From an Operational Problem to an Organizational Crisis: The Case of Patiswiss Chocolate

Abstract

In the digital age, consumer complaints have become significant indicators of operational vulnerabilities, with social media amplifying their impact. Mishandling such complaints has the potential to escalate minor issues into full-scale organizational crises, damaging brand reputation and eroding consumer trust. This study employs a case study approach to examine the Patiswiss Chocolate crisis, where a single consumer complaint led to widespread backlash, executive resignation, and boycotts. The crisis is analyzed through three key frameworks of analysis: communication, marketing, and ethics, offering a comprehensive understanding of its evolution. The findings reveal that defensive or dismissive responses exacerbate reputational damage, triggering the Streisand effect, where attempts to suppress criticism amplify its spread. Ethical concerns, including misleading corporate claims and governance issues, intensified consumer backlash. From a marketing perspective, brand trust declined as consumer activism influenced purchasing behavior and retailer decisions. This study emphasizes that organizations must adopt strategic, ethical, and consumer-centric approaches to crisis management to maintain long-term brand resilience.

1. Introduction

In the contemporary digital era, the management of crises has become increasingly intricate due to the accelerated transmission of information and the progressive role of social media in shaping consumer perceptions. Contrary to traditional crisis scenarios, where companies could exercise control over narratives through press releases and official statements, contemporary crises transpire in real time across multiple digital platforms. Consumers now actively influence public discourse, amplify complaints, and challenge corporate reputations (Morgeson et al., 2020). This paradigm shifts underscores the pressing need for organizations to adopt proactive and transparent crisis management strategies (Coombs, 2007).

The importance of crisis management in social media contexts is evident in numerous case studies where brands have struggled to contain reputational damage following mismanaged consumer interactions (Golmohammadi et al., 2021a). The Streisand effect, which describes how attempts to suppress information often lead to its wider dissemination, exemplifies the risks associated with defensive corporate responses (Zamani et al., 2015). Research has shown that mishandling consumer complaints on social media can escalate issues beyond their initial scope, leading to widespread backlash, boycotts, and even financial losses (Golmohammadi et al., 2021a). Conversely, companies that address crises with transparency, accountability, and engagement are more likely to mitigate reputational harm and rebuild trust (Hogreve et al., 2019).

Despite the extensive research conducted on crisis communication, marketing, and consumer activism, there are still significant gaps in our understanding of how operational issues can evolve into full-scale reputational crises through the dynamics of social media. The existing literature primarily focuses on crisis response frameworks, such as Situational Crisis Communication Theory (Coombs, 2007). However, real-world case studies demonstrate that consumer activism and ethical considerations also play critical roles in the evolution of crises (Pullig et al., 2006). Recent discourse has underscored the growing influence of digital communities in mobilizing collective action, compelling brands to address not only their immediate crisis response but also broader ethical and corporate governance concerns (Istanbulluoglu & Sakman, 2024).

The present study examines the Patiswiss Chocolate crisis, which originated from a consumer complaint regarding product quality and escalated into a multifaceted reputational crisis encompassing communication failures, marketing implications, and ethical controversies. By analyzing social media discourse through qualitative content analysis, this research aims to illustrate how executive mismanagement, consumer backlash, and digital activism shape crisis trajectories. The findings of this study offer insights into the intersection of operational issues, stakeholder engagement, and corporate ethics in the social media age, thereby contributing to the existing literature on crisis communication. The present study aims to address the following research question: In what manner has an operational problem that became apparent with a consumer complaint evolved into an organizational crisis? Ultimately, this study underscores the importance of strategic crisis management that integrates transparency, consumer engagement, and ethical leadership to safeguard brand reputation in increasingly volatile digital environments.

2. Literature Review

2.1. Recognising, Identifying, and Dealing Appropriately with Customer Complaints

In the contemporary digital era, it is imperative for businesses to acknowledge the pivotal role of complaint management in social media (Istanbulluoglu & Sakman, 2024). The repercussions of consumer dissatisfaction can have a substantial impact on a company’s reputation, potentially influencing purchasing behaviour (Mattila & Mount, 2003; Van Noort & Willemsen, 2012). It is therefore vital for businesses to address complaints promptly, especially on social media platforms, in order to mitigate negative consequences (Golmohammadi et al., 2021a). The integration of social media into complaint management brings about notable transformations. Social media complaints possess distinct characteristics, including public visibility and instant feedback (Istanbulluoglu & Sakman, 2024; Xia, 2013). However, it is important to note that publicly addressing complaints on social media requires careful consideration, as it may exacerbate negativity (Golmohammadi et al., 2021a).

Customers have come to expect a rapid response to their complaints across a variety of communication channels (Huang et al., 2018; Mattila & Mount, 2003). Addressing complaints in a timely manner has been shown to appease customers and to cultivate brand advocates (Macdonald, 2024). The personalization of customer support interactions, incorporating acknowledgement of concerns and sincere apologies, exerts a substantial influence on customer perception and satisfaction (Huang et al., 2018; Macdonald, 2024).

An efficient complaint management strategy is predicated on a systematic approach to addressing customer grievances, which includes identifying the root causes, proposing effective solutions, and documenting feedback for continuous improvement (Ciotti, 2024; Macdonald, 2024). Furthermore, exceeding customer expectations in resolving complaints fosters long-term loyalty and enhances brand perception (Macdonald, 2024).

Customer complaints frequently indicate a discrepancy between customer expectations and service delivery (Ciotti, 2024). A reactive, defensive approach to negative feedback on social media can result in the escalation of issues and the triggering of the Streisand effect (Morgeson et al., 2020). The Streisand effect refers to the attempt to remove information from certain channels that is perceived as harmful or critical of a company, institution, or individual. This effort often results in the information being disseminated more widely through online networks, including the blogosphere. In certain instances, the repercussions of this dissemination can also manifest in physical spaces (Zamani et al., 2015). Consequently, it is advisable for brands to refrain from threats or legal action against online critics, instead focusing on addressing the underlying issues (M. R. Solomon, 2018). The adept management of complaints has the potential to transform dissatisfied customers into devoted ones, thereby influencing both customer loyalty and profitability (Morgeson et al., 2020).

Research has emphasized the importance of promptly and openly dealing with complaints on social media platforms (Golmohammadi et al., 2021b; Hogreve et al., 2019; Istanbulluoglu, 2017; Istanbulluoglu & Sakman, 2024; Kumar & Kaur, 2020; Xia, 2013). The failure to address customer complaints, whether voiced online or offline, has been demonstrated to exacerbate customer dissatisfaction and diminish their inclination to make future purchases (Mattila & Mount, 2003; Van Noort & Willemsen, 2012). Significantly, a company’s failure to respond has been identified as the most probable primary cause of consumer discontent (del Río-Lanza et al., 2009; as cited in Istanbulluoglu & Sakman, 2024). In other respects, responding to customer complaints publicly can also result in a substantial adverse outcome. Interaction with dissatisfied customers can draw further attention to their grievances, transforming brand social media platforms into hubs of negativity that overshadow positive content. The integration of social media has led to significant changes in the management of complaints, resulting in increased visibility, real-time feedback, enhanced customer engagement, opportunities for service recovery, data analytics, brand reputation management, and global reach (Istanbulluoglu & Sakman, 2024). The shift towards social media has transformed the nature of customer–brand interactions, allowing for the rapid dissemination of complaints, which, according to Xia (2013), can reach hundreds or even thousands of current and potential customers. Research indicates that promptly addressed complaints often lead to enhanced brand loyalty and advocacy, underscoring the significance of effective complaint management in fostering positive brand relations (Macdonald, 2024). Customers generally expect to receive assistance from companies within a timeframe of five minutes via phone, one hour via social media, and one to twenty-four hours via email. These expectations persist even in the event that the customer’s complaint remains unresolved, suggesting that providing a brief acknowledgment of the issue and reassurance regarding investigation efforts can still yield favorable outcomes (Huang et al., 2018). Furthermore, customers tend to retain both positive and negative experiences with customer service, and they are inclined to reward companies that provide satisfactory treatment (M. R. Solomon, 2018). The swiftness with which an online occurrence gains traction in social circles underscores the significance of responding promptly, as any delay in addressing the matter can exacerbate its impact, potentially surpassing the gravity of the original incident (Huang et al., 2018).

Furthermore, Huang et al. (Huang et al., 2018) emphasize the importance of personalizing customer support interactions, adding that adding a personal touch, such as including the agent’s name or initials, significantly impacts customer perception. The authors also state that customers are more willing to pay when they receive personalized responses, which humanize the interaction and foster a sense of support from the company. They further argue that having the name of the assistant employee also encourages customers to follow up on issues. Furthermore, customer complaints can serve as a valuable source of data, providing insights into customers’ needs, viewpoints, stances, and beliefs. Disgruntled customers, in particular, are more likely to seek assistance and clarification from the company, as opposed to creating problems (Macdonald, 2024).

2.2. Recognizing and Overcoming the Crisis

The term “crisis”, originating from the Greek word “krisis”, signifies judgment, choice, or decision (Paraskevas, 2006). It represents an unplanned event arising from internal or external factors, capable of disrupting operations, threatening individuals physically and mentally, and jeopardizing organizational viability (Sharma & Srivastava, 2014). Despite their unpredictable nature, crises are not entirely unexpected and can affect all facets of society, driven by diverse causes (Lemonakis & Zairis, 2020).

A crisis, as defined, involves a profound alteration of a system jeopardizing its function and survival. Parsons (1996) articulates crisis management as a blend of applied common sense, experiential learning, and timely intervention, emphasizing the necessity of effective crisis communication within organizational dynamics. According to Parsons, crises are categorized into three types: immediate, emerging, and sustained. Immediate crises, characterized by suddenness, demand a swift response devoid of prior planning. Conversely, emerging crises unfold gradually, posing challenges in detection and necessitating proactive preparation. Sustained crises persist over prolonged periods, often fueled by speculation and rumors. Managing immediate crises hinges on nurturing robust stakeholder relationships, acknowledging potential challenges within a hostile media landscape. Proactively identifying early signs and persuading management to brace for emerging crises is crucial for minimizing their impact. During sustained crises, prioritizing transparency and honesty in communication, even when conveying unfavorable news, is paramount.

Within the realm of brand crises, two overarching categories exist: performance-related and values-related crises. Performance-related crises typically arise from issues like faulty products, diminishing the perception of a brand’s capability to provide functional advantages. On the other hand, value-related crises are not directly linked to product malfunctions but rather revolve around societal or ethical concerns pertaining to the values endorsed by the brand (Pullig et al., 2006).

Fink (1986; as cited in Paraskevas, 2006, p. 893) outlines four phases of a crisis: prodromal, acute, chronic, and resolution. Effective crisis planning entails spotting early warning signs, though recognizing the prodromal stage may prove challenging. As the crisis escalates to the acute phase, recovery becomes more daunting, with the organization’s readiness and response efficacy determining the extent of damage. Throughout the chronic stage, efforts center on recovery, vulnerability identification, and learning from successes and failures. Ultimately, the crisis resolution phase signifies a return to normalcy and full operational capacity. The Situational Crisis Communication Theory (SCCT) proposed by Coombs (2007) identifies four post-crisis communication strategies: deny, diminish, rebuild, and reinforce. Deny strategies refute the existence of a crisis or the organization’s responsibility for it. Diminish strategies downplay the severity of the crisis or minimize organizational accountability. Rebuilding strategies involve compensation or apologies. Reinforce strategies emphasize the organization’s positive history to elicit empathy. Crisis managers must judiciously select the appropriate response strategies to protect the organization’s reputation. It can be seen that crisis management necessitates a strategic approach encompassing proactive planning, effective communication, and adaptive response strategies, all aimed at mitigating the impact of crises on organizational stability and reputation.

2.3. Social Media Crisis Management

Social media is a powerful tool for individuals to share information and ideas, and it offers companies an effective way to engage with stakeholders and gain various benefits (Gomez et al., 2016). It enables companies to foster dialogue and engagement with stakeholders. The most common news source in Turkey is online sources, including social media (Newman et al., 2023). Social media has also revolutionized the dynamics of the relationship between firms and consumers, fundamentally altering the balance of power. With the rise of social media platforms, consumers now wield unprecedented influence and leverage in their interactions with businesses. Through the immediacy and reach of social media, consumers can easily voice their opinions, share experiences, and amplify their voices to a global audience. This shift in power has compelled firms to adapt their strategies and practices to be more responsive and transparent in their dealings with customers. The ability of social media users to publicly praise or criticize a brand can significantly impact its reputation and bottom line, underscoring the importance for businesses to actively engage with and listen to their online communities. Thus, social media not only serves as a communication tool but also as a catalyst for fostering more equitable and mutually beneficial customer relationships in the digital age.

The digital revolution has further complicated crisis management, necessitating multilevel approaches to improve decision-making and reduce misalignment between crisis managers and their environments (Roberts et al., 2020). Social media platforms are becoming increasingly integral in facilitating corporate communication between the company and both its internal and external environments. Social media platforms, notably LinkedIn, are pivotal in corporate communication strategies, bolstering the functions of corporate communication departments (Lipińska, 2018). It can be clearly seen that social media has fundamentally transformed crisis communication, presenting organizations with both opportunities and challenges.

Snoussi (2020) metaphorically describes social media as a “lifeboat” provided to organizations during times of crisis, emphasizing its pivotal role in navigating turbulent waters. Indeed, Kotsiopoulos (2014) highlights its utility in facilitating communication with the public during large-scale crises and disasters, underscoring its potential as a vital tool for crisis management. One of the key aspects of social media’s impact on crisis communication is its ability to enable the creation and exchange of user-generated content, as noted by several scholars (Kotsiopoulos, 2014; Snoussi, 2020). This dynamic feature makes it a powerful platform for crisis management, allowing organizations to engage directly with stakeholders and disseminate timely information. Moreover, social media’s transformative influence extends beyond mere information dissemination. Gambura and Apuke (2018) observe that its interactive nature has revolutionized crisis communication by fostering instant communication and response. Messages are swiftly communicated and responded to, propelling the movement of a crisis within the digital sphere. However, while social media presents opportunities for enhanced communication and engagement, it also poses risks. Apuke and Tunca (2018) caution that its interactive nature holds the potential to exacerbate crises, as stakeholders can easily disseminate misinformation or negative sentiments. Additionally, Gambura and Apuke (2018) note that social media’s unique characteristic of making the public part of the crisis complicates traditional crisis management strategies. Unlike traditional media, social media allows for direct interaction and negotiation, blurring the lines between organizations and their stakeholders.

In conclusion, the emergence of social media has profoundly reshaped crisis communication practices, offering both unprecedented opportunities and complexities. While it empowers organizations to engage with stakeholders in real time and disseminate information rapidly, its interactive nature also introduces new challenges in managing and mitigating crises effectively. Therefore, navigating the social media landscape requires strategic communication approaches that leverage its potential while addressing its inherent risks.

The case of Patiswiss Chocolate serves as a significant lens through which to analyze the role of social media in crisis management. The CEO’s response to a consumer complaint, delivered individually, underscored the escalating tensions. Indeed, the CEO, in her response to an individual consumer’s complaint, emphasized the accusation of defamation against the consumer, stating, “If there was such a situation, you would ask for compensation. You have the giant MIGROS and us in front of you”.

Moreover, the pervasive influence of social media in amplifying and perpetuating crises became apparent. The reach of a single post, the transition of online trending topics into offline discussions, and the persistence of posts, even after their removal by the owner, were observed phenomena. The crisis snowballed as improper tax information about the company, images depicting worker protests, and previous posts by the CEO were disseminated by various news sources. These actions were aimed at bolstering and justifying the consumer reaction, further fueling the crisis’s escalation.

Consequently, the Patiswiss Chocolate case highlights the intricate interplay between individual actions, social media dynamics, and media coverage in shaping and amplifying crises. It underscores the importance of strategic crisis communication and the need for organizations to effectively navigate the digital landscape to mitigate reputational damage and foster stakeholder trust.

2.4. Crisis or an Issue

In the realm of organizational management, distinguishing between operational issues and crises is paramount for preserving the integrity and profitability of businesses. Operational issues encompass the day-to-day challenges encountered in the functioning of an organization, ranging from logistical hiccups to minor setbacks in production processes. These issues, though disruptive, are generally manageable through routine protocols and standard operating procedures. On the contrary, crises represent sudden and severe disruptions that have the potential to significantly impact a business’s stability, reputation, and profitability. Incidents such as cyberattacks, product failures, or viral social media videos can escalate into full-blown crises, posing enduring repercussions for companies if not effectively managed (Stūre, 2019).

Operational issues demand diligent attention and resolution to prevent their escalation into crises. Failure to address them adequately can exacerbate the situation, leading to more profound challenges that require extensive resources and damage control efforts. Crises, on the other hand, necessitate immediate and decisive action, often involving crisis management teams and specialized communication strategies (Stūre, 2019). Crisis management is a multifaceted process that requires continuous monitoring, innovation, and quick responses (Kuzmanova, 2016). It involves identifying potential threats, building resilience, and effectively restoring operational capabilities (Rao, 2021). Change stimulation, organizational balance, and continuous learning are crucial aspects of crisis management (Kuzmanova, 2016).

Moreover, effective crisis management requires the logic of technical and operational procedures to ensure a swift and coordinated response to major disruptions. Simplifying crisis management operations through the expertise of communication professionals within the workforce can streamline response efforts (Ghenaiet, 2020).

In the face of crises, timely and appropriate corporate responses are pivotal in rebuilding brand trust among consumers (Wang, 2016). Studies suggest that vulnerable reactions to social media criticism yield more favorable outcomes compared to defensive responses, highlighting the importance of adept crisis communication strategies (Xia, 2013).

In operational crisis management, containing damage is the primary principle, articulated by Stūre (2019). This principle emphasizes the importance of prioritizing efforts to prevent the exacerbation of existing issues before attempting to resolve them. By containing damage, organizations can mitigate the potential escalation of operational challenges into full-blown crises, thereby minimizing associated risks and preserving long-term stability.

In essence, recognizing the nuances between operational issues and crises and adopting a proactive approach to their management is essential for safeguarding a company’s bottom line and preserving its long-term viability. By addressing operational issues promptly and implementing robust crisis management protocols, organizations can navigate unforeseen disruptions effectively and emerge stronger in an increasingly volatile business environment.

Patiswiss Chocolate’s CEO initially demonstrated effective complaint management on social media by promptly responding to a complaint and personalizing her response from her personal account, adhering to two recognized elements in the literature. However, her defensive approach, including threats of legal action rather than acknowledging the issue, apologizing, and committing to an investigation, contradicts established practices in social media complaint management. Furthermore, her decision to remove the post wherein she threatened and belittled the customer backfired, triggering the Streisand effect. This led to increased negative reactions, as secondary posts in the blogosphere expanded the influence of the original incident. In the case of Patiswiss Chocolate, an operational issue arose when only one consumer initially expressed dissatisfaction with a moldy product. However, the CEO, rather than entrusting the matter to relevant departments such as customer relations, corporate communication, marketing, or quality assurance, personally addressed the situation in an inappropriate manner from her personal account. This response, characterized by language that belittled and threatened the consumer, exacerbated what could have been resolved through enhancements in customer satisfaction and quality control operations. Criticism not only targeted the CEO’s educational background and qualifications but also extended to the public sharing of documents, including those related to tax irregularities of the business. Switzerland-based Patiswiss AG, in efforts to protect its reputation and mitigate potential damage, clarified its lack of commercial ties with the brand and revealed its pursuit of a trademark protection infringement lawsuit against the brand in prior instances. Additionally, consumers urged retailers to cease the sale of the company’s products, leading to a rapid transformation of the company into an object of boycott.

In conclusion, the Patiswiss case serves as a cautionary tale, highlighting the critical importance of effectively managing operational issues to prevent their escalation into full-fledged crises. By recognizing the nuances between operational issues and crises and implementing proactive management strategies, organizations can safeguard their long-term viability in an ever-evolving business landscape.

3. Materials and Methods

This study presents a case analysis of the crisis trajectory experienced by the Patiswiss Chocolate brand, examining its progression from an operational challenge to a full-scale organizational crisis. By employing a qualitative case study methodology, this research offers an in-depth exploration of how a brand crisis unfolds in a digital environment and identifies the key factors contributing to its escalation. The utilization of case studies as a methodological approach within the social sciences is well-documented, with numerous studies highlighting their value in facilitating an in-depth examination of real-world events within their respective contexts (Baxter & Jack, 2015).

3.1. Case Selection and Rationale

The Patiswiss Chocolate crisis has been selected as a high-impact case in this study due to its rapid spread on social media, the involvement of corporate executives in public discourse, and its broader implications for crisis management in the digital era. This case provides critical insights into the role of executive communication, consumer activism, and media amplification in shaping public perception. The Streisand effect, in which attempts to suppress criticism can result in its unintended amplification, is a particularly salient factor in this case, making it a significant contribution to the field of crisis communication research (Zamani et al., 2015). In order to provide further clarification regarding the sequence of events and to support the rationale for the selection of cases, a detailed timeline outlining the progression of the crisis is provided in Appendix A. The following timeline provides a visual representation of the key developments that transpired between 14 and 23 April 2024. It is important to note the rapid escalation of the crisis and the pivotal turning points that contributed to its intensification.

3.2. Data Collection and Sources

To examine the Patiswiss Chocolate crisis in the context of real-time digital discourse, this study collected qualitative data from the X platform (formerly Twitter). Data collection was conducted over a two-week period, between 22 April 2024 and 5 May 2024, during which the brand became the focus of intense public attention. The search was performed using the following keywords and hashtags: #patiswiss, #elifasliyildiz, #patiswissceo, and #küflüçikolata, which were identified as central to the discourse surrounding the crisis.

To ensure the focus remained on authentic and organic public discourse, only original tweets were included, and retweets were excluded from the dataset. In addition, content from suspected bot accounts, duplicate tweets, and posts that only contained visual media without accompanying text were filtered out. From the resulting pool of relevant posts, the top 1000 tweets with the highest engagement, as measured by the number of likes, comments, and quote tweets, were selected for in-depth analysis.

The selected tweets were imported into Maxqda 2024 software for qualitative coding. The data were analyzed thematically using a tripartite analytical framework encompassing:

• Communication dynamics (e.g., tone, message delivery, and executive response);
• Ethical concerns (e.g., transparency, misleading claims, labor practices, and corporate governance);
• Marketing implications (e.g., consumer sentiment, trust erosion, and boycott mobilization).

This structured approach enabled a systematic exploration of the evolving crisis and its broader implications for brand reputation. By integrating high-engagement user content with thematically grounded analysis, this study captures the dynamic nature of digital brand crises and the social media mechanisms that fuel their escalation.

In the subsequent phase of analysis, representative tweets were selected under each thematic category to illustrate dominant narratives and recurring discursive patterns. The content analysis focused not only on the frequency but also on the rhetorical tone and contextual implications of user-generated content. Quotes were anonymized and thematically grouped under the categories of communication dynamics, ethical concerns, and marketing implications to ensure a nuanced understanding of stakeholder perspectives during the crisis.

3.3. Analytical Framework

The present study examines the crisis through three key dimensions, namely communication, ethics, and marketing. Firstly, the communication aspect focuses on how executive responses and corporate messaging have influenced public discourse, thereby shaping stakeholder perceptions and reactions. Secondly, the ethical dimension evaluates the brand’s corporate responsibility, transparency, and leadership credibility, taking into consideration the broader implications of the crisis on trust and corporate governance. Thirdly, the marketing perspective assesses consumer sentiment, brand positioning, and market reactions, highlighting how the crisis impacted brand equity and consumer engagement.

The multi-layered analytical approach adopted ensures a comprehensive understanding of crisis dynamics. This includes consideration of corporate responses and consumer agency in crisis amplification (Asselin & Parkins, 2009; Mortimer, 2008). The case study method facilitates an in-depth investigation of these complex relationships, thereby providing a rich contextual understanding of crisis evolution.

3.4. Methodological Considerations and Ethical Compliance

Given the exclusive reliance on publicly available content in this study, ethical approval was deemed not to be necessary. However, the ethical standards for research were adhered to, including the anonymization of user-generated content and the exclusion of any personally identifiable information. While social media data offer valuable real-time insights, it should be noted that it represents only a fraction of the available discourse. To achieve a more comprehensive understanding, further research incorporating internal corporate perspectives would be beneficial.

Whilst this study utilizes social media data exclusively, it is imperative to emphasize that the objective is not to verify the factual accuracy of the claims made by users, but rather to analyze how such claims influence public perception and drive crisis dynamics. The prevailing paradigm perceives social media content not as an objective repository of truth but rather as a reflection of consumer sentiment, discourse patterns, and digital activism. The decision to exclude internal corporate perspectives and to rely solely on public digital discourse was intentional and is acknowledged as a limitation. Nevertheless, this methodological approach permits a targeted examination of the manner in which public responses influence the progression of reputational crises in real time. It is recommended that future studies consider integrating corporate narratives in order to facilitate a more comprehensive understanding of organizational crisis responses.

4. Results1

4.1. “Do You Know That These Products Will Never Get Mouldy?”—Crisis Emergence and Communication Breakdown

The communication crisis that engendered a decline in the Patiswiss brand’s reputation commenced with an online post, signifying the onset of tumultuous times. Despite the resignation of the company’s CEO, the stormy waters remained unsettled. This study endeavors to delve into the intricate anatomy of the transformation process from an operational problem to a crisis necessitating management.

This study’s findings indicate that executive responses, social media, and consumer activism were pivotal in the crisis’s rapid propagation. Poor communication exacerbated public backlash, while ethical concerns regarding corporate governance fueled consumer mistrust. Digital engagement influenced perceptions of the brand. The subsequent sections examine the primary aspects of the crisis through the lenses of communication, ethics, and marketing.

4.2. “I Prefer to Resolve Challenges Individually”—Communication Failures and Organisational Response Deficiencies

The Patiswiss Chocolate brand has been selected as a case study due to its significant missteps in social media communication, despite its awareness of the influential role of social media in communication and the potential adverse consequences that may arise from it. The crisis, which was initiated by the CEO’s irresponsible communication, rapidly escalated into a global issue involving numerous stakeholders due to the failure of the quality department and other relevant departments, including customer relationship management, marketing, and corporate communication, to cooperate in resolving the operational issue. This crisis had the potential to reach millions of consumers and users, underscoring the importance of effective communication and collaboration within an organization to mitigate such issues.

It is contended that the Patiswiss brand acknowledges the potency of social media in mass communication, as evidenced by the CEO’s response, alleging the customer’s attempt to defame the brand. This acknowledgment signifies an awareness of the extensive reach and consequential impact on brand reputation that an individual’s social media content can wield. Furthermore, regarding the CEO’s remark, “You’re right, everyone needs us a lot to gain favor. Look at the people who write ‘rubbish’ and stuff like that” (CEO, pers. comm.); this statement suggests a dismissal of other user interactions while alluding to the legal process, indicative of an understanding of the potential harm such content could inflict upon the brand. We argue that Patiswiss Chocolate is aware of the power of social media in communication and its potential for influence because the CEO claims in his response that the customer is trying to defame the brand. The CEO’s acknowledgement that even a user with a modest following and thus limited potential impact can defame the brand through a single post serves as evidence of this awareness. Furthermore, his statement, “You are right, everyone needs us a lot to make a premium. Look at the people who write ‘rubbish’ or something like that”, suggests an underestimation of the impact of other user interactions. Recognizing the potential repercussions of such content and interactions on the brand, the CEO employs legal processes as a defensive strategy. The CEO’s condescending, arrogant, and threatening demeanor can be extrapolated to the brand’s personality, as he is the brand’s highest-ranking representative. It has been observed that consumers tend to associate the CEO’s conduct with the brand’s position, extending this association to products and retailers, leading to protests. The communication crisis on social media can be attributed to an inadequate delegation of authority within the brand. While the presence of mold in a product primarily concerns quality experts and other related departments, managing the communicational aspects of operational issues, such as marketing, customer relationship management, or corporate communication, necessitates their involvement in decision-making processes. However, responding to such concerns with statements like “these products will never get moldy, do you know that? Let’s say it’s true ☺ I think you should urgently look at the humidity level in your home” is disastrous. Upholding the belief in the product’s perfection and blaming consumers for mold issues without conducting thorough research on product quality, production, and other operations reflects outdated communication practices in the social media era. Furthermore, regarding, even a simple apology for the experience as excessive invites a crisis that has the potential to escalate rapidly.

As previously discussed, the pivotal role of social media in crises highlights the need for all brands to establish an effective crisis communication strategy that incorporates social media, as crises, while predictable, are often unavoidable. In this context, the brand’s corporate silence, failure to address allegations, and disregard for the issue on its social media platforms cannot be construed as strategic silence. Instead, it signifies a deficiency in the brand’s meticulously crafted crisis strategy. The CEO’s direct engagement with consumer-generated content, as opposed to the delegation of authority to others, is indicative of a brand’s inability to effectively handle crises. The perception of the brand during the crisis, as being akin to familial relationships found in magazine programs, serves as evidence of the brand’s deficiency in an effective and well-planned crisis communication strategy.

4.3. “I Read a Lot, I Read the Best of Everything. (…) I Have Become an Expert in Marketing, Branding”—The Ethical Dimension of the Crisis

The crisis, triggered by the CEO’s direct response to a consumer’s image of a moldy product shared with a limited number of followers and influence potential, escalated dramatically when users publicly shared secondary documents about the brand on social media. Consumers began to call for boycotts in response to the CEO’s arrogant and offensive behavior, requiring more than just evidence of mold to justify and reciprocate the call. These arguments were seen as ethically problematic because of their potential to deceive and mislead consumers, as well as providing an unfair competitive advantage.

The first allegation concerns Patiswiss Chocolate’s irregular tax practices. Consumers saw the tax payments, which were inconsistent with the company’s turnover and net profit, as a justification for the brand’s rapid growth in a short period of time. This growth was perceived as anomalous and irregular. Experts, including financial advisors, tax consultants, and economic analysts, produced additional videos explaining the situation and confirming that the brand had gained an unfair competitive advantage and was involved in irregular tax practices.

The second allegation revolves around the CEO’s purported Master’s degree in Industrial Engineering from Hacettepe University, which has come under scrutiny. While her LinkedIn profile states that she “completed the Master’s program in Industrial Engineering at Hacettepe University between 2011 and 2013”, information from Hacettepe University’s website contradicts this claim. According to the university’s records, the program in question began its academic term in 2012–2013, with its first graduate appearing in 2015. This discrepancy led to widespread comparisons between the information on the university’s website and the CEO’s LinkedIn statement, resulting in public skepticism about its veracity. As a result, the CEO decided to deactivate her LinkedIn account. As online discussions about this discrepancy continued, a faculty member at Hacettepe University’s Faculty of Engineering weighed in on the matter via his X account. He affirmed that the CEO’s claim was unfounded, stating: “We do not have such a graduate. This statement marked another crisis point for the brand”.

The third allegation concerned the company’s allegedly inappropriate labor policies towards its employees, which caused considerable controversy. Within a short space of time, images emerged on social media of workers protesting against the company, accompanied by banners highlighting grievances. The company’s employees were drawing attention to what they saw as the company’s unsatisfactory employment practices. In particular, when Patiswiss Chocolate reportedly refused to recognize the workers’ constitutional right to unionize, the workers staged a form of resistance. The CEO exacerbated the situation by posting offensive content on her social media accounts, including insults and defamation of the protesting workers. Although the CEO subsequently removed these posts during the February crisis, her presence on social media platforms remained active. On 6 February 2023, following two devastating earthquakes, a nationwide employment initiative was launched at the behest of the presidency to help those affected by the tremors. Many companies, including Patiswiss, adopted special employment policies and extended job opportunities to earthquake victims who had been forced to relocate and lost their livelihoods as a result of the disaster. However, to further exacerbate the ongoing crisis at Patiswiss Chocolate, social media users circulated news articles alleging the premature dismissal of these workers before they had completed one year of employment, with the aim of stirring up animosity against Patiswiss Chocolate. At the same time, banners carried by the affected workers with messages such as “Award for the boss who most innovatively exploits female workers”, “Award for the most disgusting PR of the year”, and “Award for the boss with the fastest social media rant” reached millions of users. Ultimately, Patiswiss Chocolate’s allegedly unlawful policies and unethical treatment of its workers sparked widespread outrage.

At this point, the CEO’s post on her social media account, sharing what she had recently read with her followers, reached more users during the crisis than it had initially. In the video, the CEO showed the books she had read and said: “I read a lot, I read the best of everything. (…) I have become an expert in marketing, in branding”. Her claim to have become an expert in marketing and branding contradicts the literature she claims to have consumed in the field. This was so much so, that while many ordinary social media users understand the importance of crafting each post to avoid potential negative consequences, the crisis and its detrimental effects initiated by someone who claims to be an expert in the field and justifies it with her readings on marketing, neuromarketing and brand management are in stark contrast. On the other hand, users ridiculed both the CEO and the brand by pointing out spelling mistakes in the CEO’s social media posts based on her claim to read a lot.

Overall, the crisis, instigated and exacerbated by the CEO’s leadership and escalated through social media interactions, caused significant damage to the brand’s reputation and image. An analysis of tweets generated using the brand’s hashtag revealed little positive content.

4.4. Do Not Trust Migros: Consumers and the Power of Social Media Against You—The Marketing Dimension of the Crisis: Marketing Implications and Consumer Activism

The CEO of Patiswiss Chocolate blamed the consumer for assuming the perfection of the product before any inspection of the allegedly moldy product. In making this accusation, she used language that demeaned and devalued the consumer by stating, “You are facing the giant MİGROS and us”. With this statement, which could be interpreted as “who are you to oppose the size of the two organizations involved in the issue?”, the CEO was in fact disappointed, while subtly seeking support from the retailer Migros. Contrary to the CEO’s expectations, Migros promptly removed Patiswiss-branded products from both its physical store shelves and virtual marketplace applications. This showed its support for the consumers and prevented the crisis from spreading to its own brand.

The withdrawal of products from sale went beyond the support offered to Migros-specific consumers in the form of ‘I am with you, I understand you, I share the same feelings’. Within a short space of time, users urged both physical and online retailers and distribution channels to stop selling Patiswiss products. They also called for a boycott of brands that sell Patiswiss Chocolate products. As a result, the crisis went beyond Patiswiss Chocolate’s internal problems and affected its business partners. Physical and online retailers responded quickly by removing Patiswiss Chocolate products from their shelves and platforms. Users also used photos and screenshots from both physical store shelves and online platforms to illustrate which brands were meeting consumer demands and which were not. This is a significant case of consumer activism, forcing brands to take sides: either in support of Patiswiss Chocolate, the focus of the crisis, or in favor of consumers. Withdrawing products from shelves may result in a short-term economic loss for the retailers, but it contributes to long-term relationship management for the company. This includes strengthening reputation management, avoiding crises, and promoting opportunities for interaction and engagement with consumers. However, some brands did not respond promptly to consumers’ demands, prompting users on social media platforms to call for a boycott of these brands. In addition, a minority of users complained about the unavailability of Patiswiss “healthy chocolate” products due to boycotts, claiming that companies removing these products from their distribution channels were limiting physical availability.

The declaration by social media users to refrain from purchasing Patiswiss Chocolate products, and even to boycott companies selling Patiswiss-branded products, effectively embodies consumer activism. By involving brands in this discourse, consumers are underlining their influence and determination. If this sentiment were to translate into actual consumer behavior, it is foreseeable that the brand could experience a decline in sales, market share, and revenue. It is clear that such consumer behavior, which has the potential to affect financial resources, has deeply shaken the brand’s trust, one of its most valuable assets. For example, shortly after the posts about moldy products appeared, consumers began sharing images of newly purchased or unpacked items that were not in good condition. For example, one user shared a photo of a box of chocolates received as an Eid gift, saying: “I thought it was my fault! I’m one of those who gave it away and was embarrassed…”. This tweet underlines the user’s unwavering confidence in the quality of the product, to the extent that he initially thought the problem was with himself rather than with the product.

It serves as an important reminder to brands that the trust they have painstakingly cultivated over the years is not permanent and is fragile enough to be shattered by a single social media post. As a result, like airport radar systems, it is imperative to constantly monitor the environment and remain vigilant. In the event of a potential crisis, it is crucial to formulate planned responses rather than succumbing to impulsiveness. This requires a well-structured crisis communication strategy and delegation of authority. Marketing goes beyond sales figures. In an ecosystem where each facet of the marketing mix produces different communicative outputs, a failure in one element can reverberate through other components and abruptly undo all marketing efforts. Moreover, if a flaw in one marketing element is vocalized by a significant number of people, it gains legitimacy rather than remaining an isolated issue.

The Patiswiss Chocolate crisis illustrates the immense influence of consumer activism in shaping brand responses and market dynamics. From the CEO’s initial impulsive response to the consumer who had an undesirable experience with the product, to consumer calls for boycotts and swift action by retailers, the case underscores the fragility of brand trust in the digital age and the need for proactive crisis management. Ultimately, it highlights the need for brands to prioritize consumer sentiment, remain vigilant in monitoring the social media landscape, and implement strategic crisis communications measures to protect their reputation and ensure long-term success.

5. Discussion

The present study contributes to the expanding corpus of literature on crisis communication, consumer activism, and social media dynamics by providing a detailed case analysis of the Patiswiss Chocolate crisis. The results underscore the significant role of executive communication in crisis amplification and highlight the consequences of dismissive and defensive responses to consumer complaints. This discussion contextualizes the findings within the framework of existing research and examines their broader implications for corporate crisis management strategies.

The results of the study align with the findings of previous research on the Streisand effect (Zamani et al., 2015), demonstrating that corporate attempts to suppress or refute consumer criticism on social media frequently result in its further amplification. The Patiswiss crisis serves to illustrate how a single consumer complaint, initially limited in reach, has the potential to escalate into a large-scale brand crisis when met with a reactionary and confrontational response. The findings of Morgeson et al. (2020) are consistent with those of this study in demonstrating that the rapid diffusion of user-generated content has the potential to shift the power dynamics in crisis communication, favoring consumers over corporations. The emergence of boycott movements and retailer withdrawals in response to consumer pressure further supports the notion that social media has become an influential tool for mobilizing collective action (Istanbulluoglu & Sakman, 2024).

The study under consideration here highlights the detrimental impact of poor executive communication on brand reputation, as previously demonstrated in the research of Hogreve et al. (2019). The present study builds on this earlier research by demonstrating that a lack of transparency, accountability, and consumer engagement exacerbates reputational damage. In the Patiswiss case, the CEO’s personal involvement in responding to a consumer complaint, coupled with an aggressive and dismissive tone, not only intensified negative consumer sentiment but also prompted investigative scrutiny into unrelated corporate practices. This finding is consistent with prior research on the erosion of corporate trust (Pullig et al., 2006), underscoring that crisis responses perceived as unethical or defensive can provoke widespread backlash.

Beyond the identified communication missteps, this study posits that ethical concerns significantly contributed to the escalation of the crisis. While the literature has established the importance of corporate ethics in brand trust (M. Solomon, 2015), this case illustrates how pre-existing organizational vulnerabilities, such as labor disputes, tax irregularities, and misleading claims, can become focal points of consumer activism when triggered by an initial crisis. The findings lend support to the argument that ethical misalignment between a brand and its consumers can erode long-term consumer loyalty (Kumar & Kaur, 2020; Mattila & Mount, 2003).

The present study serves to reinforce the notion that consumer activism exerts a discernible influence on brand reputation and market presence. The findings of this study are in alignment with those of Golmohammadi et al. (2021a), which demonstrate that when consumers collectively mobilize against perceived corporate wrongdoing, they are capable of influencing not only public discourse but also business operations, including distribution channels and retail partnerships. The rapid removal of Patiswiss products from major retailers serves to illustrate how brands must prioritize consumer sentiment in crisis management decisions. Furthermore, the case supports the view that consumer-led boycotts can extend beyond online spaces to influence real-world purchasing behavior (Xia, 2013).

These findings provide practical insights for crisis management, particularly in the digital age, emphasizing the necessity of preemptive crisis communication planning (Coombs, 2007) and reinforcing the value of adopting a consumer-centric approach. This study highlights that brands must integrate social media responsiveness into their corporate crisis strategies, ensuring that communication is managed by professional teams rather than individual executives. Furthermore, the results underscore the importance of ethical governance in mitigating crisis risks, as transparency and accountability remain key determinants of brand resilience in social media-driven crises.

Despite its contributions, this study has limitations; the analysis primarily relies on publicly available social media discourse, which limits access to internal corporate decision-making processes. Future research could incorporate interviews with corporate executives, employees, and consumers to provide a more holistic understanding of crisis management practices. Additionally, comparative analyses across different industries and cultural contexts could further refine crisis response strategies, offering insights into how varying regulatory environments and consumer expectations shape crisis outcomes.

This study’s findings provide empirical support for existing crisis communication theories while offering novel insights into the evolving role of social media in crisis escalation. By highlighting the interplay between executive communication, consumer activism, and ethical considerations, this study contributes to a more profound understanding of corporate crisis management in the digital era.

6. Conclusions

The Patiswiss Chocolate crisis serves as a compelling case study, illuminating the nexus between crisis communication, consumer activism, and ethical corporate governance in the digital age. This study not only reinforces established crisis communication theories but also unveils novel insights into the escalation of crises when corporate leaders fail to recognize the power dynamics of social media-driven discourse. This study calls into question long-standing assumptions about the management of crises, demonstrating that executive mismanagement in digital spaces does not merely exacerbate reputational damage but actively fuels new crisis trajectories by triggering deeper scrutiny of corporate practices.

A significant contribution of this study is the demonstration of how corporate silence, when misinterpreted as avoidance rather than strategic restraint, can intensify consumer backlash. Unlike conventional crises where institutional responses may de-escalate tensions, the real-time and interactive nature of social media demands a different approach, one that prioritizes engagement, accountability, and adaptability. The inability of Patiswiss to differentiate between operational issues and broader ethical concerns indicates that crisis resolution is no longer solely a matter of damage control, but rather an exercise in public trust restoration.

Moreover, the study under scrutiny here demonstrates the evolution of power dynamics between consumers and corporations, indicating that brand equity is no longer dictated exclusively by advertising strategies or product quality, but is increasingly shaped by the collective agency of digital communities. Consequently, consumer activism, once regarded as a secondary force in market behavior, has now emerged as a decisive factor in shaping business continuity and stakeholder relations. The widespread consumer-led boycott of Patiswiss products underscores that consumer trust, once lost, is difficult to regain, particularly in a landscape where information remains perpetually accessible.

A further salient finding of this research is the enduring impact of executive personas on brand perception, which is further compounded by the CEO’s personal communication style. This underscores the argument that corporate leaders must exercise caution in their public interactions, reinforcing the notion that, in an era where executives increasingly serve as brand representatives, their words and actions can blur the line between corporate and personal identity, heightening the stakes of crisis response.

This study synthesizes the findings, highlighting three interrelated analytical dimensions. Firstly, from a communication perspective, the CEO’s impulsive and dismissive tone served to amplify public backlash, thereby underscoring the risks associated with unfiltered executive discourse in digital environments. Secondly, from an ethical standpoint, accusations of misinformation, irregular governance practices, and labor exploitation have resulted in a deepening of public mistrust and a heightened scrutiny of the brand’s integrity. Thirdly, from a marketing perspective, there was a rapid deterioration in consumer sentiment, leading to boycotts, retailer withdrawal, and brand disassociation. This demonstrates how reputational crises extend beyond image and affect tangible business relationships. Collectively, these dimensions illustrate how seemingly isolated operational issues can escalate into multidimensional brand crises in the social media era.

Beyond its theoretical contributions, this study also has practical implications for crisis management strategies, underscoring the necessity for brands to establish robust crisis protocols that integrate both communication best practices and ethical governance principles. Furthermore, it demonstrates the risks of underestimating consumer intelligence, as modern digital audiences critically engage with corporate messaging and hold brands accountable for inconsistencies.

Future research should explore how crisis response strategies vary across industries and cultural contexts, particularly in understanding whether consumer activism manifests differently in regions with diverse regulatory landscapes. Moreover, further empirical investigation into the long-term reputational recovery of brands post-crisis would provide valuable insights into the sustainability of crisis management strategies.

Notwithstanding the contributions of this study, there are certain limitations that must be acknowledged. The analysis is predicated on the utilization of publicly available social media data, a limitation that arises from the restriction of access to internal corporate decision-making processes and the brand’s official crisis management strategies. Furthermore, as is common in social media research, it is not always possible to verify the factual accuracy of every user-generated post. Consequently, meticulous attention was devoted to interpreting the content within its context and cross-referencing claims with secondary sources wherever feasible. These limitations do not detract from the value of this study, but rather underscore the potential for future research to incorporate insider perspectives or mixed-method approaches.

In conclusion, the Patiswiss crisis serves as a cautionary tale, illustrating that in the digital age, brand resilience depends not only on the management of crises as they arise but also on the cultivation of transparency, ethical leadership, and proactive engagement long before crises emerge.