Samsung's $5bn cock-up
Samsung has a strong, well-respected and valuable global brand ... which is why the flaming Galaxy Note 7 debacle must be so embarrassing for Samsung. Having to recall the model after several spectacular fires was bad enough, but then releasing a flawed and similarly dangerous replacement turned a disaster into a $4bn PR nightmare , where PR = Product Recall = Public Relations. "The cancellation of the Galaxy Note 7 has been an unprecedented public relations disaster for Samsung, the world’s largest maker of smartphones. It has also cost the company billions of dollars and, for some critics in South Korea, even called into question the very business model that has made Samsung so successful." [ NY Times ] Samsung's press conference about the incident was both useful and frustrating: "The culprit proved to be two separate flaws with two separate batteries. One was a design flaw that led to the first recall. The second was a manufacturing error introduced after Samsu...