A Crisis of trust Essay Example | Topics and Well Written Essays - 2250 words

A Crisis of trust - Essay ExampleAfter the recession hit, trust has been the key in holding on to ones place in the market. The post-recession world is one where trust delivered by the company has been ensuring brand loyalty by the consumers. solely from time to time, high profile companies and organizations such as Google, Barclays, and Starbucks are surrounded by controversies not entirely damaging their image but also their kindred with their consumers. Controversies only find their way to the organization when the company fails to provide excellent node service and starts rating their profits above their customers. Businesses and markets rely on the positive entity of trust to demonstrate stability and long term profitability. Barclays Plc. and LIBOR Recently one such example of rigged trust was seen with Barclays LIBOR scandal. Barclays is the 2nd largest bank in the unite Kingdom and the 15th largest in the world. Barclays has established a strong reputation for itself ove r the years. But recently it became part of a controversy that has resulted not only in the resignation of its chief executive (Zhong, 2012) but also a fine of ?290 million (Bolger, 2012). Barclays plc suffered a serious blow to its reputation when it was found affect in lying about its LIBOR (London Inter Bank Offered Rates) rates. This resulted in Barclays illegally and unethically ending up with their consumers money in their pockets. ... ick Cooper of Millward browned believes, The situation for Barclays is incredibly serious it has turned Barclays from being the hunter into potentially being the prey. That is a huge and very rapid turnaround. It would be a yell shame if Barclays disappeared but a lot of consumer trust in the brand has been lost, (2012). In YouGovs August 2012 poll, 17% of Barclays customers are considering reverse their service (Rowe, 2012). Google Privacy Issues and Shattered Trust Ever since Google has been the leading search engine of the world, it has a lso been closely followed by issues in its privacy policy and how it handles its customers information and information. It is surrounded by privacy concerns in most of its products and services that it offers. A survey was recently conducted, which interviewed 1,317 people. 57% of the people were of the view that the Google bridle-path View service was an intrusion in the private lives of the laymen (Do you know whos watching you?, 2012). Consumers in this time of awareness are quite accustomed to their data being collected and used, but if the company does not follow adequate rules and regulations with regard to privacy management, the consumer is more than likely to show lack of trust and make the use of that service altogether. Google has been encountering a number of privacy scandals for some time. According to the 2012 YouGov Brand Index, Google has been replaced by Amazon as the top Internet brand in Britain, due to its privacy controversies (Googles on Wane, 2012). Google, due to its flawed privacy policy, may be subjected to fine by the European Union as it has not fixed its privacy policy as per the CNIL request, and the EU has considered Googles response to the request as unsatisfactory