The role of crisis communication in mitigating \mobitelea saga \ in Safaricom IPO.
Abstract
This project represents empirical facts on the relationship between crisis communication strategies,
their effect on a successful Initial Public Offer (IPO) and discourses about perception attitude and knowledge
levels of investors. Corporate communications have become significant assets of any hence worthy being
researched on. Although the scope of this research is largely limited to communication strategies it also offers an
interdisciplinary inquiry covering legal issues, fundamentals of investment, historical backgrounds of Safaricom
other Telecommunications companies and political transformations in post election Kenya (2007-2008). During
the study three groups of respondents were interviewed. These were the general publics that bought safaricom
shares & safaricom employees (retail investors)T the institutional investors and key informant (GINADIN
communications Manager.) The study confirmed that Safaricom used crisis communication strategies during the
Mobitelea saga and these contributed to the over subscription during the lPO. The study also established that there
is a complicated nexus between effects of crises communication strategies on institutional investors and retail
investors. The evidence elicited by this study led to recommendations such as companies putting in place crisis
communication strategies whenever there is negative publicity about the company. These strategies should first be
directed to the internal publics who act as frontline communicators' then to the external publics. Given the
findings and recommendations I believe my research will contribute to both management and communication
scholarship and give room for further research in communication field.
Publisher
School of Journalism, University of Nairobi