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How much does a scandal affect a brand?

Tory Maguire

by Tory Maguire

18 Jun 11:39am

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Filed under: Business, David Jones, Mark Mcinnes

29 comments

David Jones is reeling this morning after Chief Executive Mark McInnes quit after a 25-year-old female employee made a complaint about his conduct at a company function.

Former DJs CEO Mark McInness has reportedly left Australia

The Board is currently conducting a long, and amazingly frank, press conference, where Chairman Bob Savage has addressed the issue of what impact the scandal might have on the venerable David Jones brand.

Mr Savage says the David Jones name has been around since 1838 and its retail reputation was unlikely to be shaken. Would a harrassment scandal like this make you less likely to shop at the department store chain?

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29 comments

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    • stephen says:

      11:59am | 18/06/10

      No.
      But only if DJ’s doesn’t grovel.
      Mr. McInnes made a mistake, and he’s gone. That’s it.

      Reply

    • Robert S McCormic says:

      12:27pm | 18/06/10

      Naughty, naughty, Mark! He’s not the first male,nor certainly the first female, executive to have behaved inappropriately and he won’t be the last! We really are becoming a bunch of pathetic, over-sensitive wimps! People do things at functions and parties which the next morning they regret. Big deal! On more than two occasions I have had senior female executives come on to me and grab my “private equipment” at various functions. I simply smacked, very hard, their hands away. There was nothing they could do and they always had the grace to apologise the next day. End of story. Grow up, boys and girls! There are always two sides to thes stories and we can only wonder, if we could be bothered, as to how much encouragement was given!

    • iansand says:

      12:23pm | 18/06/10

      What sort of bizarre mind would decide not to shop at a place because of the behaviour of a CEO?  Madness.

      Reply

    • Ken says:

      01:28pm | 18/06/10

      I think if you look below, you will see that Nicole has just that “bizarre mind”. Unbelievable.

    • Nicole says:

      01:04pm | 18/06/10

      Well, I for one suddenly don’t feel so comfortable trying on the lovely Veronika Maine dress my mother bought me from David Jones yesterday….

      Reply

    • Nicole says:

      02:34pm | 18/06/10

      @Nicole
      My mother bought me a lovely frying pan from Target the other day, wanna swap?

    • Robert S McCormick says:

      02:42pm | 18/06/10

      Come on, Nicole! As the shop assistant in the department where your Veronika Maine dress came from is probably a female so unless….... then you are going to be quite safe. Remember this alleged “outrage” was committed at a function where there will, as there alway is, alcohol will be served. CEOs of big companies rarely, if ever, are actually serving on the shop floor. By the way, just who is Veronika Maine?

    • nosthow says:

      01:07pm | 18/06/10

      No it would not make me stop shopping in DJ’s Tory provided the company took some action against the offender , which in this case they have in spades. We also see the BP brand name badly tarnished over the massive and unstopped oil spill in the US. O’Bama should put out an all points bulletin asking anyone anywhere in the world can they fix the leak - obviously BP has no idea how to ! I remember a guy called Red Adair used to go all round the world plugging fires in oil wells but hes dead now. Must be someone who knows what to do ?

      Reply

    • Ken says:

      01:09pm | 18/06/10

      The two things are totally unconnected. Silly question really.

      Reply

    • Andrew says:

      01:23pm | 18/06/10

      You sure this guy didn’t just freak out because there were trendily dressed ninjas on the wall behind him ready to pounce?

      Reply

    • marley says:

      01:34pm | 18/06/10

      I think calling this a “scandal” is a bit of an overstatement. Very poor judgement on the part of the boss, for which he’s been duly punished - but hardly a scandal.  If you want a scandal, look at the behaviour of the entire board of James Hardie.  That’s a scandal.

      Reply

    • Rob r Charteris says:

      02:14pm | 18/06/10

      Tors; Loved the picture above, even the workers have gone to the wall.

      Nicole; What did Veronika Maine do???

      Reply

    • Analyst says:

      02:25pm | 18/06/10

      It’s not so much about whether public perception about shopping there will change.

      It’s more about who is the next Chief Executive? How competent will they be? What direction will they take the store? Will this new possible direction be able to compete in a very fierce marketplace? etc

      The sharemarket does not like uncertainty and will dump a stock if it feels that the company might not perform as expected.

      Reply

    • Cathz0r says:

      03:34pm | 18/06/10

      I’m pretty sure it’s not going to affect any sales.. I mean really, everyone makes mistakes and McInnes has to pay a bigger price than the rest of us because the amount of responsibility he took on as CEO..

      Reply

    • Bruce says:

      04:14pm | 18/06/10

      I would actually like to know what the CEO did ?

      Reply

    • Sam Chowder says:

      04:47pm | 18/06/10

      I think the real scandal is how he got away with nailing people to walls

      Reply

    • Ashley says:

      05:45pm | 18/06/10

      You only have to walk in the door of any David Jones store and observe their employees to realise they have a toxic workplace culture. What happens at the top is usually a reflection of what happening below.

      Reply

    • pavlo says:

      11:40pm | 18/06/10

      @Ashley.
      No, it’s actually the other way around - what happens below is a reflection of what is happening at the top. Why would those at the bottom have a more powerful influence over company policies and work place culture than the management? The buck stops with those at the top.

    • Jimmy says:

      04:17am | 19/06/10

      @Ashley. At least at David Jones you can always find a staff member (no pun intended) - they are always in groups ralking to each other!

    • Ashley says:

      04:00pm | 19/06/10

      @ Pavlo

      What I mean is that people in high positions are responsible for setting the standard of behaviour benchmark within a company. If the senior management isn’t acting appropriately you’re sure enough to discover many of those below them aren’t either (that’s what I meant by ‘What happens at the top is usually a reflection of what’s happening below). And you can have enough policies, rules etc… yet unless there are people clearly setting an example of the policies and rules in action, others won’t follow.

    • martinX says:

      11:03pm | 18/06/10

      When I heard the “outrage”, I figured it must be a quiet news day.

      Reply

    • Ziggy says:

      04:19am | 19/06/10

      His departure will make absolutely no difference - except to spare the female staff from harrassment.

      Reply

    • Alosia says:

      09:09am | 19/06/10

      DJ’S will continue with or without this man, alot of these execs get a bit of power and think the world is theirs. After all how could any woman resist their charms and not to mention money? They just don’t get it, that women or men won’t all fall at their feet. The mining execs seem to me to be as bad, they have a few bux and think we will all agree with them. Some people can’t be bought!!

      Reply

    • Jen says:

      10:31am | 19/06/10

      Nah!  Not enough scandal to stand between me and a good DJ’s sale.  I have managed to (winter) dress my kids in high end clothing at a moderate price.  Just for the record;- the staff and customer service at the Newcastle store are good enough for me!

      Reply

    • Anjuli says:

      12:54pm | 19/06/10

      It did not harm Clinton ,no matter what happens the female always gets blamed, in this case not yet but give it time.

      Reply

    • Eric says:

      10:52am | 20/06/10

      So even when the man gets blamed and loses his job, as in this case, you still think it’s the female getting blamed?

      What an odd world you must live in.

    • thrill says:

      11:26am | 20/06/10

      at least he actually got fired. there are plenty of places where the employee gets the boot instead. also, have been in places where many females have encouraged this sort of stuff, only to report sexual harassement when they didnt get what they wanted.. so, dont call blokes sleazes, there plenty of women who are far worse, but hide behind the ‘victim’ female card

      Reply

    • Eva says:

      10:33am | 21/06/10

      Err, it’s not a scandal. It’s a crime according to the workplace laws of this country.

      And I would never shop in David Jones. What an over-priced, indulgent rort. I’m a Vinnies girl through and through.

      Reply

    • controversy says:

      03:28pm | 05/08/10

      Come on guys! do you honestly think it was Alannah Hill who theyre referring to as the ‘brunette’, the answer is under your nose- it is Megan Gale. Miranda Kerr did a no show at DJs fashion night because she didnt want to be apart of the scandal news or associate her name to David Jones, hence, her publicity team stating she is pregnant to get out her agreement to model at David Jones. The truth is bigger than you think…

      Reply
 
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drpiotrowski 25 May 13 12:59PM

RT @adamroy37: Just received a phone call from a young girl apologizing for her actions. Lets support her please #racismitstopswithme#Indi…

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_Tors 25 May 13 12:42PM

RT @adamroy37: Just received a phone call from a young girl apologizing for her actions. Lets support her please #racismitstopswithme#Indi…

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Australia. Where you die for your country and get a rest area named after you http://t.co/hO6LpfwDvI

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