Public Relation Class Test

1Write about Emergence of International Public Relations

With the increasing impact of globalization on public relations practice, it has been
suggested that all public relations has become global. The reason for this trend is
straightforward: public image of any organisation is most essential for its success and
indeed survival. International public relations, a relatively new field, barely existed fifty
years ago. With the growth of international business it is now coming into its own.

Good international public relations (I.P.R.) can greatly aid a firm and increase its profit.

The one side to I.P.R. is that the foreign firm abroad, it often influences the way foreigners
think about that firm's home country. Businessmen abroad, corporations abroad, whether
they like it or not, are unofficial ambassadors of their country and exert as much and
sometimes greater influence than do policies and information services of their government.
As the economy gets more and more interdependent, as the number of international
corporations and the power of international organizations such as the Common Market
increase, it will obviously need more and more sophisticated I.P.R.

International PR helps the government in import export, World trade Fairs, develop the
tourism industry and attract foreign investments hence boosting the economy of a country.

The role of PR in Global market is also of understanding the social and cultural practices of a
country hence helping in successful integration of the business in a foreign base.

Hence IPR has a major role to play in Internal Market by:

 Identifying untapped market and regions for a business to expand

 Its gives input regarding reputational impact, corporate values and differential
marketing strategies
 It is paramount for market entry strategy
 It is key in creating what message should go from corporate to outside

2.What are the main components of Public Relation Environment:

The functions and decision of public relations (PR) are influenced by internal and external
environment. The internal environment is generated within the organization which influences in the
decision making of PR. They are controllable factors and comprise of personnel, infrastructure
facilities, organization facilities etc.

The external environment is not under the control of an organization. It may include competition,
industry problems, a threat of substitutes, social cultural factors, political factors, economic factors
and many others which are externally related to an organization. It is uncontrollable factors and the
business entity can only try to minimize it but can’t control it.

Social and Cultural:-

The societal perspectives/trends by PR practitioners can be understood from at least four perspectives.

 Stakeholder Part of Society: – stakeholders are also a part of society. Their values and
beliefs come from broader societal influences. For instance – the interest of society in health
and fitness developed ample opportunities for fitness centers, nutritional products, fitness
industries.
 Socio-Cultural trends: – A social system with high degree of civilization, mobility
industrialization and urbanization are the primary factors impacting the business. Business
depends on the social environment for all the needed inputs. Therefore, it is rightly said that
business is one unit of the total social system. No business can control the social belief,
culture, heritage, family systems, religion etc. but, they can influence them to a limited extent.
Therefore, it is imperative for PR practitioner to develop a social connection with the public.
 Restrictive Legislation:-It is essential for PR practitioners to guide the organization to follow
the ethical paths. It will help them to avoid any serious legislation activity. For E.G. when
many companies started generating profits and revenues, at that time they split their
businesses or diverse it into some other field too.

Economic:-

 The growth in an economy, interest rates, government policies, support agencies,

contributions, inflation rates, fiscal policies, foreign exchange rates, and foreign trade
balances are among the most critical economic factors. The economy also has an impact on
consumer demand for products and services. Mostly, organizations to assess the effect of
economic factors model their business environments using different scenarios. The major
economic factors which have a considerable influence on business include growth strategy,
labour legislation, industrial relations, stock exchange and its regulations, commodity
exchange, price policy, exit policy, export promotion, technological environment etc. the PR
should be well versed with all these terms and use it while making their PR decisions in a
company.

Political Issues:-

 Politics and business have a close connection. The government itself is a political boy created
by a political system. There are numbers of business legislation enacted by the government
which regulates business transactions. The current changes in political dynamics impact the
businesses on a larger scale. The government who is in power makes the suitable or favorable
changes in the economy which benefit the businesses and large, the nation. A successful PR
analyzes the prevailing political environment and then formulate strategies to avail of the
opportunities emerging out of a political system.

Legal Environment:-

 Legal aspects of business regulate both economic and non – economic issues. For E.G. the
announcement by the government to demonetize Indian rupee has drastically impacted many
business sectors. Many times government passed the acts to bring changes in the Indian
economy and give benefit to the masses. Therefore, PR professionals have to take a keen
interest in the legal aspects affecting the performance of the functions and have to adopt a
constructive role in this relationship.

 There are many acts passed by India government related with business and economy aspects
like The Indian Contract Act 1872, Indian Partnership Act 1932, Sale of Goods Act 1930,
 Negotiable Instrument Act 1881, Law of Insurance, Arbitration Act, 1899, Law of Carriage,
Essential Commodities Act, 1955, The Securities Contracts (Regulation) Act, 1956, and the
Consumer Protection Act, 1986.

Write Short Notes on

3.Systems Theory

An easy way to explain this is by looking at a company’s organizational structure. Lets

say you are apart of a company. You have your board of directors as well as your
employees. These two groups/units combine to form your whole organization. However,
these two publics only represent your internal publics. You also have many external
publics which may include your suppliers, consumers, and many others. The public
relations practitioner is the connection between the organization and its publics.
Including both the internal and external publics of the organization. By viewing these
publics as separate groups or units, the PR professional can better address the
individual needs of that particular audience.

Eg. You are a part of the board of directors and have had some trouble communicating to
your employees. This has caused a big problem because your employees are starting to
get irritated and not do so well. You approach your public relations director and after
some research, he/she decides that the best way to solve this problem is to issue a
company-wide newsletter.

4.Situational theory

The situational theory of publics, developed by Professor James E. Grunig , defines that
publics can be identified and classified in the context to which they are aware of the
problem and the extent to which they do something about the problem. This theory
explains when people communicate and when communications aimed at people are most
likely to be effective.

 Problem recognition (Independent Variable)

Problem recognition is the extent to which individuals recognize a problem facing them.
People do not stop to think about situations unless they perceive that something needs to
be done to improve the situation
Constraint Recognition (Independent Variable)
Constraint recognition is the extent to which individuals see their behaviours as limited
by factors beyond their own control. Constraints can be psychological, such as low self-
efficacy; self-efficacy is the conviction that one is capable of executing a behaviour
required to produce certain outcomes Constraints can also be physical, such as a lack of
access to protective gear.

 Level of Involvement (Independent Variable)

Level of involvement is a measure of how personally and emotionally relevant a problem
can be for an individual .Involvement increases the likelihood of individuals attending to
and comprehending messages .messages will be attended to only if the benefits or
dangers associated with them have .
5. Importance of PR (Refer the Question Bank)