Why PR matters

Here is Apple’s stock chart since May. In that time period Apple has reported strong earnings and released a smash hit product, the 3G iPhone. It’s had lines out the doors of its retail stores, and has had to start opening earlier in the day to accommodate demand. To be sure, Apple also has warned about product transitions and soft consumer demand. And MobileMe has had some issues. But the real reason for the decline is the way Apple has totally mishandled questions about Dear Leader’s health. Investors are punishing Apple for it, using the only weapon they have. The stock has gone from $190 in early June to $155 today. That’s what? Close to $40 billion that’s gone up in smoke?