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CHAPTER 13
PUBLIC RELATIONS
Chapter Overview
Public relations (PR) is the way by which information about the organization, its products may be
communicated. Like the program elements discussed thus far, the marketer will attempt to use this tool to
benefit the firm and its offerings. At the same time, this promotional mix element is generally used in a
different way in that it is not always designed to promote a specific product. Rather, it may be used to
promote the organization as a whole, a cause or position advocated by the organization, or to create
goodwill in the marketplace. In addition, it is not always within the control of the marketer. Thus, while it
may be possible to affect public relations in some situations, in many others the marketer may have to
assume a reactive posture. This chapter discusses and expands on the changing role of public relations.
Learning Objectives
1. To recognize the roles of public relations in the promotional mix.
2. To understand public relations and its strengths and limitations.
3. To understand the reasons for corporate advertising and its advantages and disadvantages.
4. To know how to compile a public relations plan.
5. To understand how public relations is obtained partly through publicity generated through news
media.
Chapter and Lecture Outline
I.
A.
PUBLIC RELATIONS
The Traditional Definition of PR—The chapter begins by differentiating between the traditional
role of public relations and the new role. The traditional role (as defined on page 348) reflects a
management function that has as its primary responsibility the goal of communicating and the
gaining acceptance of the organization’s policies and programs within its various communities.
B. The New Role of PR—The new role assumes a much broader, and more marketing-oriented,
perspective. In the new orientation, the public relations function operates in close communication
with the marketing department (rather than as separate entities) to develop programs and policies.
Figure 13-1 outlines four classes of marketing and public relations use.
C. Publicity: One Effect of Public Relations – Publicity refers to the generation of news about a
person, product or organization that appears in the media. It often is the result of a public
relations effort. It typically lasts for a short period of time, and it is not always positive and under
the control of the marketer. Some of the most powerful incidents of publicity are unplanned by
the marketer.
D. Strengths of Public Relations:
 credibility
 cost
 avoidance of clutter
 lead generation
 ability to reach specific groups
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
image building
E. Limitations of Public Relations
 weaker brand or corporate identification effect
 inconsistent message
 timing
 accuracy
II.
PUBLIC RELATIONS PLAN
A structured public relations plan can help ensure that PR is an ongoing process as opposed to
series of disconnected one-time events. As well, a plan will facilitate the integration of PR with
other IMC tools. The key elements of a PR plan are:
A. Situation Analysis – In addition to a review of the situation analysis elements from the marketing
or IMC plan, people’s attitudes towards the firm, its products and/or specific issues should be
assessed. The value of conducting attitude research includes:
 It provides input into the planning process
 It serves as an early warning system
 It secures support internally.
 It increases the effectiveness of the communication.
B. Determine Relevant Target Audiences—Target audiences may be categorized as internal or
external.
Internal audiences include:
 employees
 stockholders and investors
 community members
 suppliers and customers
External audiences may include:
 the media
 educators
 civic and business organizations
 governments
 financial groups
C. Behavioural Objectives – The framework for these as discussed in Chapter 5 is readily applicable
for PR.
D. Communication Objectives – The communication objectives set out in Chapter 5 also apply to
PR. These include awareness and attitude change.
E. Strategy – There are two elements for the PR strategy: the message and the medium. Message
strategy decisions fall into two main categories: the focus of the message and the creative of the
message.
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Public relations activities designed to support marketing objectives are referred to as marketing
public relations (MPR). Used in conjunction with other traditional marketing practices as well as
IMC elements, MPR can be used in the following ways:
 building marketplace excitement before media advertising breaks
 creating advertising news where there is no product news
 introducing a product with little or no advertising
 influencing the influentials – providing information to opinion leaders
 defending products at risk with a message or reassurance
 constructively promoting a product
F. Tactics- These depend on the type of dissemination tool used including the media, directmarketing, press conferences, seminars, events and personal letters.
III. PUBLIC REALTIONS STRATEGY OPTIONS
The news media options for communicating with various target audiences include:
 press releases
 press conferences
 exclusives
 interviews
 community involvement
A. Strengths of News Media Options
 they are highly credible
 endorsement
 frequency potential
B. Limitations of News Media Options
 timing
 accuracy
IV.
CORPORATE ADVERTISING OPTIONS
A firm’s advertising is not always designed to promote a specific product or service. Corporate
advertising is designed to promote the firm overall—either by enhancing its image, assuming a position
on a social issue or cause, or seeking direct involvement from the market. As noted in the text, this form
of advertising is often considered controversial and/or of dubious benefit to the firm.
A.
Types of Corporate Advertising—Five distinct types of corporate advertising and marketing
communication tools are covered in the text.
 Image advertising—Advertising designed to promote the organization’s overall image
may include:
- general image or positioning ads
- television sponsorships
- recruiting
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- generating financial support
 Advocacy advertising—This form of advertising is designed to promote the organization
through the taking of a position on an issue rather than through the promotion of the firm
directly. The Bell Telephone ad is an example of the use of this form of advertising.
 Cause-related marketing—A company links with a charity or non-profit organization as a
contributing sponsor.
 Event sponsorships – The marketer ties-in with a cause and/or event. Sports and
entertainment events are among the most frequently used.
 The Internet – The Internet is a means by which organizations can disseminate corporate
advertising beyond traditional media. While it offers a more limited opportunity to gain
attention, it has linking capability and the ability to provide substantial information.
B. Strengths of Corporate Advertising
 excellent for positioning the firm
 offers some control that the message will be disseminated
 reaches a select target audience
C. Limitations of Corporate Advertising
 questionable effectiveness
 constitutionality and/or ethics
Teaching Suggestions
As in the previous chapter, this chapter can be supplemented and developed in more detail according to
the needs of the instructor. A number of good public relations texts are available. In addition to lecturing
on the topic, it is possible to generate a great deal of class discussion. A multitude of public relations and
corporate advertising examples can be found, and the discussion of the impact (and examples) of PR can
also stimulate a great deal of student interest.
We have found that the issue of corporate advertising, particularly advocacy advertising, provides a great
topic for debate. Students might be encouraged to take one position or another and discuss the issues,
providing examples to support their arguments.
Finally, some time should be spent on the discussion of Figure 13-1. Because of the new role of public
relations, quadrant four is becoming a more common model for the organization. It is important to discuss
the Exhibit, and to have students understand the various roles that public relations assumes in the different
types of organizations.
Answers to Discussion Questions
1. Discuss the advantages that the Internet offers for those responsible for conducting public
relations activities. Describe how these activities are different than traditional methods.
Even though public relations practitioners have been some of the slower adopters of this
innovation, the Internet offers this field a number of advantages. Traditional pr activities involve
the dissemination of press releases, articles, etc. regarding the organization. The process of
delivering these is cumbersome, and can mount up when paper and mailing costs are
considered—particularly when the list of contacts is large. In addition, this distribution takes
time.
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The Internet offers the advantage of speed. Articles and/or newsworthy events can be posted on
the site almost immediately after they happen. There are no limits on length, which allows the
organization to provide as much detail as they wish. News organizations or others wishing to use
this information can access it as needed and remain up to the minute in terms of developments.
Knowing that the organization has a website providing this information also allows the user to
know where to go to access the same. Rather than having to wait for the pr news, the medium can
access the site, and get it themselves. They can go back for updates, additional information, etc.,
which makes their job much easier, and increases the likelihood of the information getting
published or on the broadcast medium.
Finally, the cost savings are enormous. There are no paper and printing costs. There are no
distribution costs other than putting it on the site, and of course there are no mail costs. And, in
the process, many trees are saved.
2. Discuss some of the advantages associated with the use of marketing public relations (MPR’s).
What are some of the disadvantages?
Pages 356 and 357 of the text discuss some of the advantages and disadvantages of using MPR’s.
Advantages include:

It is a cost effective way to reach the market—public relations activities are often less
expensive than traditional marketing programs

It is highly targeted—MPR’s can be targeted to a specific audience, thus increasing the
effectiveness of the program

Endorsements of third parties—MPR’s may be perceived as more credible because they
receive endorsement of those who may not be connected directly with the organization. This
perceived lack of a relationship is a benefit to the sponsoring organization.

Credibility—as noted in the previous advantage, MPR’s may result in higher credibility than
marketing efforts

Support of the IMC program—due to its credibility, the MPR program lends support to the
more profit-oriented IMC program strategies

Breaking through the clutter—due to the length of the articles, and the separation from
advertisements, MPR’s may break through the clutter of ads

Circumvents consumer resistance—consumers may be hesitant to respond to marketing
efforts they know are designed to sell, MPR’s help circumvent this problem
Disadvantages include:

Lack of control—as with other PR pieces, the marketer loses control over the material

Difficulty tying in marketing efforts—it is often difficult to get one’s logo, positioning
statement, etc. tied into the message

Media time and space are not guaranteed—because there is no media being paid for, there is
no guarantee that the media time or space will be granted

Measuring effectiveness—the measures used to determine the effectiveness by marketing
standards may be more difficult to employ. Traditional pr measures may not be as useful.
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3. Explain why traditional public relations practitioners might be unhappy with the organization’s
use of MPR’s. Take a position as to whether this criticism is justified.
Those educated in public relations programs—as opposed to business schools—have been taught
PR from a very different perspective. To them, public relations is designed to create goodwill for
the organization through traditional pr activities. Profit motives are, at best, optional benefits.
MPR’s represent marketing activities. Public relations is considered a marketing tool, designed
not only to create goodwill, but to potentially generate a profit as well. This is a very different
perspective than traditional public relations objectives.
The difference in perspectives leads many pr practitioners and academics to a position of conflict.
The PR people believe that marketers are overstepping their bounds, and are getting involved in
an area in which they do not belong. They see for-profit efforts as eventually ruining the
credibility of PR and eventually destroying its effectiveness.
Marketers take the position that since it is being paid for, and it benefits the firm, PR should be
used to better the interests of the organization, even if it means making a profit. In addition, they
want to see coordination among all efforts to bring synergy to the communications. They don’t
understand the PR argument or logic.
The truth probably lies somewhere in between the two positions. Too much of a focus on profit
will eventually render the PR program ineffective due to a loss of credibility. At the same time,
no coordination with PR may mean mixed messages, wasted monies, and less contribution to the
overall communications effort. A balance between the two extremes seems to be in the best
interest of all.
4. List and describe the advantages and disadvantages of the use of public relations in an IMC
program. Provide an example of an appropriate use of public relations in this mix.
Pages 351-352 list the advantages and disadvantages of public relations. Advantages include:

Credibility—due to its perceived news intent (versus selling), PR may have higher
credibility than many marketing messages

Cost—PR costs less than marketing messages, due to the lack of media costs

Avoidance of clutter—longer articles, separation from ads and new content help avoid
clutter

Lead generation—PR, if effectively targeted, can generate leads ranging from financial
investments to sales to participation in or support of the cause

Ability to reach specific groups—through effective targeting, and due to its news value,
PR messages may get through to groups advertising cannot

Image building—corporate advertising, cause and advocacy advertising, and PR activities
in general may help establish a positive image in the mind of receivers
The major disadvantages of PR are the lack of control over the message and guarantee that it will
appear in the media at all. Thus, the intended communication may never take place or an
unintended message is delivered.
Marketers can effectively employ PR activities and eliminate the disadvantages. Corporate,
advocacy and cause advertising are paid for, and will get the message and media sought
delivered. At the same time, they maintain many of the advantages, as there is no perceived intent
to sell. Likewise, sponsorships can be effectively used to get the message delivered. Many
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companies now formally design-in PR programs as part of their IMC program to increase
effectiveness.
5. What is a video news release (VNR)? Provide an example of a situation in which a company
might employ the use of a VNR. Discuss some of the ethical implications (if any) of using this
tool.
Video news releases (VNR’s), are broadcast segments designed to look like news that are made
by companies themselves in an attempt to get their messages out. VNR’s can take a range of
topics, including company information regarding new products, stories of interest, etc.
Unfortunately, depending on the content, VNR’s have the capability of deceiving the audience.
An obvious VNR in which product information is provided may be honest and straight-forward,
but has less news value, and thus, less likelihood of being aired. As a result, some companies
design the VNR to look more like news, when the purpose is to sell. For example, if Intel
introduces a new chip, they may develop a VNR and provide it to the media. The media, will
decide if it is news worthy and air or not air it. Others may have more deceptive messages. A
number of years ago, when a hurricane ravaged Jamaica, the Jamaica Tourist Bureau developed
and released a VNR approximately six months later to show how well the country had come
back. The video showed new hotels, new roads, etc., all of which were true. But when aired, the
VNR appeared to be a news story only, without mentioning that the backers were trying to
improve tourism.
While this example is not terribly deceptive, nevertheless, viewers were deceived. The VNR
which appeared on CNN looked just like any other news story, with no indication of profit
motives.
6. Give examples of companies that are pursuing traditional public relations activities, and those that
are employing the new role.
The traditional role of public relations has been to operate independently of the marketing
department with the purpose of earning public understanding and acceptance. In this regard,
public relations activities typically involved establishing community relations through planned
events, tokens of goodwill, charitable contributions, etc. The marketing of the firm and its
products were the responsibility of the marketing department.
The new role of public relations is substantially different. While the responsibilities of
maintaining community understanding and acceptance remain, the PR department has now been
given a broader role. Organizations have recognized that the activities of the public relations
department may often have a direct effect on sales. As a result, the PR departments are working
more closely with marketing to reduce redundancies in their efforts, and to work together so that
their individual contributions may achieve a “sum of the parts is greater than the whole” situation.
Keep in mind that it was the PR department that saved Tylenol—not marketing. And it was a joint
effort between marketing and public relations that led to the effective Life Cereal campaign to
bring back Mikey.
Likewise, within the past few years the design of advertising agencies and public relations
agencies has been changed to coincide with the new perspective. Ad agencies now offer public
relations activities, and many of the public relations firms now have advertising departments. In
those situations where both departments have not been created, agencies are teaming with their
advertising or PR counterparts to offer the clients integrated full service capabilities.
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7. Many companies are now taking the position that their charitable contributions should lead to
something in return—for example, sales or increased visibility. Discuss the pros and cons of this
position.
Traditionally, public relations activities have been separate from the marketing department,
primarily designed to create goodwill in the community, portraying the organization in a
favorable light, etc. In some cases, the organization would attempt to insure that no profit- motive
aspects were realized, (from a sales standpoint) in fear that the goodwill would be negated.
The more modern role basically takes the position that “if we are doing it, why not get credit for
it”? In other words, these PR activities may not need to be designed to aid the marketing process,
but if they do, what is the harm? Still another perspective is to use PR activities to directly aid the
organization’s marketing efforts.
From a marketing standpoint, one might take the position that if the PR activity is done in good
taste, and it does benefit the recipient, why not get credit for it? There is no less value to the
receiver, and so long as there is no exploitation involved, everyone benefits. One can take this
position too far however, in that the receiver of the benefits now are selected based on potential
benefits to the organization not on need.
It is this last point that upsets the PR people—especially the traditionalists. They believe that PR
was never designed to be a marketing activity and that it should remain independent. In addition
to their altruistic convictions, they note the fact that the whole plan could backfire, causing the
firm more problems than benefits.
Many companies still engage in both forms of PR. Olympic sponsors are one example. Some do
so quietly, with little or no recognition. Others essentially buy the sponsorship, using the same in
their advertising and promotions to benefit their products or services.
8. Many companies are now trying to generate as much free publicity as they can. Cite some
examples of this and discuss the advantages and disadvantages associated with this strategy.
There is an old saying that “any publicity is better than none”. We are not sure that we subscribe
to this expression. Many companies have a designed strategy to generate as much publicity as
they can, assuming that most exposures are likely to help them. In many cases it does. For
example, No Excuses Jeans was very successful without advertising, just based on the free
exposure the pants got everytime a “No Excuses Woman” (Donna Rice, Marla Maples, Monica
Seles) was chosen. Others have been much less successful. (Clothestime ran ads that were
knowingly controversial in an attempt to generate free publicity. The ploy was seen through and
the strategy was ineffective).
The logic is that if one generates free publicity, the exposures result in millions of dollars of free
time. For example, when Michael Jackson’s hair caught on fire during the making of a Pepsi
commercial, it was estimated that over $32 million dollars of free air time was accrued as stations
showed the accident. The impact of the publicity generated by products associated with the O.J.
Simpson case demonstrate the positive impact that this publicity can have. On the other hand, one
of the key ingredients to this success may very well be the fact that it is not perceived as a
planned effort to generate free time. Once the consumer and/or the media figure out that the
publicity is sought, the effectiveness decreases immediately.
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Additional Discussion Questions (not in text)
9. Explain what is meant by the term cause-related advertising and advocacy advertising. Cite
examples of organizations that have used this strategy. Does it work?
Cause-related advertising is the term used to describe the linking of companies with charities or
non-profit organizations as contributing sponsors. Cause related marketing is a “hot” trend in the
business community.
Companies like American Express, Visa, Johnson & Johnson and many others have participated
in cause related marketing for a variety of reasons. First, the goodwill and positive publicity
associated with these activities are beneficial to the firm. Secondly, there is the feeling of doing
something good for the community. Third, marketing activities such as coupon redemptions and
sales have been shown to be positively affected.
Participating in a cause-related relationship is not a guarantee of success, however. American
express has suffered negative publicity, as have others when the public feels that all of the
motives are not altruistic. In addition, some causes (such as AIDS) are considered by many to be
too controversial to engage in, creating possible problems in the marketplace as well as within the
organization.
Advocacy advertising involves the propagating of ideas and elucidating controversial social
issues of public importance in a manner that supports the interests of the sponsor. A quick perusal
of any major daily newspaper will reveal that this form of advertising is on the increase. Such ads
can also be found in magazines such as Time and Newsweek among others.
The reasons for advocacy are many. One is to generate public support on an issue. Another is to
elicit funds, while a third is to make people aware of an issue. Such ads may range from taking a
safe stance (Mobil’s back the police campaign) to extreme depending on the goals of the sponsor.
Effectiveness will also vary depending on the goals sought.
10. What are MPR’s functions? How might they benefit the organization’s marketing programs?
MPR functions are those public relations activities designed to support marketing objectives. As
noted, MPR’s may aid the marketing program in a number of ways:

building marketplace excitement before advertising breaks

creating news where there is no product news

introducing a product with little or no advertising

providing a value added customer service

building brand-to-customer bonds

influencing the influentials

defending products at risk

giving consumers a reason to buy
The instructor is referred to the text for more explanation on the above.
11. Why is publicity so powerful? Give examples of how publicity has worked for and against
companies.
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The power of publicity emanates directly from its high credibility. Because the source of the
communication is generally perceived as being objective, or at least as not having a vested
interest, the information is often treated differently than that of advertising and/or promotions. As
a result this information is passed on more readily, and in general is considered more believable.
A contributing factor is the way that the media handle publicity. Unfortunately for many firms,
negative publicity often receives more attention than does that of a positive nature. The Audi
example, as well as those of Jack-in-the Box and Suzuki demonstrate this point quite well. As a
result, more coverage is provided, more consumers are exposed, and the information seems to
convey more “news value.”
Examples of the power of credibility are common in both regards. Perrier, Corvair, Tylenol, and
Suzuki are all examples of the power of negative publicity. The Buick and Cabernet wine
examples demonstrate the impact of how publicity can be used positively. Likewise, a number of
products have directly benefited or been hurt by the publicity they received from sources such as
Consumer Reports.
12. Some people believe firms should not adopt the new marketing oriented role for public relations.
Argue for and against this position.
Those who would argue against the new role of public relations base their arguments on the fact
that public relations is not a marketing function. They argue that public relations is designed to
create goodwill, promote relations in the community, etc. They believe that those trained in public
relations take a different perspective and have different skills than those trained in marketing.
Those who support the new role of public relations contend that since public relations efforts
benefit the firm they offer a marketing advantage. Corporate image has been shown to be an
important factor in consumers’ evaluations of products and services, and creating a good image
through public relations activities helps the marketing cause. Secondly, they argue that
organizations need all the help they can get in the marketing cause. By using public relations as a
marketing effort, the organization is just receiving an additional benefit.
Supporters of the new role can offer a number of examples of the success of combining public
relations with marketing efforts. The Mikey story cited in the text, the cause-related efforts of
companies and other examples are commonly cited as good reasons for supporting the new role.
They also note that the successful return of Tylenol was initiated by the public relations
department—not marketing.
Finally, the new role of public relations has effectively utilized the power of publicity. More and
more firms are using public relations and publicity in conjunction with marketing activities to
increase the power of the total effort. Ads featuring Arnold Palmer, Madonna, Tiger Woods and
others have been proven to return the cost of using these celebrities as a result of the free
publicity they generate.
13. Describe some of the problems that might result from boycotts. Discuss some of the strategies for
combating boycotts.
Obviously, no organization wants to become the target of a boycott. Besides the loss of public
image, a number of other problems can also result. For example:

internal morale problems

lost sales
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
lost opportunities

lost work time and effort to combat the problem

lost dollar expenditures to combat the problem

lost customers

lawsuits

court injunctions

protests
Obviously, the best way to combat boycotts is to take a proactive approach rather than a reactive
one. What this means is that companies should think about the results of their actions before they
do them, so as to head off any potential problems.
Since this is not always possible, the organization must be prepared to respond to boycotts. Many
organizations have crisis plans and even managers responsible for dealing with such occurrences.
Others are forced to respond once the problem has occurred. Actions that might be taken once the
boycott has been initiated include:

rectifying the situation (P & G changed their logo)

apologizing (Exxon’s apology letter shown in the text)

changing policies (Burger King quit buying beef from Costa Rica)

refuting the counter position (GF stated its own position on advertising on “sexy” shows)

ignoring the boycott (Spain’s Expo 92 ended before bullfighting was abolished).
Of course, the proactive approach is the desired one. However, when a boycott does take place,
the company will almost always have to respond.
14. How do public relations programs differ in various countries around the world? Give examples.
The public relations literature provides an interesting perspective of how public relations
activities are carried out throughout the world. Rather than rehashing these here, we feel that it is
more important to focus on the misperceptions that many students may have regarding these
activities.
For example, most students believe that we in the US operate in a completely free environment
with little or no restrictions. This is not necessarily the case. In fact, there appears to be a trend to
more and more restrictions on the media.
Likewise, students are often not aware to the fact that many third world countries conduct pr
activities. We have a tendency to think of public relations as being disseminated through
conventional channels such as those that exist in the Western world.
Finally, it may come as a surprise that a rather sophisticated communications network providing
public relations information to the masses exists in Russia and/or China. Again, while these
networks may not take on the same form as those here, they do, nevertheless, achieve the same
goals.
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15. What are some of the reasons for conducting public relations research activities?
As with any other part of the communications program, there are reasons for conducting public
relations research activities. These include, but are not limited to the following:

to determine target audiences—some members of society may provide more effective
markets than will others.

to determine attitudes and perceptions—it is important to know the audiences perceptions of
the organizations as well as the programs it may or may not implement

to “tune” the program—testing source, message, and media factors is important to insure the
success of the pr program

to evaluate the effectiveness of the program—follow-up research designed to determine the
effectiveness of the program is important.
Just as we would want to conduct research as input into the design of the program, we would also
need to do the same to determine how the program worked once implemented. Research activities
are required throughout the program
16. Explain the differences between public relations and publicity. In what ways are they the same?
As noted in the text, the distinction between public relations and publicity is often not clear to
students. Much of this can be attributed to the fact that problems and opportunities involving
publicity are typically handled by the public relations department. Thus the tools used in the
creation of public relations programs are the same as those employed to generate or control
publicity. The procedures used to measure the effectiveness of these programs are also similar.
At the same time, there are distinct differences between public relations and publicity, with
control being foremost. While public relations programs are designed and implemented by the
organization, publicity may originate from within or outside of the organization. In the latter case,
the information is not always favorable to the firm, and the scope of the actions designed to deal
with these communications will differ significantly.
A second difference lies in the cost of public relations and publicity. While some textbooks argue
that there is no cost involved in public relations, we take a different view. Public relations
programs may be very costly in and of themselves, not to mention the cost of staff, materials, etc.
Likewise, public relations agencies charge firms for their work. (If public relations is free, how
did these large public relations firms get in business in the first place?) Publicity may also cost
the firm. Writing and issuing press releases, managing “leaks,” etc., obviously cost money. But
these costs may be much less than those involved in large PR efforts, and—when released by
other sources (for example, Consumer Reports)—may be free.
Finally, both PR and publicity may too often be reactive rather than proactive in design. That is,
they may be employed in response to an event or communication that poses a potential threat.
Formalized programs designed to be proactive are now becoming more common, though more so
in the public relations area than in publicity.
17. What are the various forms that corporate advertising might assume? Give examples of each.
Corporate advertising is generally classified as either image advertising or social, business and
environmental issue advertising (advocacy). The former is designed to promote the general image
of the firm, while the latter takes a position on a particular issue to enhance the image of the firm.
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Implementation of these forms of corporate advertising may be different. Image ads may be:

General image or positioning ads. These ads are designed to create a specific image of the
company in the minds of the public. Beatrice Foods has used this form of advertising to
demonstrate the diversification of the company.

Sponsorships. By sponsoring special events, programs, or even television shows, companies
hope to create an image of themselves. The Hallmark Hall of Fame movie specials, the
sponsorship of educational television by Mobil and Gulf Oil companies are examples.

Recruiting. Companies create images through their recruiting ads. Arthur Young (an
accounting firm) advertised for “free thinking” college graduates. Others have created an
image of themselves as companies for those interested in “challenging careers.”

Financial ads. Companies attempt to create images of themselves for potential investors.
They may run ads showing their strong stock performance, sound investments, or the security
of investing in them.
The issue ads—or advocacy ads—take a particular position on an issue of concern or interest to
the public. The Mobil and AT&T ads shown in the text are good examples.
18. How can a manager manage publicity? What types of action can be taken in response to negative
publicity?
Managers have the ability to control some of the publicity that is presented. The issuing of press
releases, the holding of press conferences, and “leaks” (the information somehow just seems to
get out!) are ways of getting information to the media. When an organization wants to get positive
information disseminated, these methods can be employed. Examples include the consumer
products companies releasing of information about the signing of rock stars or movie stars to
serve as product spokespersons.
Perhaps the most well cited example of dealing with negative publicity is the Tylenol case. Sound
marketing research, a comprehensive advertising and public relations campaign and a strong
brand image were all responsible for the success in dealing with negative publicity. Suzuki also
instituted a strong campaign. The company sent tapes and support articles to all of its dealers and
instructed them on how to deal with questions concerning the negative publicity. Tree Top and
Exxon—as shown in the text—effectively handled negative communications through advertising
their positions and apologizing respectively. Essentially, to deal with negative publicity, the
company must have a crisis management program in place, and must use sound marketing
practices to ward off the threat. Refusing to comment, attempting to discredit the source or other
negative approaches are less likely to be successful.
19. Discuss some strategies used to implement the public relations program. Give examples.
A variety of tools are available to the public relations manager for implementing the program.
Some of these examples include:

press releases—information distributed to the media for publication or broadcast. An
example—IBM announcing that it would no longer sell PC’s with potentially defective Intel
chips inside.

press conferences—called by organizations to announce an event, accomplishment or other
happening. The University of Nevada, Los Vegas announcing that they had dismissed their
head basketball coach.
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
exclusives—one medium given exclusive rights to the story. CBS gaining an exclusive
interview with the family of Nicole Simpson.

interviews—personal interviews with key figures involved. KCBS in Los Angeles interview
with Lance Ito—the judge in the O.J. Simpson trial.

community involvement—organizations become actively involved in community activities to
achieve recognition for doing so. Local media get involved in cleaning up neighborhoods,
painting, etc.
IMC Exercise
Instruct students to gather information of various types of public relations activities engaged in by
organizations. These include both traditional and nontraditional methods. Have them collect examples of
sponsorships, and describe the target audiences sought, and the pros and cons of the sponsorship.
IMC Project
Develop a public relations plan as part of the overall program. Describe what the objectives of this
program are, how the program will be implemented and how it will be evaluated for effectiveness.
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