Today’s Modern Corporation
a. Modern Corporations have customers and operations around the world.
b. A Corporation has a face in terms of its products.
c. The public is distrustful of the power, influence, and credibility of giant
corporations and businesses.
d. Only 27% of Americans feel that most large U.S. Corporations are
The Role of Public Relations
a. Corporate Social Responsibility (CSR)
b. Restoring Trust in Business: Models for Action
c. The role of a public relations executive
d. Corporations seek a better reputation because…
e. Corporations face a number of pressures and counter pressures when making
decisions and forming policies.
Reporting by the media is a major source of public information and perceptions about the business
world and individual companies.
a. Negative coverage can cause a
Corporation’s reputation to plummet.(Ex:
b. As a result, Corporate executives view the
media as an enemy!
c. Complaints about media coverage.
d. Journalist fight back!
e. Media can be both damaging as well as
rewarding to businesses.
f. Where are all the good business
a. Sellers Expectations
b. Consumer Rights
c. Surveys indicate that a person who has
had a bad experience share their story
with an average of 17 people and share
their positive experience with only 11
d. Internet and public opinion
e. The value of customer feedback.
Reaching Diverse Markets
a. A more diverse group of people is expanding here in the U.S. and will soon constitute a larger
share of the consumer marketplace.
b. When creating a product companies need to focus on a every possible consumer.
c. Many public firms have set up specialty practices for multicultural marketing
d. Companies have setup departments to reach minority audiences.
Activism Consumer Activists are a serious threat to
Corporate reputation because they can affect
sales and demand changes in Corporate
How to Work with Activists
Work with groups who are more interested with solutions rather than
Offer transparencies: Activist who feel you're not open aren't likely to
keep dealing with you.
Turn their suggestions into options.
Get emotional when dealing with advocacy groups.
Agree to work with anyone making threats.
Expect immediate results…..establishing takes time.
The success of Consumer boycotts is
mixed. Some companies are not
affected by boycotts because they have
various products under one brand
name. Other single product names are
more vulnerable to boycotts.
• Employees are the front line of any executive public
• A company's reputation can be enhanced or
damaged by how rank-and-file employees feel
about their employer.
• Employees = ambassadors
• A work place that respects its management, has
pride in its products, and believe it is being treated
fairly is a key factor in Corporate success.
Employee Issues Should be Addressed
a. Health and Medical benefits.
b. Sexual Harassment.
a. Never announce the situation to the media first always inform the
b. When informed, employees should be told in person by their immediate
c. Employees who are being retained should be spoken to by their immediate
supervisor about their status.
d. Companies interested in maintaining their reputation and their employees
trust must make an effort to cushion the layoff by implementing
OFFSHORING: Many American companies are using lower paid
professionals from different nations to do everything from customer
service to software engineering and accounting.
The Cardinal Rules
• Many companies as a part of their
Corporate citizen outreach, have
developed programs that allow
employees to volunteer for charitable
work on company time.
• Doing good is good business.
• Employees feel good about where they
work and what they do.
a. Marketing Communications or Marketing
PR: Many companies use the tools and tactics
of public relations to support the marketing
and sale objectives of their businesses.
b. Integrated Marketing Communications:
Companies manage all sources of
information about a product or service in
order to ensure maximum message
c. Publicity in the form of news stories builds
credibility, excitement in the market place,
and consumer anticipation.
The newmodelof the Beetle Volkswagen
wasintroducedby videoreleases, during
popular TV segments, and at the keyauto
Companies have turned
away from costly ads
and turned to
a. Sponsoring a Poll
c. News Articles
Product Placement in TV or Movies
companies collaborate with non-
profit organizations to advance its
cause and at the same time increase
Donations of funds,
services to various
The Benefits of Giving
a. Strengthen reputation and brand recognition
b. Increased media opportunities
c. Improved government and community relations
d. Enhanced Marketing
e. Access to research and development
f. Increased corporate profitability