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Public Relations 3850 Exam 1 Study Guide

by: Bridget Notetaker

Public Relations 3850 Exam 1 Study Guide ADPR 3850

Marketplace > University of Georgia > Public Relations > ADPR 3850 > Public Relations 3850 Exam 1 Study Guide
Bridget Notetaker

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This study guide covers everything we've discussed in class so far this semester. Any information on this study guide is fair game for the test.
Public Relations
Micheal Caccitore
Study Guide
Public, relations, Pr, 3850, uga, University, Of, Georgia, study, guide, exam, test, 1
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This 28 page Study Guide was uploaded by Bridget Notetaker on Thursday September 8, 2016. The Study Guide belongs to ADPR 3850 at University of Georgia taught by Micheal Caccitore in Fall 2016. Since its upload, it has received 201 views. For similar materials see Public Relations in Public Relations at University of Georgia.

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Date Created: 09/08/16
Public Relations 3850 Exam 1 Study Guide  Lecture 1:  Public Relations can be defined as: o “The management of communication between an organization and its publics”  Who are these “publics”?  Internal and external publics o Based on organizational boundaries  Primary, secondary and marginal o Based on influence/need  Traditional and future o Based on time  Proponents, opponents and uncommitted o Based on relationship o Potential Publics for Multinational Corporations  We divide people into many different groups  Ex: press, stockholders, suppliers, etc. o Other terms common to definitions of PR  Deliberate  Planned  Performance  Public interest  Two-way communication  Components of PR: o Counseling/opinion change o Research o Media relations o Publicity o Employee/member relations o Community relations o Public affairs/lobbying (PR aimed at government) o New and existing relationships o Issue management  Ex: pre-problem PR o Financial relations o Monitoring environment o Development/fund-raising o Multicultural relations/workplace diversity o Special events o Integrated communications o Etc.  A PR professional must have skills in: o Written and interpersonal communication o Research o Negotiation o Creativity o Logistics/management skills o Facilitation o Problem solving  PR as a process: R.A.C.E. o Research: defining PR problems o Action: program planning o Communication: execution o Evaluation: evaluating the problem  The PR Decision-Making Process: 1. Research: define the problem  Some form of qualitative or quantitative research is often conducted to define the problem o Ex: a survey of a company moral o Ex: survey of consumers o Ex: analysis of sales data  Oftentimes, we’ll conduct a situation analysis to summarize the problem and broader situation  The situation analysis: o Client background o Product/service/brand information o Market/competition o Consumer profile o Brand and marketing analysis o S.W.O.T. (Strengths, Weaknesses, Opportunities, and Threats) Analysis o Strategic implications an recommendations 2. Action: state the program objectives  Differentiate between goals (long-term) and objectives (specific outcomes)  Objectives may be informational, attitudinal/motivational, and/or behavioral  Brainstorm for campaign o What should we do? 3. Communication: develop campaign to meet objectives  Base the campaign on pre-existing research  Base the campaign on theory  Base the campaign on the research you conducted earlier in the process 4. Evaluation: evaluate, evaluate, evaluate  Should be done continuously  Did the campaign work?  Alternative depictions of the Process: o Formative (before) research and analysis o Use research to establish objectives/strategies o Develop campaign o Execute plan/campaign o Evaluative (after) research o Use research to adjust future campaigns  Differences between PR and Journalism: o Scope:  PR: has a much broader scope  Ex: organizing a special event one day and writing a press release the next  Journalism: about producing content  Ex: news articles, magazines features, TV segments, etc. o Objectives:  PR: has a goal of advocacy  Journalism: strives for objectivity in reporting  Ex: point/counter-point news writing, giving equal time to both sides of a debate o Ex: global warming, intelligent design vs. evolution o Audiences and Channels:  PR: Specialists will tailor their materials much more to different segments of the public and will often do something through a variety of channels  Journalists: produce content for the medium for which they work, but must also write for mass audiences  Ex: Paul Krugman produces articles for the NY Times while Matt Drudge does so for the “The Drudge Report” website  Differences between PR and Advertising: o Tools:  PR: works in the area of “earned” or “owned” media  Ex: professionals might submit news information to journalists for consideration (ex: publicizing and event), but also rely heavily on the events themselves to build relationships with publics and different organizations  Advertising: use paid placements as their primary tool for work  Ex: print media ads, commercials, product placement, etc. o Audience:  PR: concerned with both internal and external audiences  Ex: they might target external groups like shareholders, vendors, or opinion leaders, including environmental groups  Ex: might focus efforts on employees within the organization  Advertisers: concerned only with an external audience  Ex: consumers of various goods/services o Scope/Function:  PR: broader in scope, dealing with the performance of the organization as a whole  Ex: they deal with not only how consumers view their organization, but also how employees within the organization feel, how the customer service is operating, etc.  Advertising: much smaller scope and is viewed as a specialized communication function (ex: to market the product)  Ex: Wal-Mart and their brand image or employee relations o Cost:  PR: can be viewed as a cost-effective alternative  Ex: product publicity is news coverage of a product or service  Ex: Why might this be more effective than advertising to promote a product of service?  Advertising: can be quite expensive  Marketing: the act or process of selling or purchasing in a market o There are 4 P’s of marketing: 1. Product 2. Place 3. Price 4. Promotion th 5. Public Relations is often referred to as the 5 P  Differences between PR and Marketing: o Audience Focus:  PR: focused on many different publics and sales are not the main focus  Concerned with relationships and trust with publics  Concerned with an organization’s values  Marketing: consumer focused with a goal of selling products or services, oftentimes through packaging and promotions  Goal is to increase “the slope of the demand curve” for a product or service o Language:  PR: less concerned with the “hard sell” and sis more conversational in tone  Interested in two-way communication with “publics” and “stakeholders” that are not just “consumers” of the product or service  Marketing: utilizes sales-oriented language  Ex: they speak of “target markets”, “customers”, and “consumers” o Objective:  PR: raise awareness, educate, or inform the public, and/or builds trust in the organization  PR’s currency is not necessarily economic but could be awareness, trust, etc.  Marketing: satisfy economic objectives  Ex: influence purchases  How to meet objectives: o PR: oftentimes more effective than marketing or advertising when it comes to:  Premarket conditioning  Long-term strategy development  Generating word of mouth  Building a brand’s reputation  Building corporate reputation  Overcoming a crisis o Marketing: oftentimes more effecting than PR or Advertising when it comes to:  Launching and promoting a new product or service  Acquiring and retaining customers  Targeting niche audiences o Advertising: oftentimes is better than PR or Marketing when it comes to:  Building awareness for a specific product or service  Toward an integrated perspective: o Strategic Communication:  Concept of integration:  To use a variety of strategies and tactics to convey a consistent message in a variety of forms o Ex: Edelman  Why the shift to Integrated/Strategic Communication?  Downsizing leads to consolidation o Oftentimes fewer employees are expected to do the same amount of work  Tighter budgets o Advertising can be costly (and we TiVo by some of them), so alternative means of building publicity is being turned to  Advertising clutter and credibility o Maybe not the cure-all it was believed to be  Increasing attention to how social policy can influence the marketing of products and services invites PR participation o What groups should the organization give to, if any?  How PR contributes to the bottom line: o Building awareness: increase sales and stock prices through publicity, promotion, and targeted communications to segmented audiences o Organizational motivation: increase company morale, etc. through internal relations and communication o Issue scanning: understand public opinion early in the process through systematic and comprehensive research methodologies o Opportunity identification: discover new markets and opportunities by maintaining dialogues with a variety of audiences o Crisis management: protect your position and reputation by having a concrete plan for handling crisis o Counseling executives: help make informed decisions by counseling those in charge o Serving as an agent of change: outline benefits and plans for change through dialogue with a variety of audiences o Ensuring social responsibility: create a positive reputation and earn community trust by aligning an organization with public interest projects, etc. o Influencing public policy: eliminate political barriers through lobbying and building coalitions with decision-makers o Creates positive public opinion: builds relationships with audiences through planned events, providing information to needed publics, and generally doing good things o Prevents negative public opinion: ensures there is crisis plans, training employees to speak with media, influencing company policy, etc. o Generates sales leads: develop prospects and generate sales leads for new markets as people follow up on news released by PR o Considered more credible: provides third party endorsements via news organizations o Stretches advertising and promotional dollars: use of timely press releases, clever campaigns, events, etc. help sell minor products that may lack significant advertising budget o Provides inexpensive sales literature: news articles and subsequent consumer reviews provide visibility for promoting products that would cost money if pursued through more traditional means  Ex: advertising  Lecture 2:  History of PR: o Ancient Beginnings:  The Rosetta Stone (196 BC)  Amounts to a press release of pharaoh (Ptolemy V) accomplishments  Julius Caesar (~60 BC)  Threw parades as a part of a campaign to fulfill political ambitions th  The Church (~11 Century)  Enlisting followers in the name of penance or forgiveness o Colonial America (16 th– 18 thCenturies):  PR as a means to promote settlement  Struggle for independence  Ex: Boston Tea Party: “The greatest and best- known publicity stunt of all time”  Propaganda used to galvanize support for the Revolutionary movement o Sam Adams:  PR Specialist:  Recognized power of the pen o Used writing as a means of communicating about the importance of independence, and unity, and about the injustice of the colonies  Recognized the power of special events and symbols o He was behind the Boston Tea Party and understood the emotions such an event might arouse  Used slogans o “No taxation without representation”  Used press releases and news leaks o Wrote an account of the Boston Tea Party before the event had even occurred o Paul Revere delivered the account to newspapers as soon as the even occurred o Got news of battles through press leaks  Objectives: 1. Justify the cause 2. Promote advantages 3. Arouse the masses 4. Neutralize opponents 5. Phrase issues clearly o The Age of the Press Agent (1800s):  The age of hype:  Davy Crockett, Buffalo Bill, Annie Oakley  Press agent tactics  The master of the pseudoevent: o P.T. Barnum (understood how to use PR to be successful)  Used ticket giveaways and opinion leaders to ensure event success  Press Agentry: P.T. Barnum, Master of the Pseudo Event  Joice Heth  Tom Thumb  Jenny Lind  “Jumbo” circus elephants o PR Grows as America Grows:  PR was pivotal in the early growth of America  Settling the American West  Railroad promotion techniques: o Free tickets to journalists o Published brochures about fertility of land, etc. o The Rise of Politics:  Political beginnings:  John Beckley and Thomas Jefferson  Amos Kendall and Andrew Jackson  Teddy Roosevelt  Etc.  All the President’s Men: o Thomas Jefferson and John Beckley:  Beckley: Jefferson’s “eyes and ears” for public opinion  Jefferson rarely wrote himself, but urged others, including John Beckley to publicly counter the federalists in the press  Jefferson urged Madison to attack the ideas of Alexander Hamilton, writing: “for God’s sake, my dear sir, take up your pen, select the most striking heresies, and cut him to pieces [sic] in the face of the public” o Amos Kendall:  President Jackson’s “Thinking Machine”  A member of Andrew Jackson’s “kitchen cabinet”  Jackson was portrayed as a rugged frontiersman who worked for the people  He spoke ruggedly as well, so he dictated his ideas to Kendall, who made them more palatable  Kendall was “the President’s thinking machine, and his writing machine – ay, and his lying machine… He was chief overseer, chief reporter […] scribe, accountant general, man of all work – nothing was done without the air of his diabolical genius” o Teddy Roosevelt:  Changed government through PR  Often used informal chats with reporters to anonymously get his ideas into the press  Always issues press releases on Sunday in order to capture Monday morning headlines  Understanding the importance of press and positive relationships with the press, he created the first White House press office o Woodrow Wilson and George Creel:  Woodrow Wilson established the “Committee on Public Information” in 1917, on which George Creel served  Committee was charged with changing anti-war attitudes as U.S. was entering WWI  The Creel Committee:  Mailed out 6,000 news releases  Generated 20,000 columns of newsprint each week  Published an official daily with a circulation of 118,000  Sponsored 75,000 speakers in small towns of America  Established a foreign language division that monitored foreign language newspapers and translated foreign documents  Developed exhibits, films, and posters that traveled the country  Creel and his committee regulated the press to control war coverage  He asked the newspapers seek approval before printing news that he categorized as “dangerous” o Ex: information about military maneuvers, threats to the president, questionable news that involved technical inventions and rumors, etc.  Wilson also hired Creel to sell war bonds, enlist soldiers, and to raise millions of dollars for welfare through the Red Cross, resulting in fundraising becoming a successful element of PR  After the war, an optimistic belief in the power of mass communication emerged o Franklin D. Roosevelt:  Used radio speeches to convey warmth, personality and nonpartisanship  Introduced and continued “fireside chats” on advice of pollsters  Louis M. Howe:  His PR advisor  Controlled FDR’s image  Carl Byoir:  Important figure in the campaign to fight infantile paralysis put forth by Roosevelt o Byoir designed fundraising events to make news (FDR Birthday Ball) and raise money o Byoir personally called every newspaper publisher in the U.S. and asked him to nominate a local FDR Birthday Ball chairman (a tactic United Way has continued) o “Dance so that a child may walk” became the slogan o Major American families all attended (Vanderbilts, etc.) and event raised $1 million dollars o Harry Truman and Arthur Page:  Arthur Page (VP of Marketing at AT&T) wrote President Truman’s announcement to the world of the dropping of the atomic bomb on Japan  The announcement was originally tasked to William Laurence of the NY Times, but he struggled at properly capturing a Presidential voice  Arthur Page: The Page Principles of PR Management:  Tell the truth o Be forthright with information by letting the public know what’s happening o Provide an accurate picture of the company’s character, ideals and practices  Prove it with action o Public perception is determined more so by what a person or organization does and less so by what they say  Listen to the customer o You must stay on top of what the public wants and needs o Always keep top decision-makers (and employees) informed about public reaction to company products, policies, practices, etc.  Manage for tomorrow o Anticipate public reaction and eliminate practices that create difficulties o Generate goodwill  Conduct PR as if the whole company depends on it o Corporate relations is a management function o No corporate strategy should be implemented without first considering public impact  Realize a company’s true character is expressed by its people o Every employee – active or retired – is involved with PR  Remain calm, patient and good-humored o Lay the groundwork for PR miracles with consistent and reasoned attention to information and contacts o Cool heads communicate best during a crisis situation o Jim Hagerty: Advisor to Dwight Eisenhower  Jim Hagerty served as Press Secretary for the entirety of Eisenhower’s time as President  Instrumental in Eisenhower’s television ads (first televised political ads) that depicted Eisenhower in a Q&A session with normal citizens  Eisenhower’s responses were actually taped separately, as were the “citizen” questions  Eisenhower won over Stevenson, partly because he had approximately $5m to Stevenson’s $100k to spend on advertising and PR activities  Muckraking Journalists and PR in Activism: o Muckrakers:  Ida Tarbell  Lincoln Steffes  Upton Sinclair o Activists:  Abolitionists  Women’s right advocates  Prohibitionists o The growth of newspapers and the age of muckraking journalists:  Muckrakers were named by Teddy Roosevelt after the character in the novel “Pilgrim’s Progress”:  “The man with the muckrake, who did not look up to see the celestial crown but continue to rake the fifth.”  This type of journalism became very popular as it:  Generated public response  Created follow-up work as subjects of investigation often responded to the journalist claims  Ida Tarbell (The History of the Standard Oil Company; McClure’s magazine, 1902)  This piece kicked off the era of muckraking journalism and using the press to expose wrongdoings  Revealed the unfair business practices of John D. Rockefeller to squeeze out competitors  The articles put Rockefeller on the defensive and he called in the help of Ivy Lee  Lincoln Steffens wrote a series titled “The Shame of the Cities,” which documented corrupt government practices in U.S. cities  Ray Stannard Baker wrote about labor problems, including child labor and the economic status of African Americans  Upton Sinclair wrote The Jungle in 1906  Conveyed plight of immigrant workers in Chicago’s packing houses and documented unsanitary conditions within  Led to the passage of the Pure Food and Drugs Act of 1906 that regulated activities of manufacturers  Fight for your right to freedom… o Abolitionists used:  Public lectures and heavy reliance on moral arguments  Political lobbying  Fund-raising activities (National Anti-Slavery Bazaar) to fund newspapers and other anti-slavery publications, including reading materials for children  Publication of slave narratives to build moral arguments against salvery  …Your right to vote… o Women’s Suffrage:  Used traditional lobbying tactics like petitions and organized face-to-face meeting where they targeted their messages to politicians  Held parades and public speaking events that challenged notions of how women should behave in public  Picketed the White House and garnered media attention through arrests  …And the right not to party? o Prohibition:  Political and religious groups used lobbying and messaging tactics to bring about Prohibition in 1920  Prohibitionists appealed to nativist ideas about America, arguing saloons where were immigrants corrupted politics  Meanwhile, ‘wets’ (opposed to prohibition) failed to take the campaign seriously before it was too late  Eventually repealed due largely to reasons of crime and the economy  Modern PR Comes of Age: o Henry Ford:  Positioning publicity always goes to those who do something first  Accessibility: organizations must always be accessible to the press; no subject was off limits with Ford  The First PR Counselor; Ivy Lee: o Georgia roots o Founded Parker and Lee in 1904 o “Declaration of Principles”  The birth of modern PR  Principles that he shared with the media to counter rising hostility toward PR o Largely responsible for the popularity of the press release o Ivy Lee’s contributions: 1. Promoting the idea that business and industry should align with public interests 2. Ensuring the support of top management 3. Maintaining open communication with journalists 4. Humanizing business and making it relevant to workers, community, consumers  The Father of Modern PR; Edward L. Bernays: o A Broadway press agent before WWI o Joined the Creel Commission during the War o Opened his agency with his wife Doris Fleishman in 1919 o The nephew of Sigmund Freud and a great believer in the use of psychology in forming public opinion o In 1923, he published Crystallizing Public Opinion, which laid down the rationale for PR as a function of management and introduced the concept of two-way PR  Advocated a research-based approach that involved accepting feedback from target audiences for mutually beneficial communication  The First In-House PR; Westinghouse: o Worked to promote alternative current (AC) over Edison’s direct current (DC) o Edison employed scare tactics to direct people away from Westinghouse’s AC  Edison published a booklet outlining the dangers of AC and the names of people killed by AC electrocution o Westinghouse disputed such assertions and published a booklet, Safety of the Alternating System of Electrical Distribution in October 1889 o Westinghouse system eventually won out  The First PR Firm; The Publicity Bureau: o Established in 1900 by George Michaelis o First client: Harvard University o 1906: began work for our nation’s railroads to oppose government regulation  Railroad campaign failed and bureau went out of business  A Brief History of PR; PR Expands in Post-War America: o Rapid growth in all areas of PR o Growth followed the development of mass media o Growth was aided by evolving research methodologies and techniques  Four Models of PR: 1. Press Agentry/publicity:  One-way communication  Typically through mass media  Oftentimes exaggerated or otherwise distorted information for solely advocacy purposes  Not research-based  P.T. Barnum then  Sports, theater, music and film today 2. Public information:  One-way communication  Typically through mass media  Not necessarily advocacy-based, but part of journalistic ideal of accuracy and completeness of information  Involves some fact-finding research  Ivy Lee then  Government and non-profits now 3. Two-way asymmetric:  Two-way communication through scientific persuasion techniques  Help the communicator better understand the audience for persuasive purposes  Research used to plan strategies and evaluate those strategies  Edward L. Bernays then  Marketing and advertising firms today 4. Two-way symmetric  Two-way communication for mutual understandings  Formative research used to understand public perceptions of the organization  Evaluative research to understand how PR tactics impacted audience understanding  Edward L. Bernays then Educators and professional leaders today  Lecture 3:  Careers in PR: o Incredible growth, both domestic and international  Almost $10 billion spent each year in the U.S.  Expected growth of 23% in Asian revenue in the next 5 years  Annual spending of more than $2.5 billion in China  Growth is not Surprising Given the Value it Offers: o PR practitioners increasingly seen as bringing upside to an organization:  PR offers 184% ROI (International Association of Business Communicators)  Many CEOs now want communication that is strategic, research-based, and two-way  PR Contributions can be Constrained: o Organizational factors determine the role of PR  Large firms more likely to include PR in decision-making  Small firms more likely to view PR as fulfilling only a technician role o Ultimately, management determines if PR is to provide a decision-making function or merely a tactical or production function  What Function Will PR Serve? o PR increasingly getting a seat at the decision-making table:  64% of all corporate senior-level practitioners report to either the CEO, COO (Chief Operating Officer), or CIO (Chief Information Officer)  That number is 77% for Fortune 500 companies  View themselves as well-received by the C-Suite and welcome voice opinions  Line vs. Staff Functions: o Ultimately PR is a staff function o Staff function:  Little direct authority, must influence through recommendations and advice o Line manager:  Delegates, sets goals, hires, influences others’ work  Levels of Influence: o PR influence is linked to their access to top management:  Advisory role: management has no obligation to request or act on recommendations  Purely advisory practitioners are often ineffective  Compulsory-advisory role: management is required to listen to PR perspectives before acting  Concurring authority role: PR and others must agree on an action  Sources of Friction: o Human Resources: disagreements over who should control employee communications o Advertising: Competition for resources and philosophical differences  Will it increase sales? vs. Will it strengthen relationships? o Marketing: focusing on only one public; current or perspective customers vs. many publics o Legal: differences on public statements  PR by the Numbers: o one of the top 50 professions for job opportunity and salary potential o Bureau of Labor Statistics: 24% job growth by 2018  Represents “much faster average growth” o Number of PR specialists by year:  1950  19,000  1960  31,000  1970  76,000  1980  126,000  1990  162,000  2000  197,000  2006  243,000  2016  286,000 (projected)  2018  341,300 (projected)  PR Positions o Where do people work?  43%  PR/Advertising/Marketing/Communication Firms  23%  Corporations  12%  Non-profits/Charities  7%  Self-employed  4%  Education  3%  Government  3%  Trade associations (ex: UGA Alumni Association) o Six essential qualities for success: 1. Writing skills: MOST IMPORTANT SKILL  Ability to frame and convey information and ideas  Increasingly, the ability to do so in small amounts of text 2. Research skills:  Ability to back arguments with facts o This is not unique to PR 3. Planning expertise:  Being organized enough to understand the “big picture”  Ex: fitting a campaign within a realistic budget or a larger image 4. Problem-solving ability:  Even more important as different departments become integrated 5. Business/economics competence:  Primarily, a focus on the managerial side of business and economics 6. Expertise in social media:  Constantly evolving, so a need to keep on top of developments in social media  10 Qualities that Employers Want in Their PR Practitioner 1. Good writing 2. Intelligence – Can you be trained? 3. Cultural literacy 4. Ability to recognize a good story when you see it 5. Media savvy (ex: in what mediums can this play?) 6. Contacts 7. Good business sense 8. Broad communications experience 9. Specialized experience 10. Fresh perspective  Survey of Practitioners: What Qualities are Most Important? 1. Writing 2. Editing 3. Media relations and placement 4. Special events 5. Speaking and talking 6. Production of content 7. Research 8. Planning and programming 9. Training 10. Administration  PR Positions: o Entry-level technician o Supervisor o Manager o Director o Executive  Organizational PR Positions: o Communication technician roles:  Taking photographs  Writing brochures  Preparing news releases  Organizing events o Supervisor roles:  Oversee technicians  Oversee specific projects  Prepare and work with budgets  Scheduling  Manage day-to-day activities o Communication manager roles:  Making communication policy decisions  Oversee multiple communication strategies  Supervising employees responsible for tactics o Director roles:  Looks at long-range planning based on trends in research  Serves as a liaison between executives and other workers o Executive roles:  Shape organization mission, strategy, and policy  Ex: Edelman drops coal producers and climate change deniers  The Value of Internships: o Win-win situation for both the student and the organization o Many major PR firms have formal internship programs  Edelman Worldwide (Edel-U)  Weber Shandwick (Weber University)  Hill & Knowlton  Ketchum  What about the paid positions? o Entry-level salaries in PR:  Average median yearly salaries are slightly higher in PR ($33k) than in many other communications fields  A person with less than 2 years of experience can earn a salary of approximately $37,000 (PRWeekly) o Salaries can increase quickly:  The national median salary for experienced professionals:  Approximately $85,000 for practitioners with 7-10 years of experience  Over $150,000 for practitioners with more than 20 years of experience  They vary across organization type: (average salary)  Non-profit  $70,000  PR agency  $81,500  Corporation  $113,00  Technology  $115,000  Financial Services  $120,000  Trends in Today’s Practice of PR: 1. Feminization of the field:  70% of PR practitioners are women  Yet, women earn less money than men… Why? o The number of years in the field o Technician duties vs. managerial responsibilities o The size of the organization o Women’s attempts to balance work and family  Why are women drawn to the field? o More welcoming business environment o More money than comparable jobs o Can be your own boss o Perceived to be more facilitative communicators 2. The importance of diversity:  Minorities constitute 36% of U.S. citizens with Hispanics as the fastest growing group  Minority practitioners lag behind population trends  Professional groups seek to encourage minority practitioners 3. Transparency:  Public demanding transparency in light of recent scandals 4. An expanded role for PR  Movement beyond publicity and media relations  Attempts to get seat at decision-making table 5. Increased emphasis on evaluation:  Research techniques and technological developments mean more accurate understanding of impacts on bottom line 6. Investments in Corporate Social Responsibility (CSR) 7. New directions in mass media  A 24/7 news cycle  Adapting to changing media environment and lack of one “true” source for information  Preparation of materials for these new media sources (ex: video) 8. The importance of lifelong earning  Both easier and more difficult to stay current  Increases the need for specialization 9. Outsourcing to PR firms  Specific aspects of PR being outsourced even at those organizations that have in-house PR  The Trend Toward Outsourcing: o Almost 90% of Fortune 500 companies use outside PR counsel in varying degrees  The need for additional “arms and legs”  To obtain a unique perspective and market insight o What’s outsourced?  Writing and communications  Media relations  Publicity  Strategy and planning  Event planning o Pros and cons of outsourcing to PR firms:  Pros:  Objectivity: different perspective on things  Skills and expertise: specialists a company will not have  Extensive resources: media contacts, data, etc.  Offices throughout the country/world: global perspective  Problem-solving skills: expertise in crisis or CSR  Credibility: makes others pay attention to your organization  Cons:  Superficial knowledge: the PR firm doesn’t make widgets  Part-time commitment: you are not their only client  Need for long briefing: moving beyond a superficial knowledge takes time  Internal resentment: who are these people?  Need for confidence: must trust the firm and provide access to information  High costs  How PR gets Paid: o Type of work:  Project work: defined task with clear beginning and end  Ex: build a website  Retainer work: long-term relationship that will cover numerous projects o Specific pricing model:  Time and materials: usually used for project work where client pays for hours spent on project and the materials used  Requires close tracking of hours  Flat fee: used for both project and retainer work where fee is charged for the scope of work based on expected hours and resources  Clients love this, but is often a risk for the agency and usually reserved for clients you have worked with before o Agile fee: used for project work where client purchases a block of time from a block of talent  While it guarantees a profit margin for the firm the talent sometimes feels outsourced and may lead to negotiated extensions o Pay for placement: client pays for each story the firm places in media  Least used billing method  Subjects to whims of editors  Reduces PR to publicity function  Lecture 4:  Ethics vs. Values: o Ethics: “...are standards of conduct which indicates how one should behave based upon moral duties and virtues rising from principles of right and wrong” o Values: “...are central beliefs which determine how we will behave in certain situations”  Include things like honesty, loyalty, integrity, etc.  We apply our values (ex: I think honesty is an important part of who I am) to determine the ethics (what is right and what is wrong) of a given situation  But, is everything so black and white? o For example, is honesty always the best policy?  Approaches to Ethics: o Absolutism:  Things are completely right or completely wrong  Ex: you cannot exaggerate the qualities of a product if your client asked you to o Existentialism:  There is a continuum of “rightness” and “wrongness”  You can pick your spots on the continuum  Ex: “frame” the truth in a favorable light o Utilitarianism:  The ends justify the means  Goal: harm the fewest number of people, bring joy to the most  Can one be an ethical advocate? o Point:  “Traditional ethics prohibits a person from taking an advocacy role because that person is ‘biased’ and trying to ‘manipulate’ people” o Counterpoint:  People expect PR practitioners to be advocates  As long as the advocacy efforts are truthful there is no problem  Ethics and Professional Organizations: o Professional organizations strive to educate and preserve the name of public relations  International Association of Business Communicators, International Public Relations Association, etc. o Provide guiding standards for the industry  Ex: The Public Relations Society of America (PRSA)  The largest national PR organization in the world  Ex: The Public Relations Student Society of America (PRSSA) o “Act with honesty and integrity at all times so as to secure the confidence of those whom the practitioner comes in contact”  First article in the Code of Brussels (IPRA)  Problems with this? o Typically not enforced in the form of sanctions o Have been called “toothless” by many  Codes for Specific Situations: o Internet Transparency:  Typically concerned with disclosure of sources for internet content  No paid posts  Respect copyright laws  Respectful voice o Video News Release:  Attempts to capitalize on third-party credibility to sell a product or service o Financial Information:  Response to recent corporate scandals (Enron, WorldCom, Tyco)  Must exercise independent professional judgment  Keep track of financial laws and regulations  Ensure full and fair disclosures o Corporate Practice Codes cover things like:  Truth and accuracy in communications  Confidentiality rules and practices and safeguarding of client proprietary information  Rules about gift giving  Abuse of insider information  Professionalism, Licensing and Accreditation: o Professionalism:  Professional practitioners should have:  A sense of independence  A sense of responsibility to society and public interests  Concern for the competence and honor of the profession  A higher loyalty to the profession than to an employer o Licensing:  Advocates:  Defines PR, unifies curricula, unifies standards, protects clients, protects practitioners, raises practitioners credibility  Opponents:  Violates 1 amendment, malpractice laws already exist, states license but PR works nationally/internationally, ensures only minimum competence/ethics, increased credibility not ensured, expensive o Accreditation:  Voluntary process of “certification” by professional organizations  Present portfolio of work  Demonstrate knowledge through exam  PRSA and IABC offer accreditation  Some organizations starting to require continuing education as a part of process  Ethics vs. the Law o Ethics:  Stringent standards for behavior  Purpose is to transform society into ideal  Not always enforced  Prescriptive  Based on ‘ought’s’ o Law:  Minimum standards for behavior  Purpose to maintain stable society  Resolve disputes  Protect property  Preserve government  Always enforceable  Prohibitory or mandatory  Based on ‘musts’  Friction between Law and PR: o Legal responses:  Say nothing  Cite legal sensitivity  Deny guilt  Shift or share blame o PR responses:  Be candid  State company policy  Announce investigation  Admit problem and implement remedy  Defamation: o False statements about a person or organization that have negative impacts on public perceptions o The following are required for defamation:  A false statement was communicated to others through print, broadcast or electronic means  The person was identified or identifiable  There is injury in terms of financial loss, reputation damage, mental suffering  The person making the statement was malicious or negligent o Those who run for office, CEOs, and major entertainers are examples of public figures  Public figures lose a huge amount of their protection for libel and slander  Corporations are public figures o Fair comment defense protects people like critics from defamation suits  Copyrights and Patents: o Copyright infringement:  Unauthorized use of works protected by copyright  One cannot copyright an idea, but can copyright the expression of that idea o But, “fair use” exceptions when:  Quoting small amounts of text from copyrighted work  Quoting information in a news story  Parody and artwork  Education  Regulating PR and Communications: o Federal Trade Commission:  Ensure advertisements are not deceptive  Also monitors news releases, brochures social media posts, etc. o Securities and Exchange Commission:  Monitors financial affairs of publicly traded companies  Focuses on things like insider trading, releasing misleading information, failing to disclose information in a timely manner  Often most relevant for those Investor Relations (IR) o Federal Communications Commission (FCC):  Ensure public airways are used for public interest  Concerns about source attribution for VNRs are purview of FCC  Increasingly involved in regulating the internet, including issues of net neutrality o Food and Drug Administration (FDA):  Had guidelines for communication on health topics:  Provide benefit AND risk information for drug treatments  Disclose limitations of the treatment o Ex: pregnant women  Provide full prescribing information


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