By Peter OBIORA investadvocate

Dec 14 2010 05.45 GMT

Lagos (INVESTADVOCATE)-Eight three percent (83%) of companies will face crisis that will negatively impact their share price by 20 to 30 percent (20-30%).This was contained a Report by Oxford-Metrica.

 

In a lecture delivered by Olufemi Awoyemi, Founder/Chief Executive Officer (CEO) of Proshare Nigeria Limited at the unveiling of a book by  Demola Akinbola, Built To Endure: How Purpose-Driven Organisations Use Reputational Capital to Achieve Strong Brand Equity on Friday December 10 2010 in Lagos Nigeria.

 

Awoyemi had affirmed that we in Nigeria are already expecting not a few, yet the reality is that our level of organisational response continues to be elementary in the least and farcical at best.

 

According to him, Michael Novak has advanced the convincing argument that business is not only about capital, but that it is a moral calling and where businesses and businesses leaders fail the moral test, the business is ultimately injured.

 

“Need we add any other comment on the lessons of the scandals in the Nigerian banking industry?” he queried.

 

He further affirmed that reputation can be easily lost – and in Corporate Nigeria’s case – reputation is indeed threatened – but it’s highly unlikely the firms involved will collapse completely.

 

“Indeed, this may be one of the biggest lessons for firms in Nigeria as we study how we emerge from this crisis” Awoyemi said.

 

He noted that the reality is that these new market mantra provides for Corporate Nigeria to reposition itself for recovery about as well as it could be – owing, in large measure, to the reputation for products, services and corporate responsibility it has developed in the past.

This is coming on the heels of most important lessons learned from the BP oil spill, Toyota vehicle recall and Goldman Sachs fraud charges; is just how few companies are prepared for a crisis.