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Companies have to be open and honest. I believe people are tired of spin, recognize it immediately and instantly distrust what they are being told. It is a much better policy to be open, transparent and honest. I don't think anyone expects for organizations to be without mistakes, they are made up of humans, after all. However, what people do expect is not to be lied to or patronized by trying to spin something. The work it takes to spin a negative story can wind up doing more harm than good and create even more distrust than they would have been facing had the organization simply been upfront with the public.
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