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© 2024 by the authors; licensee Eastern Centre of Science and Education, USA 

 

Asian Business Research Journal 
Vol. 9, 64-71, 2024 
ISSN: 2576-6759 
DOI: 10.55220/25766759.195 
© 2024 by the authors; licensee Eastern Centre of Science and Education, USA 

 
 

 

 
Analysis of Crisis Management Strategies for Cosmetic Brands: A Case Study of 
Florasis Incident 

 
Zi Yi Huang1  
An-Shin Shia2 
Huan Chen3 
 

 
 

1,2, 3Business School, Lingnan Normal University, Zhanjiang, Guangdong, China. 
Email: 2759209526@qq.com  
Email: 18875991570@qq.com  
Email: 13610394876@139.com  
( Corresponding Author) 
 

 
Abstract 

This study aims to analyze the impact of the new media environment on domestic cosmetics 
companies, explore crisis management strategies, identify issues in the crisis management process 
through survey data, and propose corresponding recommendations. The study uses the Florasis 
incident as a case to analyze the impact of new media, represented by social platforms and mobile 
media, on the consumer market of domestic cosmetics companies, including aspects of brand 
communication and consumer market, and summarizes the current crisis management strategies 
of domestic cosmetics companies in the new media context. Finally, through questionnaire survey 
data, the study reflects on the issues of crisis management strategies for domestic makeup brands 
in the new media environment and puts forward corresponding solutions. 

 
Keywords: (Cosmetics brand) Cosmetics brands (Brands), Crisis management, New media, Florasis. 
JEL Classification: M1; M10; G32; L66. 

 
1. Introduction 

With the rapid development of new media technologies, new media platforms represented by the internet and 
mobile media have penetrated every aspect of people's lives, profoundly impacting various fields of society. 
According to the "2023 China Cosmetics Yearbook," the market share of domestic beauty brands reached 50.4% in 
2023, with offline retail being the primary channel, accounting for 50.2%, followed by e-commerce platforms 
(49.6%) and short video platforms (42.3%) (Beauty sight, 2024). This marks the first time that domestic cosmetic 
brands have surpassed foreign cosmetic brands. This indicates that the color cosmetics products produced by 
Chinese brands (domestic cosmetics companies, hereinafter referred to as "companies") have gained a dominant 
position in the market competition, winning the trust and favor of consumers. As an important part of the local 
cosmetics industry, these companies have encountered unprecedented development opportunities against the 
backdrop of new media, while also facing numerous challenges. Among them, crisis management has become an 
important issue that companies must confront. 

In the new media environment, especially with the information dissemination represented by social platforms 
and mobile media, the speed is fast and the coverage is wide, which can make the occurrence and spread of crisis 
events more rapid and extensive. Due to a late start, companies often have a relatively weak brand influence. In the 
event of a crisis, they are more likely to face public scrutiny and attacks. Therefore, how to formulate effective crisis 
management strategies under the backdrop of new media, to respond to and handle crisis events in a timely 
manner, and to protect brand reputation and image has become an urgent issue for businesses to address. 

In recent years, the performance of companies in the market has become increasingly prominent, with many 
brands successfully shaping unique brand images through new media platforms, winning over consumer favor. 
However, there are also instances where some brands have suffered significant losses due to improper handling of 
crisis events. The Florasis (Cosmetics brand) incident is a typical case in point, which has triggered widespread 
attention and discussion, and also exposed the inadequacies of companies in crisis management. Based on this, this 
study focuses on the crisis management strategies of companies in the context of new media, using the Florasis 
incident as a case study for in-depth analysis. The aim is to reveal the current situation and issues of corporate 
crisis management in the new media environment and to propose targeted strategic recommendations. Through 
this research, it is expected to construct a robust and enduring crisis management system for companies in the era 
of new media, providing solid theoretical support and practical guidance, helping companies to navigate the 
complex and ever-changing market environment with stability. 

Nowadays, research related to crisis management. the academic and business communities are increasingly 
engaged in intense discussions about the concept and practical issues of crisis management, which has drawn 
widespread attention. Regarding the definition of crisis management, different scholars have provided various 
perspectives. 

Steven Fink (1989) emphasized that analyzing crisis issues is a prerequisite for crisis management. In his book 
"Crisis Management," he pointed out that crisis management involves actions such as predicting, resolving, 
analyzing, and preventing crisis factors. It encompasses various aspects including nature, law, politics, and more, 

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with the aim of systematically eliminating uncertainty and risk, allowing companies to better control their own 
development. 

Green (1992) focused more on the control after a crisis occurs, striving to minimize losses and regain control of 
the situation. 

Heath (1998) believes that crisis management is the ability to handle emergencies that could potentially harm 
the organization, aiming to help businesses overcome the psychological barriers presented by unpredictable events. 

Faulkner (2011) further proposed that crisis management includes two phases: before and after the outbreak of 
a crisis. It requires effective control and early warning before the crisis, and the implementation of proactive 
response strategies afterward. 

Both Jaques (2007) and Benoit (2017) emphasize that the core of crisis management is to effectively control the 
situation, mitigate losses, and effectively respond to potential risks. 

Additionally, scholars have also studied crisis management from the perspective of the crisis management 
process. For instance, Fred et al. (2019) pointed out that crisis management involves a series of measures or actions 
before and after a crisis occurs. These studies not only deepen our understanding of the concept of crisis 
management but also provide theoretical guidance for enterprises to deal with crises in practice. 

Chinese scholar Zeng (2014) conducted research on the measures that enterprises should take when facing 
product quality crises. He tends to correctly and scientifically apply the knowledge of crisis management theory to 
provide scientific and correct methods and tools for enterprises to quickly overcome the impact of the crisis. This 
enables effective crisis management activities, allowing the enterprise to successfully extricate itself from the crisis 
and gradually resume production and operations. 

Zhu (2018) pointed out that companies should establish a strong sense of crisis management in their daily 
operations. It is not wise to passively wait for a crisis to occur before responding. instead, they should maintain a 
high level of vigilance at all times to effectively prevent crises. In summary, enterprises should adopt a crisis 
management philosophy that prioritizes prevention, always staying alert to potential risks and challenges. 

Qiao (2022) tends to focus on constructive suggestions for corporate crisis management, such as establishing 
an early warning system for public opinion, setting up a crisis public relations team, and creating a database of 
crisis management cases. He believes that these measures will provide some reference and support for companies to 
carry out crisis management work. 

Sun (2023) believes that improvisation is a way for organizations to creatively use knowledge under time 
pressure, enabling them to respond quickly to crises, reduce internal analysis, decision-making, and reaction time, 
thereby enhancing the organization’s resilience and adaptability in crises. Therefore, scholars regard organizational 
improvisation as an effective method for dealing with emergencies, and strong improvisational capabilities are the 
prerequisite for a company’s continued survival and development in crises. 
 

2. Concepts and Theories 
2.1. New Media Related Concepts 

The characteristics of new media can be categorized into two types: technically, new media possess features 
such as digitalization, large capacity, trans-temporal and multimedia capabilities, and ease of retrieval; in terms of 
communication features, new media have characteristics like immediacy, interactivity, decentralization, 
personalization, communalization, and fragmentation (Yan, 2017). They utilize diverse channels and terminal 
devices to provide users with rich information and convenient services, while breaking away from the traditional 
media’s one-way communication model, enabling two-way or multi-way communication of information. This 
allows users to express their views and opinions and participate in the dissemination of information. New media can 
easily cross geographical boundaries, achieving the globalization of information dissemination. In a broad sense, 
new media encompasses the forms of media transformed by technological advancements and the use of existing 
carriers for information dissemination; in a narrow sense, it specifically refers to the new forms of media based on 
technological progress. 
 
2.2. Crisis Management Related Concepts 
2.2.1. The Concept of Corporate Crisis 

Crisis is a turning point that determines survival or demise. It signifies a crucial fork in the road, directly 
influencing the direction of events towards either positive or negative outcomes. Currently, due to varying research 
directions and perspectives, scholars both domestically and internationally have different understandings of this 
concept. 

Mitroff and Anagnos (2001) defines a crisis as a situation or state of uncertainty that arises when significant 
change is imminent. 

Heath (2001) believes that: “The time for crisis response is limited (or appears to be limited); decisions must be 
made immediately (under the constraint of limited time), information is unreliable or incomplete; the manpower 
and equipment needed to deal with the crisis may (or seem to) exceed what is actually available,” which is the 4R 
crisis management theory. 
 
2.2.2. The 4R Crisis Management Theory 

According to the natural process of crisis occurrence, development, climax, and resolution, many scholars have 
proposed cycle theories of crisis management, with the “stages” model being one of the most intuitive applications. 
The National Safety Council (NSC) developed Steven Fink’s (1989) four-stage crisis theory into four steps of crisis 
management from a management perspective, including mitigation, prevention, response, and recovery. 
Eventually, Robert Heath (2001) proposed that crisis management includes Reduction, Readiness, Response, and 
Recovery, abbreviated as 4R, which is one of the basic frameworks of crisis management and plays an important 
role in the practice of crisis management. 

Reduction management, as the top priority in crisis management, runs throughout the entire crisis handling 
process. The primary task in this stage is to implement targeted measures to contain public opinion crises and 
reduce their risks, thereby decreasing the likelihood of outbreaks and minimizing the frequency of actual crises. 

The core of readiness management lies in being fully prepared in advance for online public opinion crises, 
effectively eliminating the seeds of such crises, and achieving prevention before they occur (Zhu, 2023). 



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Response management refers to the response to crisis events. The focus of this part is on the emergency 
handling of crisis events, which requires the immediate activation of contingency plans, coordination of various 
forces, rapid dissemination of information, and containment of rumors. Managers should make scientific decisions, 
quickly contain the spread of the crisis, and avoid a chain reaction (Zhu, 2023). 

Recovery management, or post-crisis recovery and rebuilding, involves the corporate image reshaping. The 
core work in this stage is to deeply summarize the experience and lessons of this crisis management after the crisis 
is effectively controlled, conducting a comprehensive review to avoid similar crises from happening again. 
 

3. Materials and Methods 
This article uses survey research and case study methods to analyze the current state and impact of corporate 

crisis management under the background of new media, and summarizes crisis management strategies. At the same 
time, through questionnaire data collection and case analysis, the effectiveness and reflection of the Florasis crisis 
event are evaluated, in order to put forward corresponding suggestions for the overall crisis management of 
enterprises under the background of new media, and find a sustainable development plan. 
 
3.1. Florasis Crisis Incident 

“The price of 79 yuan is really not expensive, it’s hard for domestic products.” “Has your salary increased over 
the years, have you been working hard?” “Sometimes, find your own reasons.” The inappropriate comments in Li 
Jiaqi’s live broadcast studio sparked heated discussions among netizens. As the controversy continued to grow, 
topics such as Florasis, Li Jiaqi, and disrespect for consumers sequentially trended on social media. Li Jiaqi faced a 
boycott as a result, losing over a million followers. He subsequently apologized with tears in his live broadcast and 
on Weibo, but public opinion continued to simmer, and the Florasis brand was also affected, frequently criticized by 
netizens. 

After days of silence, the official Florasis account released an apology letter, expressing gratitude for the 
public’s attention to the brand and apologizing for the recent controversy. They committed to listening to 
consumer voices, striving to improve, and inheriting the beauty of the East. However, the public’s response on new 
media platforms was not positive. 
 
3.2. Questionnaire Design 

In this study, the content of the questionnaire was mainly designed based on the crisis management strategies 
of this case. The questionnaire consists of 15 questions, primarily targeting consumers of various age groups. It 
investigates the attributes of corporate consumers and their attitudes towards the company's response to crisis 
events; including the basic information of the respondents, their usage habits of the brand, their acceptance of 
information on new media platforms, their knowledge and evaluation of the brand, their views on the company's 
crisis public relations, their understanding of the risks faced by the company in the new media era, and their 
attitudes towards the company's development prospects. The survey questionnaire was released online through 
Wenjuanxing, and a total of 160 responses were collected, of which 4 were invalid, leaving 156 valid responses, 
with an effective response rate of 97.5%. 
 
3.3. Results 

After the data collection of this questionnaire was completed, through the analysis of the data, the attitudes of 
consumers towards the Florasis crisis incident and the inappropriate handling of the incident were identified, and 
some insights into the crisis management of the company brought about by the Florasis crisis incident were 
explored. 
 
3.3.1. Sample Attribute Analysis 

157 valid survey questionnaires were collected and combined with the researcher’s observations to summarize 
the characteristics, as detailed in Table 1. 
 

Table 1. Analysis of respondent information. 

Gender Option Number of people % 

Gender Male 34 21.66 
Female 123 78.34 

Age /Yars old Under 18 17 10.83 
19~25 121 77.07 
25~30 13 8.28 

Over 30 6 3.82 
Salary/ yuan Below 3000 86 54.78 

3000~6000 61 38.85 
6000~9000 8 5.1 
Above 9000 2 1.27 

 

Women have a greater interest in cosmetics: As shown in Table 1, the data indicates that among the survey 
participants, 21.66% are male and 78.34% are female. The gender differences among the survey participants can 
influence the level of attention and understanding towards cosmetic brands. 

The consumer age group is relatively young: As detailed in Table 1, among the survey participants, the age 
group of 19 to 25 years old accounts for 77.07%, the largest proportion; followed by consumers under 18 years old, 
accounting for 10% of the total; and finally, in descending order of proportion, are the age groups of 25 to 30 years 
old and above 30 years old, accounting for 8.28% and 3.82% respectively. In summary, the brand’s main consumer 
group is clearly inclined towards the younger generation. However, this may also result in a relatively narrow 
audience scope for the brand, with certain limitations. 

Consumers have a relatively low salary level: This study found that the salary level of the survey participants is 
mainly concentrated below 3000 yuan, with a high proportion of 54.78% in this range. The salary range following 
this is 3000-to-6000-yuan, accounting for 38.85%. Notably, there is a significant difference between the proportion 



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of salaries above 6000 yuan and that below 6000 yuan. This data reflects that the brand has a strong mass appeal, 
and its product prices align with the spending levels of the consumer group with an income below 6000 yuan. 
 
3.3.2. Analysis of Corporate Crisis Management Attitude 

The survey participants are detailed in Table 2. Those who think that Florasis handling of the current crisis is 
good or above account for a relatively small proportion, with a total of 22.93%; those who think the handling is 
average account for 51.59%; and those who think it is poor or below account for 25.48%. The total proportion of 
views that are average, poor, or below is relatively large. Therefore, based on the data analysis, it can be inferred 
that consumers are relatively dissatisfied with Huaxiz’s handling of this crisis event. 
 

Table 2. Investigation sample attitude analysis results. 

Name Option Frequency % Cumulative% 

Crisis public relations risk performance Outstanding 17 10.83 10.83 
Better 19 12.10 22.93 
Average 81 51.59 74.52 
Poor 24 15.29 89.81 
Extremely poor 16 10.19 100.00 

Total  157 100.0 100.0 

 
3.3.3. Cross-Analysis of Attributes and Survey Elements 

The survey questionnaire objects are detailed in Table 3. There are significant differences in the attention paid 
to brand spokespersons among consumers of different age groups. Young consumers under 18 years old show a 
certain level of interest and recognition towards brand spokespersons, accounting for 10.42%. The 19-25 age 
group, which is predominantly college students, has a high sensitivity to the use of new media platforms, resulting 
in a significant attention level to brand spokespersons of 83.33%, indicating the importance of spokespersons 
among consumers in this age group. To enhance attractiveness and recognition, brands should carefully select 
spokespersons that align with the preferences of young consumers. 
 

Table 3. Consumption stimulation factors and age analysis. 

Survey item Options Brand 
spokesperson 

Product 
price 

Live streaming marketing 
response 

Age group Under 18 years old 10.42% 11.38% 4.35% 

19~25 years old 83.33% 76.42% 78.26% 
25~30 years old 6.25% 7.32% 17.39% 

Over 30 years old 0.00% 4.88% 0.00% 

 
As shown in Table 3, the age group has a significant impact on the attention to product price. Consumers 

under 18 years old and those aged 19~25 years old show attention rates of 11.38% and 76.42% respectively, 
indicating a positive correlation between age increase and price sensitivity. Brands should pay special attention to 
the acceptance level of the primary target audience aged 19~25 years old when setting prices, while also 
considering the consumers under 18 years old. Consumers aged 25~30 years old also show a certain level of 
attention to price, and brands should develop a reasonable pricing strategy. Additionally, although the proportion 
of consumers over 30 years old is low, there is still a 4.88% attention rate to price, and brands should formulate 
detailed strategies for this market segment. 

There is also a certain degree of correlation between the attention to the effects of live streaming marketing 
and age groups. Among them, consumers aged 19~25 years old show the highest level of attention to live 
streaming marketing effects, reaching 78.26%, which also indicates that live streaming marketing is a very effective 
means of attracting consumers in this age group. 

In summary, the primary consumer group for brands is mainly concentrated among young people under 25 
years old. This group typically has active consumption habits, strong individualized needs, and a high sensitivity to 
new things. When choosing products, they often place more emphasis on the brand's image, reputation, and 
whether it resonates with their own values. The element of brand spokesperson, as an important factor stimulating 
their brand consumption, can have a direct and profound impact on the brand's reputation and market position 
when the brand faces a crisis event related to this factor. 
 
3.3.4. The Analysis of Age and Brand Crisis Management Elements 

According to the data shown in Table 4, the analysis of age and brand crisis management elements is as 
follows: 

“Strengthening Internal Training” The attention rate for “Strengthening Internal Training” is 4% among 
individuals under the age of 18, which then rises to 88.57% in the 19-25 age group. As age increases, the attention 
to this element seems to rise, but it drops back to 2.86% in both the 25-30 and over-30 age groups. This indicates 
that younger people relatively place more emphasis on the role of internal training in corporate brand crisis 
management. 

“Establishing a Comprehensive Risk Prevention Mechanism” The attention rate for “Establishing a 
Comprehensive Risk Prevention Mechanism” reached 8.20% among individuals under the age of 18, which then 
increased to 81.97% in the 19-25 age group, and subsequently decreased gradually in both the 25-30 and over 30 
age groups. This indicates that the corporate risk prevention mechanism is relatively important in the crisis 
management perceptions of the younger generation. 

The data for “Strengthening Communication with Consumers” shows that the 19-25 age group still has the 
largest proportion among the four age groups, reaching as high as 76.98%. However, the attention rate decreases 
to 8.73% in the 25-30 age group and further to 3.97% in the over 30 age group. This seems to indicate that younger 
people place a higher importance on communication with consumers. 
In the element of “Improving Product Quality”, the 19-25 age group still accounts for the largest proportion. 



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In summary, there are differences in the focus of different age groups on the elements of corporate brand crisis 
management, but as a whole, all age groups pay attention to elements such as internal training, risk prevention 
mechanisms, and communication with consumers. At the same time, the younger generation of consumers has a 
more diverse thinking about corporate crisis management strategies. 
 

Table 4. Age and brand crisis management element analysis. 

Options Under 18 19-25 25-30 Over 30 

A 5.71% 88.50% 2.86% 2.86% 
B 8.20% 81.90% 8.20% 1.64% 
C 10.32% 76.90% 8.73% 3.97% 
D 12.07% 76.70% 7.76% 3.45% 

 

4. Review and Deep Cause Analysis 
4.1. Inadequate Crisis Early Warning 

From the response of Florasis after a period of silence following the crisis, it can be seen that the occurrence of 
this crisis caught Florasis somewhat off guard. According to the data available, the majority of consumers have 
expressed dissatisfaction with the handling of this crisis, indicating that Florasis did not adequately prepare a crisis 
plan to deal with such situations. Regarding the inadequate crisis early warning by Florasis, it can be analyzed 
from the following three aspects. 

The anchor’s inappropriate remarks triggered this crisis. As a member of the company’s staff, it is evident that 
the company conducts minimal training on crisis awareness and response capabilities for its employees. 
Additionally, there is a lack of thorough understanding of the company’s values among employees and unclear 
positioning of the company’s products. Consequently, the inappropriate actions of an individual led to a public 
opinion crisis for the company, damaging its image. Data analysis shows that the main audience for the anchor and 
the company consists of the younger generation of consumers, who have active spending habits, strong individual 
needs, and high sensitivity to new things. However, the anchor’s inappropriate comments angered their main 
audience, indicating a need for improvement in the anchor’s professional skills and communication skills with the 
public. 

Brand Association. Since Jiaqi Li promoted products of the Florasis brand during the live broadcast, Florasis 
was also drawn into this crisis. The close association between the brand and the anchor caused the crisis to quickly 
spread to the brand level. 

Insufficient Preparation for Public Opinion Crisis. At the same time, from Florasis’s silent attitude during the 
crisis, it can be seen that the company had no plan to deal with the public opinion crisis, nor did it have an 
immediately actionable crisis early warning mechanism to contain the outbreak of the crisis, leading to the spread 
of the crisis and a series of chain reactions. Additionally, this silent attitude would make it more difficult for the 
company to communicate with consumers, leading consumers to mistakenly believe that the company implicitly 
agrees with the anchor’s inappropriate remarks and shares the same values, thus further damaging the company’s 
reputation. 
 
4.2. The Crisis Response was not Timely 

Based on data analysis and the course of the crisis, it is evident that a significant proportion of consumers are 
dissatisfied with the speed of Florasis’ response to the crisis. In terms of the implementation of specific measures, 
aside from an apology letter, Florasis did not take any subsequent remedial actions nor collaborate with other 
parties. This process reveals that the corporate managers of Florasis did not make scientific decisions, leading to 
the spread of the crisis and triggering a series of chain reactions. 

The anchor’s image is damaged. Jiaqi Li’s inappropriate remarks have caused serious damage to his personal 
image, with his once beloved “all girls” anchor persona collapsing instantly. A large number of fans and consumers 
have expressed their boycott and disappointment. 

The brand’s reputation has declined. Florasis has suffered significant reputational damage due to its association 
with Li Jiaqi, which may also lead to a crisis of consumer trust. Consumers have begun to question the quality of 
Florasis’ products, pricing strategies, and other aspects, severely impacting the brand’s image. This crisis event has 
also triggered a trust crisis in the live-streaming e-commerce industry. People are starting to doubt whether the 
anchors genuinely consider the interests of consumers, and they also question the value for money of products. As a 
result, consumers have become more cautious in their purchasing decisions related to live-streaming sales. 

Sales performance has slumped. Due to the dissatisfaction and boycott from consumers towards Jiaqi Li and 
Florasis, it is highly likely that both will experience a decline in sales performance. This not only affects the income 
of the anchor but also damages the brand’s market position. 

 Market share has been compressed. Due to the damage to the corporate image, the crisis of consumer trust 
will also escalate. In the process of Florasis’ crisis management, only the company itself spoke up in its defense, 
with no other companies coming forward to support it. This indicates that Florasis has few partners or lacks in-
depth cooperation with its partners. At this point, other companies in the same industry may take advantage of this 
crisis to unite and develop together, expanding their market share. This could potentially lead to a compression of 
Florasis’ market share. 
 
4.3. Improper Crisis Recovery Strategies 

Crisis recovery requires companies to restore and rebuild the damage caused by the crisis after experiencing it, 
including reshaping their corporate image. Additionally, after the crisis is under control, it is necessary to 
summarize and review the crisis to prevent similar crises in the future. However, after the crisis event, Florasis did 
not take any actions to appease the consumer group's dissatisfaction with this crisis, which may cause further 
damage to the company. 

In summary, although Florasis itself has the corporate vision of 'Promoting Eastern Beauty, creating a 
Century-old National Cosmetics Brand,' to ensure sustainable development of the company, it needs to actively 
implement crisis response measures, reshape the brand image, and at the same time, summarize and review the 
crisis to prevent its recurrence. 



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4.4. Inadequate Crisis Management 
In addressing the crisis caused by a streamer’s inappropriate remarks, Florasis can analyze the situation using 

the 4R crisis management framework, which includes Responsibility, Reparation, Rebuilding, and Reduction. 
Here’s a breakdown of each aspect: 

Reduction Management: Florasis responded slowly to the crisis, failing to implement targeted measures to 
contain it at its inception. This led to the outbreak and spread of the crisis, causing a chain reaction. The root cause 
of this crisis for Florasis was a streamer’s inappropriate remarks, which exacerbated the situation. It is evident that 
the company did not establish a rapid response mechanism in normal times, resulting in a slow reaction to the crisis 
and leaving the company unprepared when facing it. Moreover, the lack of construction and improvement of 
relevant crisis response mechanisms may lead to a significant increase in the frequency of corporate crises. 

Preparation Management: When the crisis occurred, Florasis was not adequately prepared for the public 
opinion crisis and failed to respond to the crisis in the first instance. Instead, it allowed public opinion to develop, 
which intensified consumer doubts and dissatisfaction. 

Response Management: After the crisis event, Florasis reacted slowly and did not actively respond to 
consumers’ doubts about the crisis. It also failed to communicate actively with consumers. Moreover, the process of 
handling the crisis was not made public, and the outcome of the handling was not known. Such a passive attitude 
and the lack of transparency in the handling process increased the public’s doubts and unease, causing the public 
opinion on the crisis to ferment even more. 

Recovery Management: After days of silence, Florasis issued an apology letter but did not take any subsequent 
actions to recover from the crisis. The letter promised to listen to consumer voices and commit to continuous self-
improvement, sending a positive signal of determination to the public. However, apart from releasing the apology 
letter, Florasis seemed to have not taken any other substantial measures to address the crisis. Data analysis 
indicates a high level of consumer dissatisfaction with Florasis’s crisis handling, suggesting that this action did not 
fully meet consumer expectations. Consumers’ doubts and dissatisfaction persist, undoubtedly exacerbating the 
damage to the company’s image. It is also noteworthy that in this crisis, neither competitors nor companies from 
other industries came forward to explain or support Florasis. This reflects that Florasis does not have close 
cooperative relationships with other companies in its daily operations, lacking sufficient industry support and allies. 
Therefore, Florasis’s performance in crisis management still needs to be strengthened and improved. 
 

5. Discussion 
Based on the aforementioned research findings, this section will present a review and in-depth analysis of the 

underlying causes, followed by discussions and recommendations. 
 
5.1. Reducing the Frequency of Crisis Outbreaks at the Source 

Crisis reduction, as a crucial step in the crisis management process, requires companies to implement a series of 
targeted measures. These actions aim to contain the emergence of public opinion crises or mitigate their potential 
risks. By addressing issues at their source, the likelihood of public opinion crises erupting can be significantly 
diminished, thereby reducing the actual frequency of crisis occurrences. 

Establish a rapid response mechanism: Companies should establish a dedicated crisis management team, which 
includes setting up a specialized crisis handling team, formulating detailed crisis response plans, and strengthening 
communication and cooperation with the media. This ensures the ability to respond swiftly to crisis events, 
reducing the time for negative impacts to spread. 

Strengthen internal training: Companies should regularly train employees on crisis awareness and response 
capabilities, ensuring that employees understand the brand's values and avoid crises caused by personal 
inappropriate actions or words. The occurrence of the Florasis crisis, to some extent, was due to the anchor's 
unclear understanding of the company's product positioning, as well as insufficient sensitivity to crisis awareness 
and crisis response capabilities, leading to inappropriate remarks. Therefore, when selecting and managing 
partners, brands should exercise greater caution to ensure that the partners' actions and words align with the 
brand's values. Simultaneously, strict management and constraints should be imposed on the actions and words of 
partners to prevent crises similar to the Florasis incident from happening again. 
5.2. Establish an Effective Early Warning System for Public Opinion Crises 

The core of crisis early warning lies in being fully prepared in advance, thereby effectively eliminating the 
seeds of crisis. Based on the Florasis crisis, companies should establish a comprehensive early warning and 
monitoring system in their preparatory management, enabling real-time monitoring and early warning of potential 
crises. This includes the collection and analysis of key information such as product quality, market dynamics, and 
consumer feedback, to promptly identify and respond to potential crises. Additionally, companies should develop 
detailed crisis response plans, clarifying the responsibilities and action steps for employees at all levels, ensuring 
the ability to respond swiftly and effectively when a crisis occurs. This can be specifically divided into two aspects. 

Develop a crisis response plan: Develop detailed response plans for potential crisis situations, including 
communication strategies during a crisis, media handling, and consumer relationship maintenance. 

Establish a crisis early warning system: By monitoring social media, news reports, and other channels, detect 
information that may trigger a crisis in a timely manner, and provide early warning and intervention. 
 
5.3. Respond Swiftly When a Crisis Occurs 

Crisis response requires companies to act swiftly in the face of sudden crises. At the same time, it demands that 
corporate managers make scientific decisions and take urgent measures to address the crisis through the activation 
of contingency plans, thereby preventing the crisis from spreading and causing a chain reaction. It is not difficult to 
see from Florasis's handling of corporate crisis events that, although from the company's perspective, a delayed 
response may provide some time and space to refine crisis response strategies, the speed of crisis management and 
consumers' attitudes towards the company are both key factors affecting the company's reputation. Therefore, 
when dealing with a crisis, companies must closely monitor changes in consumers' emotions and attitude trends. 
On this basis, companies should actively explore and optimize crisis management methods, which mainly include 
the following important aspects. 



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Timely and Public Apology: Once a crisis occurs, the company needs to swiftly and transparently communicate 
information, ensuring that consumers can obtain accurate and comprehensive information at the earliest time. An 
apology statement should be issued through official channels to reduce misunderstandings and doubts. At the same 
time, a sincere apology for the crisis should be made to prevent the situation from worsening. 

Actively Communicate with Consumers: Proactively communicate with affected consumers, understand their 
demands and dissatisfaction, and actively seek solutions to demonstrate the brand's sense of responsibility. As 
indicated by the survey data mentioned earlier, the company's consumer base is predominantly the younger 
generation, with a higher proportion of female consumers. Therefore, the company should pay more attention to 
the details of communication and interaction with consumers, actively listen to their voices, respond to their 
concerns, and timely understand consumer needs and feedback. Through sincere communication, the company can 
rebuild consumer trust. 

Transparent Processing: Transparency in the handling process is of vital importance in the management of crisis 
events. When a company faces a crisis, how it handles the situation properly and communicates effectively to the 
public becomes a crucial standard for measuring the company's response capabilities. Maintaining a high degree of 
transparency throughout this process is extremely critical. This not only means that the brand needs to timely and 
accurately disclose relevant information, but it also requires the brand to maintain close communication with the 
public throughout the entire process of handling the crisis, providing timely updates on progress. 

Therefore, for companies, during the process of dealing with a crisis, it is necessary to respond swiftly to the 
crisis and take relevant emergency measures, while also maintaining transparency in crisis management. This 
ensures the timely disclosure of information and the smooth flow of communication, in order to uphold the 
company's reputation and maintain consumer trust. 
 
5.4. Ensure Effective Crisis Recovery and Prevent the Recurrence of Crises 

Crisis recovery requires companies to reshape their image and conduct a post-mortem analysis of the crisis to 
prevent future occurrences. Specifically, the following three aspects can be analyzed for companies during the crisis 
recovery period. 

Repairing the brand image. As an authentic Chinese brand, the company should pay more attention to the 
dissemination of brand values and the exploration of cultural connotations. At this stage, it is more important to 
use new media platforms to enhance the brand image and market competitiveness by telling Chinese stories well 
and promoting the strength of domestic products. Meanwhile, use new media platforms as a basis to document 
corporate public welfare activities, corporate story dissemination, and other processes. This will help repair the 
damaged corporate image and increase consumer trust in the brand. 

Strengthening product quality and service. After experiencing a crisis, consumers' attention to the company will 
continue to rise, but their desire to consume may be suppressed by the crisis. At the same time, cost-performance 
ratio and product quality may become important factors for companies to break through consumers' "crisis 
shadow." In response, companies should reflect deeply and take action, investing more effort and resources into 
improving product quality and customer service. They should strictly control the production process to ensure that 
every step meets quality standards, thereby providing consumers with safe and reliable products. 

Deepening partner relationships. Business partners are an important support for corporate development, as they 
share market resources and face market challenges together with the company. After a crisis occurs, the company 
should value its relationships with partners even more, maintaining close communication and cooperation. 
Together, they should analyze the causes and impacts of the crisis, actively seek strategies to address the crisis in 
collaboration with partners, and jointly maintain the brand image and market position. This approach is also 
beneficial for expanding the brand's influence and market share. 
 
 
 
 
5.5. Enhancing the Company’S Overall Crisis Management Capabilities 

Stick to brand values. Throughout the crisis management process, the brand should always adhere to its core 
values, ensuring consistency between words and actions, and avoiding exacerbating the crisis due to improper 
handling. 

Innovate marketing strategies. By adopting innovative marketing strategies, attract more consumer attention to 
the brand, and enhance brand awareness and reputation. 

Focus on industry trends and consumer needs. Promptly adjust product and market strategies to meet consumer 
demands and enhance brand competitiveness. 
 
5.6. Research Significance 

Theoretical Significance: This study explores corporate crisis management strategies in the context of new 
media, which contributes to enriching and perfecting the theoretical system of corporate risk management. It 
enhances corporate crisis public relations capabilities in the new media environment and holds important 
theoretical significance for promoting the sustainable development of enterprises. 

Practical Significance: This research introduces the common risk management strategies and existing problems 
in the industry through the analysis of crisis public relations events in hot-topic companies. It helps to gain a 
clearer understanding of the consumption needs of various target consumer groups and to deeply comprehend the 
challenges and dilemmas faced by companies in risk management, thereby proposing targeted improvement 
measures. For instance, it can suggest that brands strengthen the construction of risk early warning and response 
mechanisms to improve their reaction speed and response capabilities in the event of a crisis. At the same time, it 
can also encourage brands to actively engage with consumers in the new media environment, enhancing brand 
transparency and affinity. Therefore, this research plays a significant guiding role for enterprises to achieve robust 
and sustainable development in the new media environment. 
 
 
 



Asian Business Research Journal, 2024, 9: 64-71 

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6. Conclusion and Prospects 
6.1. Conclusion 

In the context of new media, the challenges of crisis management that companies face are increasingly 
intensifying. Taking the Florasis incident as a case study, this research delves into the strategies and response 
mechanisms of companies in crisis management. The Florasis incident, as a microcosm of corporate crises, 
highlights the complexity and importance of brand crisis management in the new media environment. 

Through a detailed analysis of the Florasis incident, this study finds that the speed and strategic choices of the 
brand's response after a crisis occur play a crucial role in crisis resolution. On one hand, the brand needs to respond 
swiftly and accurately to consumer concerns, demonstrating transparency and a sense of responsibility. On the 
other hand, the brand also needs to actively take remedial measures to repair the damaged brand image and rebuild 
consumer trust. 

However, this study also notes that crisis response alone is not sufficient to fully address the issues. Companies 
need to strengthen product quality control and internal management from the source, enhance the brand's core 
competitiveness, and fundamentally reduce the likelihood of crises occurring. At the same time, the brand needs to 
establish a long-term crisis management mechanism that includes crisis early warning, crisis response, and post-
crisis evaluation, among other steps, to deal with potential crises that may arise in the future. 
 
6.2. Prospects 

Looking forward, corporate crisis management in the new media environment will face more new challenges 
and opportunities. With the widespread use of social media and the increased engagement of consumers, the speed 
and impact of brand crises will further intensify. Therefore, companies need to pay more attention to crisis 
management and enhance their ability and efficiency in crisis response. 

On one hand, brands need to continuously learn from and draw on the crisis management experiences of 
outstanding domestic and international brands, and form crisis management strategies with their own 
characteristics based on their actual situations. On the other hand, brands also need to strengthen cooperation with 
new media, leveraging its advantages to better communicate and interact with consumers, promptly understand 
and respond to consumer needs and concerns, and enhance the brand's reputation and influence. 

In addition, companies should also focus on innovation and research and development, continuously 
improving the quality and competitiveness of their products to meet the growing needs of consumers. At the same 
time, brands need to strengthen internal management, improve the quality and capabilities of employees, and lay a 
solid foundation for the long-term development of the brand. 

In summary, corporate crisis management in the new media environment is a complex and important issue. 
Through in-depth and detailed research, this study believes that companies will be able to more calmly address 
crisis challenges and achieve robust and sustainable development over the long term. 
 

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