Public Relations (Edexcel IGCSE Business)
Revision Note
Written by: Lisa Eades
Reviewed by: Steve Vorster
The Value of Positive Public Relations
Public relations (PR) involves a business building relationships with the public, promoting a positive image for the business or brand as a whole and managing their reputation in the media
Diagram: Public Relations Approaches
PR activities include sponsorship, media relations, public events community outreach activities and publicity stunts
1. Sponsorship
Aligning a businesses brand with an event, group or cause that reflects its values is a common form of public relations
E.g Financial providers including Cinch, IG and Metro Bank sponsor England's international cricket team as the sport reflects values of fairness and exemplary conduct
High-profile sponsorship increases visibility of a businesses logo and other branding elements, and can enhance the business's reputation and credibility
2. Media Relations
Press conferences involve inviting media representatives to attend and ask questions at a dedicated event where a key business announcement is made, such as a new product launch
E.g. Apple invites high-profile international journalists to its regular new product launches
Press releases are announcements of key business decisions or developments that are sent to media outlets such as newspapers, industry journals and broadcasters
Businesses expect journalists to make use of press releases to write favourable news reports
3. Community Outreach
Supporting organisations in the local community with donations or other resources can improve the reputation of a business within the area in which it operates
E.g. McDonalds's Ronald McDonald House Charity provides short-term accommodation for families with children undergoing medical procedures in hospitals across the UK
4. Publicity Stunts
These are eye-catching events or activities designed to attract media coverage that draws attention to a brand
E.g. In 2018 Elon Musk's SpaceX programme launched a Tesla Roadster car into space
5. Public Events
Some businesses hold open days where visitors, such as key customers or suppliers, can find out about a business by speaking to key personnel and experiencing facilities first-hand
It is an opportunity for businesses to showcase the aspects in which it takes pride
E.g. Universities and private schools hold regular open days where visitors receive campus tours and have the opportunity to speak to teaching and pastoral staff
Benefits & Drawbacks of Public Relations
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Examiner Tips and Tricks
In the exam you could be asked to explain how PR could help to improve a business's reputation. Focus on an example of a reputational issue a business may be trying to solve to structure your response.
Example
PR may help a business that has behaved in an environmentally irresponsible way [1] make amends with stakeholders by issuing press releases or holding a press conference [1] where a senior executive sincerely apologises and explains how the problem will be solved [1].
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