Strategic Defense Against Misinformation: Empirical Findings on Paracrisis Responses

This study provides a comprehensive understanding of how companies address reputational risks posed by the increasing spread of online misinformation. Employing an empirical approach, the research draws on the results of an in-depth longitudinal multiple-case study conducted from 2019 to 2023. The data were collected through media monitoring, social media descriptive analysis, analysis of internal documents and interviews with managers and their colleagues who have experienced misinformation paracrises. The findings reveal the response strategies employed during misinformation paracrises and the factors influencing managers' decisions regarding strategy selection and modification. Key aspects such as breaking points in paracrises, post-paracrisis actions, and the communication goals of companies in defending their reputations are highlighted. The study identifies several effective communication tactics for countering corporate rumors, including deliberate silence, legal actions, debunking, media outreach, humour, and employee management. Additionally, it introduces a decision tree as a practical tool for managers navigating these challenges. This research contributes empirical evidence and an insider perspective, thereby offering practical recommendations through the presentation of lived experiences drawn from five European companies.