Deutsche Bank Research: “Neem blogs serieus!”

“Blogs achieve a mass-media effect through:

The pronounced network effect that is generated through these mechanisms enables individuals to reach a broad public and, ideally, the traditional mass media ? a channel that so far has been reserved mainly for journalists and public figures.”

“Substantial reputational risks

The record shows that if blogs are ignored or if responses to bloggers’ statements take the wrong approach an entity’s reputation might be put at risk. The risks will grow with the increasing use of blogs. In the USA, bloggers have already triggered several real scandals. For example, CBS anchorman Dan Rather was compelled to step down by the blogging community because he ran a report based on false documents. And a maker of bicycle locks suffered a massive blow to its image when it had to recall products with a total value of USD 10m. The company did not take action until after a video on one of its locks was circulated in the blogosphere.”