Organizational Behaviour

Subject: DKNY Bunny Butcher

1. Problem

DKNY was criticized by The Ethical Treatment of Animals (PETA) for using animal fur and especially rabbit fur for fashion design. PETA has tried to persuade you for several times but you rejected their request, so PETA took actions in posting message online and harassing the website of Cyber Monday which was one of your busiest and most profitable online shopping days of the year.

2. Recommendation

At this time, the most crucial thing is communicating with PETA in order to reduce negative impact on business and DKNY’s reputation. You can tell them that you will discuss this issue with them seriously as soon as they stop attacking. My first recommendation is improving communication skills while you talking with them. The aim of the discussion is finding acceptable solutions for both two sides so that it tends to be an integrative negotiation.

Then, tell them your difficulties in using fur (like customer preference, intertype competition and fashion trend). Moreover, you can showing your care about animals and your tendency to use less fur.

Finally, official reconciliation in front of the public is a great approach. In this way, your company will gain reputation through PETA’s recognition and own ethically responsible management.

3. Factors

The main decision factor in this case is ethics. DKNY and PETA stands for different values. We need to understand that the biggest conflict source between them is differentiation, and DKNY should make more ethical decisions and behavior in future business due to cruel treatment on animals. Secondly, profit is always a significant factor in business. If PETA keep attacking DKNY, the business of DKNY must will be affected. Moreover, reputation means a lot to a company. It brings customers, investment and affects a company’s value. For DKNY, restoring its reputation from the public is a main task. Furthermore, market share also has impact on decision-making. There are still some...