A Study of Two-way Communication Model Applie in Organizational Crisis Management

Abstract

Grunig's research [15] shows that companies with ongoing two-way communications often avoid crises or endure crises of shorter duration or of lesser magnitude. In this paper, Grunig's two-way communication model [15] is explored to view communication attitudes to the public while an organization is facing a crisis. Using a case study methodology, interviews were conducted with the employees, management, and journalists involved and familiar with Taiwan's Grand Hi-Lai Hotel's financial crisis of 1998. The result shows that the hotel did not take Grunig's two-way communication model [15] to deal with its crisis so that it brought the negative image to the hotel. Moreover, the hotel laid off a lot of employees, and the Ministry of Finance required it to economically reorganize at the beginning of 1999. Unlike other studies, this study focuses on the causes of the failures in crisis communication. Finally, the finding of the study could offer valuable ideas for other organizations to explore the importance of a crisis communication plan.