Business Case Studies, Managing in Troubled Times Case Study, Taco Bell, Ecoli Crisis

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Managing in Troubled Times Case Study

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Case Title:

Taco Bell and the Ecoli Crisis

Publication Year : 2007

Authors: Kalyani Gohokar, Mridu Verma

Industry: Retailing

Region:Mexico

Case Code: TRT0069P

Teaching Note: Not Available

Structured Assignment: Not Available

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Abstract:

Taco Bell, a subsidiary of Yum Brands Inc is a leading Mexican style fast food restaurant chain and one of the best performing brands of Yum. An e-coli outbreak has hit Taco Bell restaurants in November 2006, affecting people in six US states. Taco Bell is now left with a major damage control challenge of convincing its customers that its restaurants are safe to eat even as the cause of the outbreak remains a mystery.

The case outlines the damage control strategies adopted by Taco Bell restaurants to regain market share and retain its customers in the wake of its ecoli outbreak incident. It focuses on the company's crisis management and repercussions of the outbreak.

Pedagogical Objectives:

  • To discuss the dynamics of crisis management
  • To analyse the crisis management strategy adopted by Taco Bell in the wake of ecoli outbreak at its restaurants.

Keywords : Crises Management; Public Relation; Taco Bell; Yum; Brands; Managing in Troubled Times Case Study; Brand Reputation; Damage control

Contents:

  • Background Note
  • The Ecoli Incident
  • Managing Crisis

  • Taco Bell facing lawsuits
  • Market Reactions
  • Looking Ahead

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