BUS 454 Module 7 Crisis and Stakeholder Communication Example

Reviewed by Douglas Renshaw, MBA Aspen University Updated September 2026

This BUS 454 Module 7 sample paper plans the response to a snack maker's worst morning: 18,000 cases of bars labeled free of peanuts turn out to contain peanut protein, and a parent has already reported her son's hives. Aspen University's Ethical Decision Making for Business applies the stakeholder approach to crises, and the paper does so hour by hour. It explains why the recall decision is not close under federal allergen labeling law, then uses Coombs's situational crisis communication theory to classify the event as preventable and match the response. A six-row table sets out what consumers, the family, retailers, the FDA, employees and media need. A forty-eight-hour plan, an apology, medical cost coverage, prevention and a later review complete it.

CourseBUS 454 Ethical Decision Making for Business
ModuleModule 7
Paper typeCrisis response evaluation
LengthAbout 1,010 words, 6 pages
FormatAPA 7 student paper
SchoolAspen University
ProgramBusiness Administration
UpdatedSeptember 2026

Free sample paper for BUS 454 Module 7

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Undeclared Peanuts: Ethics and Stakeholder Communication in a Snack Bar Recall

Student Name

Business Administration Program, Aspen University

BUS 454: Ethical Decision Making for Business

Instructor Name

Month Day, Year

What this page is doingThe title names the hazard and the paper's focus. APA 7 student title page.
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Undeclared Peanuts: Ethics and Stakeholder Communication in a Snack Bar Recall

On a Tuesday morning, Harbor Point Foods' quality team learned that 18,000 cases of its oat and honey bars, labeled free of peanuts, had been run on a line that had not been fully cleaned after a peanut butter product. Tests of retained samples found peanut protein. A parent had already called the company's consumer line to report that her son developed hives after eating a bar. The bars were in about 900 stores in six states. This paper evaluates the ethical and communication choices Harbor Point faced and sets out the response it should make.

The Decision to Recall

Peanut is one of the major food allergens that federal law requires to be declared on labels (Food Allergen Labeling and Consumer Protection Act of 2004, 2004), and undeclared allergens are among the most common reasons for food recalls. For people with peanut allergy, exposure can cause life-threatening reactions. The ethical choice is not close: the risk to vulnerable consumers outweighs any cost to the company. The Food and Drug Administration publishes recall notices and classifies recalls by health risk, with the most serious class reserved for products that could cause serious health consequences or death (U.S. Food and Drug Administration, n.d.). Harbor Point should recall all affected lots immediately and notify the agency, rather than wait to be asked.

What this page is doingStating that the decision is not close signals that ethical analysis sometimes yields a clear answer.
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Understanding the Crisis

Coombs (2007) developed situational crisis communication theory, which holds that stakeholders assign responsibility for a crisis based partly on its type. Crises in which the organization is a victim, such as tampering, produce little attribution of responsibility; accidents produce some; and preventable crises, caused by human error or knowing violations, produce the most. A company's history of similar crises and its prior reputation can intensify attributions. The theory recommends matching response strategies to responsibility: the greater the responsibility, the more the response should move toward accommodating strategies such as apology and compensation.

Harbor Point's Responsibility

The contamination resulted from a cleaning step that was skipped during a rushed changeover. That makes it a preventable crisis in Coombs's terms, even though no one intended harm. Stakeholders will reasonably hold Harbor Point responsible, and a response that minimized responsibility, such as blaming a contractor or describing the problem as a labeling technicality, would likely deepen anger and damage trust further.

Stakeholders and Messages

The table sets out what each stakeholder needs in the first forty-eight hours.

StakeholderWhat they needChannelTiming
Consumers with peanut allergy and parentsClear warning, product identification, what to doRecall notice, news release, social media, allergy organizationsWithin hours
The family that calledPersonal contact, concern, help with costsPhone call from a senior leaderSame day
RetailersLot numbers, removal instructions, creditDirect calls and written noticeWithin hours
FDANotification and recall planFormal noticeSame day
EmployeesFacts and how to answer questionsShift meetings and written briefBefore public release if possible
MediaFacts and a spokespersonStatement and availabilityWith public notice

The First Forty-Eight Hours

Speed and clarity protect people first. The recall notice should state the product name, package sizes, lot codes and best-by dates in plain language, describe the risk to people allergic to peanuts, and tell consumers to return the bars for a full refund or discard them. Harbor Point should contact national allergy organizations, whose networks reach the people most at risk. A dedicated phone line and web page should answer questions around the clock for the first week.

The Apology

Harbor Point's statement should take responsibility plainly: "A cleaning step was missed when we changed products on one of our lines, and bars labeled free of peanuts may contain peanut. We are sorry. If you or your child has a peanut allergy, please do not eat these bars." It should describe what the company is doing and avoid speculation or defensive language. The chief executive should deliver it in person, which signals that the company treats the matter as serious.

Compensation and Care

Beyond refunds, Harbor Point should offer to pay reasonable medical costs for any consumer who had an allergic reaction. For the family that called, a senior leader should call to express concern, ask how the child is and offer help. These are ethical obligations to people harmed, and they are also consistent with the accommodating strategies Coombs recommends for preventable crises. Care should be offered without requiring anyone to give up legal rights in exchange, which would turn help into a bargaining tool.

Preventing Recurrence

The company should investigate why the cleaning step was skipped, looking at schedules, staffing and supervision, not only the operator. It should consider dedicating a line to peanut products, adding allergen testing after every changeover and requiring a second signature on changeover cleaning. The investigation's findings and the changes should be shared with employees and summarized publicly.

Ethics Under Pressure

Crises create pressure to protect the company first. The ethical test is whether the response puts the safety and needs of the people at risk ahead of short-term reputation. In this case, the two point the same way: honest, fast, accommodating communication is both right and most likely to preserve trust.

Evaluating the Response Afterward

After the recall, Harbor Point should review how well it performed: how quickly the notice went out, how many cases were recovered, how many calls the hotline received and how they were answered, whether any further reactions were reported and how retailers and consumers rated the company's communication. The review should be honest about what went poorly as well as what went well. Its lessons belong in an updated crisis plan, rehearsed at least once a year with the people who would carry it out.

Conclusion

An undeclared peanut allergen is a preventable crisis with serious potential harm to vulnerable people. Harbor Point should recall immediately, communicate clearly with every stakeholder, apologize without deflection, care for those affected and fix the conditions that caused the error. Situational crisis communication theory and basic ethics lead to the same response.

What this page is doingThe conclusion joins the ethical and communication analyses in a single recommendation.
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References

Coombs, W. T. (2007). Protecting organization reputations during a crisis: The development and application of situational crisis communication theory. Corporate Reputation Review, 10(3), 163-176. https://doi.org/10.1057/palgrave.crr.1550049

Food Allergen Labeling and Consumer Protection Act of 2004, Pub. L. No. 108-282, 118 Stat. 905 (2004).

U.S. Food and Drug Administration. (n.d.). Recalls, market withdrawals, & safety alerts. https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts

BUS 454 Module 7 instructions, in plain terms

Crisis management is one of the situations Aspen's BUS 454 examines through a stakeholder lens, and a recall tests every idea in the course under time pressure. Aspen gives the Module 7 wording to students in class; this sample plans one allergen recall from the first hour. Decide first whether the ethical choice is clear, and say so if it is. Use a recognized crisis communication theory to judge responsibility and choose strategies. Identify every stakeholder and what each needs, through which channel and when. Write the key message, including an apology if warranted. Address care for people harmed. Plan prevention based on causes, and describe how the company will evaluate its response afterward.

How the BUS 454 Module 7 example is put together

The paper opens with contaminated bars in 900 stores in six states. The recall section cites the Food Allergen Labeling and Consumer Protection Act and the FDA's recall system. Coombs's theory is explained, with victim, accidental and preventable crisis types. A skipped cleaning step during a rushed changeover makes this preventable. A six-row table lists stakeholders' needs, channels and timing. The forty-eight-hour section covers the notice, allergy organizations and a hotline. A quoted apology takes responsibility plainly. Compensation includes medical costs, without requiring anyone to waive rights. Prevention looks at schedules and staffing, and a post-recall review feeds an updated plan rehearsed yearly.

Where the marks sit in the BUS 454 Module 7 rubric

Crisis papers are assessed on sound ethical judgment, correct use of crisis theory, complete stakeholder coverage and a realistic, humane plan. This example classifies the crisis carefully and matches the response to responsibility, as the theory recommends. Its APA references are Coombs's Corporate Reputation Review article on situational crisis communication theory, the Food Allergen Labeling and Consumer Protection Act of 2004 and the FDA's recalls page. The stakeholder table shows timing and channels, not only audiences. Quoting the apology lets the instructor judge its tone. Linking prevention to root causes and planning a review show that the response continues after the headlines. Refusing to make help conditional on waiving legal rights shows ethical care beyond what communication theory alone requires.

Common BUS 454 Module 7 mistakes, and how to avoid them

A frequent weakness is focusing on reputation before people's safety. Put protection of those at risk first. Another is misclassifying responsibility; decide whether the crisis was preventable and let that guide the response. Cover every stakeholder with timing and channel. Write the actual apology rather than describing it. Offer care to people harmed without conditions. Base prevention on root causes, not only on the individual who erred. Plan how you will learn from the response. Use official recall categories accurately. If you analyze a real recall, rely on the company's and regulator's notices for facts, and note what you cannot know from outside the company. Keep the apology short, specific and free of qualifications that shift blame.

Write yours, or have the desk draft it

This paper is an original model document written by our desk, not a submitted student paper and not an official Aspen University document. Read it for the moves, then write your own to the instructions in your classroom. If you want one built to your exact prompt and rubric, the first custom sample is free and arrives in 24 to 48 hours.

More BUS 454 and Business Administration sample papers

BUS 454 Module 7 questions, answered

What does BUS 454 Module 7 usually ask for?

Aspen's BUS 454 applies the stakeholder approach to crises, so evaluating a crisis response and planning stakeholder communication is typical. Follow your classroom prompt.

What is situational crisis communication theory?

Coombs's theory that stakeholders assign responsibility based on the type of crisis and that responses should become more accommodating as responsibility increases.

Should a company apologize during a crisis?

When it is responsible for a preventable crisis, a clear apology combined with corrective action is generally recommended and is also the ethical response.

Where can I find a free BUS 454 Module 7 sample paper?

Read the full plan above, covering an undeclared peanut allergen recall with crisis theory, a stakeholder communication table, an apology and prevention.

What is a preventable crisis?

In situational crisis communication theory, a crisis caused by human error or knowing violation within the organization, which leads stakeholders to assign it the most responsibility.