Case Facts
Crisis Communication
Philanthropy, CSR & Stakeholders
PAARI
100

What product was at the center of the controversy involving Chiara Ferragni and Balocco?

Pandoro Pink Christmas.

100

How did Ferragni initially respond to the AGCM’s decision on Instagram Stories?

She said she thought the decision was unfair. 


100

Before the Pandoro controversy, how much did Ferragni help raise through a GoFundMe campaign supporting hospitals and associations?

€17 million.

100

What is the difference between a case fact and a problem statement in PAARI?

A case fact describes something that happened, while the problem statement identifies the central issue or challenge that needs to be addressed.

200

Which hospital was supposed to benefit from the Pandoro Pink Christmas campaign?

Regina Margherita Hospital.

200

What did Ferragni post shortly after her initial reaction to the AGCM decision?

An apology video on Instagram

200

Name one charitable cause Ferragni supported before the Pandoro controversy besides COVID-19 relief.

families affected by autism and disabilities OR anti-cyberbullying associations. W42567_pws (1)


200

Why is summarizing case facts alone not enough for the Analysis section of PAARI?

Analysis should explain why the case facts matter and how they connect to the problem, rather than simply repeating what happened. It should also elaborate on the root causes and symptoms of the issue.

300

What did the AGCM discover about Balocco’s donation to the hospital?

Balocco had made the donation before the campaign launched, and no additional proceeds from sales went to the hospital

300

Ferragni disabled comments on her social media in an effort to contain negativity. What is one potential advantage and one potential disadvantage of this response during a reputational crisis?

Advantage: it could limit the immediate spread of negative comments on her own platform. Disadvantage: it could reduce opportunities for dialogue with stakeholders or be perceived as avoiding criticism.

300

Name the major commercial partners identified in the case that withdrew from Ferragni’s brand following the backlash.

Coca-Cola Company and Safilo Group S.p.A.

300

Two alternatives address the same problem, but one is easier to implement while the other addresses the root cause more directly. What should you do before choosing between them?

Evaluate the advantages and disadvantages of each alternative using relevant case facts and consider how effectively each addresses the problem.

400

How much was Ferragni fined for misleading advertising and unfair commercial practices?

€1.49 million.

400

Ferragni’s response included an apology and a €1 million donation. What alternative communication approach could she have considered to demonstrate accountability to stakeholders?

A more detailed public statement addressing what happened, direct communication with affected stakeholders, greater transparency about the charitable campaign, or ongoing updates about corrective actions.

400

What two qualities does the case emphasize as particularly important in digital marketing and CSR campaigns?

Transparency and authenticity.

400

How should the Recommendation section go beyond repeating the chosen alternative?

It should justify why that alternative should be selected by connecting the recommendation back to the analysis and relevant case evidence. Putting the two alternatives side by side.

500

What two actions did Ferragni take in July 2024 to resolve disputes related to her charitable promotions?

She withdrew her appeal regarding the AGCM fines and agreed to a €1.2 million donation related to the Easter egg promotion.

500

Ferragni initially called the AGCM decision unfair but shortly afterward issued a public apology. How could these two messages affect the consistency and credibility of her crisis communication?

The shift could create inconsistent messaging about whether she accepted responsibility, potentially making the later apology less convincing to some stakeholders.

500

Ferragni had a history of successful charitable initiatives before the Pandoro controversy. Why does that history create an important consideration when deciding whether philanthropy should remain part of her brand strategy?

Her previous charitable initiatives had contributed positively to her reputation, so the Pandoro controversy does not necessarily show that philanthropy itself was always unsuccessful; it raises questions about how charitable campaigns are structured, communicated, and verified.

500

What details should an effective Implementation section include to show that a recommendation is realistic and actionable?

I should include specific actions, who is responsible for carrying them out, how they will be completed, and a realistic timeline for implementation.