"In the face of an emergency, enterprises are increasingly turning to new media for assistance," said Xie, who added that it has been proven that new media can effectively and efficiently help put a positive spin on events.

For instance, in July 2010, a Hong Kong magazine reported that two products made by BaWang International (Group) Holding Ltd, China's largest herbal shampoo maker, contained a substance that may be carcinogenic. The company immediately responded to the report by starting up its own micro blog, which it updated 17 times within a four-hour period.

The report further stated that State-owned enterprises generally have a good rapport with the government and that crises were easily resolved by government intervention.

However, State enterprises were noticeably slower in responding to sudden events, according to the report, often adopting an intransigent attitude or subscribing to the ostrich policy.

Many State-owned enterprises have been slow to adopt the new media and tend to rely on traditional outlets for their messages, which are not as effective in reaching the public, Xie said.

In contrast, private enterprises are generally able to respond to PR crises quickly and positively, efficiently using new media, such as micro blogs, to win the support of the public through effective communication.

Foreign-funded companies as well as those from Hong Kong, Macao and Taiwan, performed moderately well at handling crises, although they were weaker at communicating with the public and lacked judgment in emergency situations, Xie said.