Download PUBLIC RELATIONS

I International Symposium Engineering Management And Competitiveness 2011 (EMC2011)
June 24-25, 2011, Zrenjanin, Serbia
PUBLIC RELATIONS
Sanja Pantić
Maja Siljanovski, B.Sc*
[email protected]
Ana Đuričić
University of Novi Sad, Technical faculty "Mihajlo Pupin", Djure Djakovica bb, Zrenjanin 23000, Serbia
ABSTRACT
This work is an attempt to get through the basic definitions and development of the characteristic concepts,
approaches and enters the world of public relations which also entails breaking the typical bias that public
relations associative equate with marketing or on organization of special events. Truth is that public relations
represent global activity with excellent opportunities for development. The challenge is define and in practice
to implement public relations in a way that, in the public interest, promote understanding and harmonious
relations between peoples and organizations. In this work will be shown how to manage public relations in
company "Mercedes Benz".
Key words: public relations, communication, promotion, marketing
1. INTRODUCTION
When exists an intellectual gap in the development of a scientific discipline, developed countries
and certain areas, will find ways of defining the problems, and the general level details who
followed in approaching a given topic. Each new scientific field, and public relations, towing
behind a lot of miss steps in understanding matter and implementation of knowledge from them.
Economically, public relations are mostly developed in the United States, where organizations,
estimated to be allocated to this activity $ 10 billion a year. Despite poor statistics, it is estimated
that European companies spend $ 3 billion on public relations. This figure continues to grow by
establishing the European Union and developing market economies in Eastern Europe and the new
states of the former Soviet Union. Areas with great development potential in Europe, public affairs,
corporate relations, health care and marketing communications. Also, many students around the
world studying public relations as an area in which they want to build a career. In the U.S., more
than 250 colleges and universities offer programs in the field of public relations, while this subject
studying on 80 European universities. And many Asian universities, particularly in Thailand, have
degree programs of public relations.
2. PUBLIC RELATIONS-PR
2.1 Definition and characteristics
Public relations are usually defined on the basis of easily observable activities, such as publicity in
newspapers, television interview with the spokesperson of the organization, or on the basis of
celebrity impressions at a special event.[3] What people do not understand is that public relations
are a process that involves many subtle and profound aspects [1]. This process includes research
and analysis, policy formulation, programming, communication and feedback from many types of
audiences. Practitioners of public relations work on two different levels-as advisors or their clients,
or top management, organization, and as technicians who produce and send messages through
various media channels. Public Realations –PR are a type of business activities, taken for the
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planned and deliberate communication, establishing and maintaining relationships with the
environment, in order to create favorable publicity and image of the organization, and advocacy
against rumors and stories that occasionally occur. This class is sure to be focused in several
directions: developed a special way of dealing, communication or contact among employees within
an organization; in addition it includes a special form of communication and behavior toward
customers, but a special form of context and relationship with business partners, investors,
suppliers, media, competitors, financial institutions, public agencies, professional institutions and
others [5].
All the known world organization, interested in successful operations, have formed the whole
teams of experts for public relations, which together with the management of participating in
market competition of the struggle for survival.
Over the years formulated a number of definitions. One of the earliest, most widely accepted
definitions formulated by the Bulletin News PR: "Public relations are the management function that
evaluates public attitudes, identifies the policies and procedures of the individual or organization
with the public interest and to plan and implement the program of activities aimed at gaining public
understanding and patience."
Rex Harlow, one of the first educators in the field of public relations, who founded what would
become the Society of Public Relations of America (PRSA), one has collected more than 500
definitions in almost the same number of sources. After it is well studied and talked with leaders in
the area, Harlow presented the following definition [9]: Public relations is a special control
function that contributes to the establishment and maintenance of channels of mutual
communication, understanding, acceptance and cooperation between the organization and its group
of public, include the management of problems or important issues and helps the management to
inform public opinion and respond to it, defined and stresses the responsibility of management to
serve the public interest, helps management to keep pace with the changes and use them
successfully, serving as an early warning system that helps to predict trends, and uses research and
ethically correct techniques of communication as their main tools.
2. PUBLIC RELATIONS VS. JOURNALISM, ADVERTISING, MARKETING
Although writing is a common activity and experts for public relations and journalists, despite the
many common techniques, these two areas are fundamentally different in scope, objectives,
audiences and channels. Publicity, as one of public relations, use of mass media to send messages,
as does the advertising, but the format and context are different in that it involves paid advertising
space or time. James E. Grünig, editor of the Excellence in Public Relations and Communication
Management, clearly distinguish public relations from marketing: Marketing function should be
communication with the markets in which the organization sells its goods and services. Public
relations should affect all groups of public organizations. The main purpose of marketing
organization is making money by increasing the slope of the curve in demand [4]. The main
purpose of public relations organization is saving money by building relationships with public
groups that restrict or enhance the organization's ability to accomplish its mission. We can
conclude that the functions of public relations can be folded down to marketing, but PR builds
cooperation and creating a good reputation, while engaged in marketing and selling products to
consumers. However, public relations and marketing could be viewed through mutual support.
Philip Kotler, a professor at the University Nortwest and author of leading textbooks in marketing,
says that public relations is the fifth "P" marketing strategy, which includes the other four "P" - a
product (product), cost (price), distribution (place) and Promotion (promotion). The objective of
the organization is best achieved by integrating functions of marketing and public relations, where,
communications organization should be consistent.
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3. PUBLIC RELATIONS AND PROMOTIONAL MIX
As an important business function and an integral part of business policy, public relations in
modern business practice is getting very important role in the coordination of communications and
promotional activities of the organization. At the same time, public relations programs almost
always have communications and promotional goals and objectives, and thus gain an important
place in the promotional mix of the company. In addition, the goals, means, techniques used and
the ultimate effects of the activities of public relations and other promotional activities often
coincide, very difficult to accurately separation and determination of place in communications and
promotional mix., Considering the fact, differently interpreted the relationship business functions
of public relations to promote, and therefore the relationship of this function to certain types of
promotions in the promotional mix of the organization.
For example, some authors consider the promotion of a network of communication that includes a
number of marketing instruments: economic advertising, sales promotion, adjusting sales,
publicity, public relations, packaging, design, customer service and propaganda "by word of
mouth."
Bearing in mind that public relations in addition to promotional goals includes a number of other
specific targets, and other public organizations in the target environment, many authors agree that
they represent a much broader concept of promotion, and that can not be considered just a form of
promotion , such as advertising or publicity.
The effects of promotions, in modern conditions, are increasingly becoming dependent on the
degree of achieved coordination of promotional activities in the communications and promotional
mix with other instruments of marketing mix. Thus, professional public relations became the main
carriers of complete communication programs and also receive a coordinating role promotion and
other marketing tools in the marketing mix of companies. In this way, public relations "go out"
beyond the concept of marketing mix and promotional mix. Their close relationship with other
business functions in the company implies a multidisciplinary approach to the management and
requires consistent coordination with other business functions.[7]
4. TARGET PUBLIC RELATIONS
Target public relations allow the organization to formulate a specific strategy of communication
with each of the target public. Target audiences that require planning and strategy-driven two-way
communication, are in fact two kinds of public: internal and external.
Internal flow (public) - means a form of negotiation, the domain of strategy of an organization in
achieving certain goals, through an internal flow of information. Internal public consists of all
employees. The ultimate goal is to create a corporate culture, collective way of thinking, which
primarily includes the total shared values, moral and ethical principles and rules of conduct.
External flow (the public) - means the complex process of communication with the environment
and reflected in the contacts with the media, in the form of public speeches and appearances,
consumers, competitors, state, church, banks, and other figures outside world.
Three main stages of the target of public relations as:[8]
1.
Segmentation of the environment and the public.
2.
Choice of target audience within the identified segments.
3.
The formulation of specific public relations and the instruments through which to act.
4.
Strategy performs in relation to target audience:
5.
Undifferentiated strategy-a strategy groups and developing programs for the largest target
group
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6.
7.
Differentiated strategy-specific programs for specific segments of the communications
Focused strategy - focus on a limited number of target groups; communication programs for
selected target groups.
Sum, we conclude that research and analysis of external and internal environment and identify
potential problems or difficulties in communication, in order to form a database of target audiences
and other important factors relevant to each specific situation, is an essential item and an important
factor in the segment of public relations and possibilities for its successful and smooth operation.
Figure 1-Interaction between organization and public[2]
5. THE ROLE AND IMPORTANCE OF PUBLIC RELATIONS IN SOCIETY
In public relations that are the subject of this paper will be presented through theoretical and
practical observations, because the attitude towards this area is primarily a manner that is more
about the craft that is learned through practice, but a specialist or academic knowledge. Of course,
that initially will be to distinguish between public relations that were an integral part of the state
administration, as this area was earlier, the modern concept of public relations as a discipline
management.Information that exist in the field of public relations, indicate that in addition to the
general tendency within the profession of public relations, there are specific directions for
individual educational institutions (college, high school, colleges, specialization), and in some
states.
Public relations are a multidisciplinary field that has seen development in the last 30 to 40 years.
The appearance and development of electronic media (especially television) and their importance
in shaping public opinion, are turning moments in the development methodology of
communication with the public. Also, we must not forget that the return of multiparty democracy in
our country has increased the importance of communication with the public for the operation of all
sectors of public administration. The process of reform and harmonization of requirements up to
date, and strategically focused approach to the public either through the mass media, either through
direct communication. The principles of transparency and public accountability that actively
promote the process of stabilization are just one of many reasons why a set of methodologies was
appointed as the PR (Public Relation or just a short PR) is vital for the functioning of all segments
of public life.[6] Nowadays, the management of any successful company, public institutions and
nongovernmental organizations, and management communications includes the organization, or the
existence of a strategic program designed public relations (PR). Why communication management
and PR are got so much in importance in the contemporary world and more himself why we can
not afford to ignore public relations? What are public relations and what are the activities of PR?
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Through the clarification of basic concepts, techniques and methods, the practices, the paper
pointed out the value and purpose of public relations (PR) and instructs the basics of working in the
area.
6. MANAGEMENT OF PUBLIC RELATIONS IN THE COMPANY "MERCEDES BENZ"
The first advertising activity public relations concerning to the class A appeared in may 1996. year
18 months before the start of production. In that period Mercedes was controlled mass advertising,
publicity activities and public relations. Media received only certain information. During car show
in Geneva no journalists or audience could not test the car. Regardless of all this, class A received
very positive comments months before than it appeared. [5]In June and July 1997. year class A
presented to the media [5]. Several journalists were tested car, and the conclusions of independent
comparative tests were fine. Class A has received an excellent rating for safety. No one has
expressed any doubt in the field of stability. During the testing A class was removed inner part of
the wheel, and the outer rear are turning to rubber wall. The driver commented that the steering
wheel locked, thus making it impossible to correct the car. No matter, the car has not capsized.
Scandinavians have become suspicious. The first cars are produced and all looks good to 21.
October that turned in a nightmare for company Mercedes Benz. During the test, car classes A
begin to tumble on speed of 60 km/h, and driver ended up in hospital. Company managers, known
for their passive attitude with the public, especially with media, reacted very slowly and their
official report was: "We assume that the incident caused by extreme driving conditions that pushed
mass far." Actually, they did not have the necessary information on this test. Further, appeared 4
different personalities that are on their way interpret mentioned event.
On car show in Tokyo, were also specialized journalists. As a result newspaper reports were most
appeared in the tabloids. The leading German newspapers stressed that the baby-benz turned into
"problem child". One newspaper published a headline "Mercedes A-class is dead ". Mercedes is
sent video footage by the Auto-build all the newspapers. On them the wheels were enlarged
showing different sizes. Were asked where Mercedes mounted. The editor confirmed that the tires
were changed before the test, because they had a minor accident, that he is disappointed, that its
reporters did not mention this fact. But, it basically did not change the essence, the negative attitude
of the public. Mercedes has decided that to 29 October organizing the press conference in Stuttgart.
Message Company Mercedes were focused on three aspects. First, they argued that the test was not
realistic. Second, Mercedes has drawn attention to the fact that one of the tires was different from
the others. Third, Mercedes announced it will install electronic stability program (EPS) in all cars
A class. In November Mercedes is sent modified car in Džerez to test. A class has passed all tests,
and experts and official sources called it a light test.
In the end, November, driven by the real media war in which one group claimed that everything
was fine with A class, and the other was convinced that A class is not safe. A class is awarded the
gold point by the popular German magazine Bild am Sonntag. Even Jack Bruno, the designer of A
class, received the prestigious European Award Lucky Strike Designer Aword. Thanks to the
efforts made by the company, A class was almost regained the confidence of consumers.
Awareness of brands is high, 94% of consumers.
9. CONCLUSION
The structure and contents of this paper were designed to review the concept and phenomenon of
public relations and promotional strategies, through theoretical analysis and practical example.
Introduction talked about the different definitions, key aspects of the functions and processes and
types of the public who are engaged in public relations. Continuation is concentrated on the basic
explanation of the processes, planning of public relations, with a brief reference to how the
planning and the types of plans. The third part make position of public relations in the field of
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education, where he explains the necessity of organized public relations, and its place in the
organizational structure. At the end of the section presents a brief example, as a slice of research
conducted in local practice. The last part presents an analysis of the promotional mix as well as its
instruments of public relations, concrete example of the Faculty of Organizational Sciences. Its
purpose is to give impetus to a better organization and public relations, and development in the
same proportions in which to make the most successful universities in the world. The proposals,
presented from time to time, only to have the theoretical basis, that would be used, hopefully soon,
could be used for developing serious public relations activities, which would thus come to improve
the position of the Faculty in all social and business spheres.
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