Martha
A grand jury just indicted Martha Stewart on federal charges of securities fraud and obstruction of justice in an insider stock trading scandal. Ms. Stewart has denied wrongdoing in her December 2001 sale of shares of ImClone Systems Inc. But a US Attorney has been quoted saying that "thiscriminal case is about lying - lying to the FBI, lying to the SEC and investors.'' That may be true, but the real effects are showing up dramatically in the negative impact this is having on Martha Stewart, the brand.
Brand Keys has been tracking the Martha Stewart brand for nearly 3 years. "In May of 2002, the brand was one of the strongest in it's category," said Robert Passikoff, President of Brand Keys, Inc., a New York-based brand and customer loyalty research consultancy. "This is a perfect example of the fragility of all brands that are invested mainly in a human being. We often see how impermanent their brands can be, how dependent upon public whim; how sudden and irreversible their......
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