations, Government relations moved Kessler and FDA to report as actual and to move consumers mind to face into trust on them. In Employee relations, companys employees were who influence company to develop again with responsibilities. Values- Values of this incident is could make company to make trust in their customers mind through their efficiency.

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IV. Conclusion 1) Do you think Pepsi erred by not immediately volunteering to recall its product? NO, I dont think they erred. Because if Pepsi immediately volunteered to recall their product, its possible that they get bad image from consumers and also its possible to make them to thought about Pepsi who just wanted to cover immediately about this incident without proof. So, it probably made people to lose their trust. 2) How would you assess Pepsis overall public relations strategy? In my opinion, Pepsis overall public relations strategy was good. Because through VNR they conveyed their opinions and proofs that they did not put syringe. So, finally they got a chance to move consumers trustful to them again. 3) How would you assess Pepsis government relations strategy? In my opinion, Pepsis overall government relations strategy was good. Because with Kessler and FDA which is most trustful company to check up food or drinks to consumers, they made them to report the truths and proofs. So, at last Pepsi got more trustful from consumer after this incident.

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4) What were the pros and cons of ignoring print media and focusing instead on electronic media? Could this strategy backfire on Pepsi? In pros, they said whether people get more influence by electronic media than print media but through print media its possible that they could report what was going on for everyday with less expensive. But unlike pros, cons said through electronic media Pepsi was able to give strong impact to media and easily moved mind of consumers. And I dont think this strategy backfire on Pepsi because consumers usually wanted to hear proofs and reports from the person concerned. 5) What were the pros and cons of using Pepsis president as chief spokesperson? Pros and cons used Pepsis president as chief

spokesperson because he was the one who has to hear as center of pros and cons. 6) What public relations lessons can be drawn from Pepsis experience for handling future product tampering cases? I think the lesson of Pepsi is hold public first before solve other problems in the future. Because public work as big role to connect consumers and company communication well.

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V. Personal Learning and Insights Through Pepsi I learned that as a big company when they decide solution they should think once again and as a big company should know how to used media well to return consumers mind. If Pepsi did not decide their solution without think once again, they might give strike to their company image and its possible that they did not remain as one of the big company as coke company. And if Pepsi did not know how to used media well to return consumers mind, probably consumers trustful decreased and whether Pepsi remain as big company they might had some kinds of bad image of Pepsi. I realized that whether big company succeeded already they need efficiency to develop and maintain their status. So, as a human being who did not success yet, should need more efficiency to reach their goal. Thats why; from now on I will do my best to reach my goal and will push efficiency everytime I got in trouble. I will not also feel afraid to get new trouble and will accept that trouble which can improve myself better and think it will be need in my near future trouble. So that when I get in trouble, I might solve problems professionally without hesitation.

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VI. References -The Pepsi Product Tampering Scandal of 1993 (http://www.roadsideamerica.com/rant/pepsipanic.html) - The Pepsi Challenge: managing a crisis - product tampering case at Pepsi Cola General Bottlers Inc. Pepsi Cola Bottling Co (http://findarticles.com/p/articles/mi_m3289/is_n3_v163/ai_15312359/) - The Diet-Pepsi Crisis (http://newsflavor.com/alternative/the-diet-pepsi-crisis/) - Crisis Management/Pepsi Syringe Scare (http://iml.jou.ufl.edu/projects/Spring01/Morrison/Pepsi.html)