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Public relations in India. A profession in transition

January 2004

Authors:

Nilanjana Bardhan

Southern Illinois University Carbondale

Krishnamurthy Sriramesh

University of Colorado Boulder

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Public Relations in India: A Profession in Transition

Nilanjana Bardhan

Associate Professor

Department of Speech Communication

Mailcode 6605

Southern Illinois University at Carbondale

Carbondale, IL 62901-6605

Krishnamurthy Sriramesh

Associate Professor

School of Communication and Information

Nanyang Technological University

Singapore 637718.

Published in K. Sriramesh (2004). Public Relations in Asia: An Anthology, Singapore:

Thomoson Publishing.

Introduction

The primary theme of this book, as described in Chapter 1, is that there is a dire need for

a body of knowledge of international public relations. It is only in the past decade that scholars

have used different theoretical frameworks to describe and analyze public relations practices in

diverse locales around the world. These indicators are useful starting points for engaging in

ground-up research on public relations cultures around the world. Building on these studies,

Chapter 1 has provided a comprehensive framework that has been used to present an overview of

public relations in India in this chapter.

Both authors are natives of this vast and diverse country and have first-hand professional

and cultural experience in India. They also have on-going research programs that focus on

public relations in India. The chapter is based on data gathered over a period of twelve years

using various methods such as in-depth fieldwork, ethnographic interviews with educators and

practitioners in various settings, data from two quantitative surveys, and previously published

scholarly literature and a range of organizational documents. The periods during which each

author has conducted primary field work (before and after economic deregulation begun in 1991)

has enabled a synergistic as well as longitudinal analysis of the significant shifts that have been

occurring in the Indian public relations landscape during a dynamic period of transition of the

Indian economy. Keeping with the transitory nature of the economy, the public relations

profession of India also is in a state of transition (Bardhan, in press).

A Brief overview of the history and diversity of India:

Although India is one of the most ancient of civilizations, India gained independence

from over two centuries of British colonial rule in 1947. As part of a negotiated settlement

brokered by the British, the large subcontinent that is now known as South Asia was divided into

India, West Pakistan and East Pakistan (that became independent Bangladesh in 1971). India’s

northern neighbors are Nepal, Bhutan and the Tibet region of China. On the northeast, she

shares borders with Bangladesh and Myanmar. Sri Lanka lies to the south while Pakistan and

Afghanistan constitute northwestern neighbors. India is flanked by the Arabian Sea on the west,

the Indian Ocean in the South and the Bay of Bengal in the east. The Himalayan range forms a

natural barrier in the north. Trade has been an important occupation in this region since ancient

times.

The constitution of India recognizes Hindi as the official language. However, English, a

postcolonial vestige, is also used simultaneously for official purposes especially in the non-Hindi

speaking regions of Southern India. In addition, the constitution recognizes 17 major languages,

typically one for each state, as official languages. Hundreds of dialects, although not officially

recognized, contribute to the immense linguistic diversity of this country. The 25 states and 7

centrally administered union territories that form the Indian Union are divided along linguistic

lines (Desai, 1999).

In terms of religion, majority of the billion1 plus population are Hindus (82%), followed

by Muslims (11%). Sikhs, Christians, Buddhists and Jains constitute the rest. The literacy level

has risen from 18% around the time of independence to 52% in the 1990s2 (Desai, 1999). The

most devastating human development issues that face India today are its exploding population,

high level of poverty and the low level of literacy. Religion, the issue over which the

subcontinent was partitioned in 1947, still continues to exacerbate political relations in the

country as well as in the region. Culturally and politically, India is a postcolonial Republic that

1 The population of India crossed 1 billion in 2000.

is engaged in a simultaneous tension between ancient tradition and modernization

(Westernization). The inherent contradictions that this condition engenders are evident in all

facets of life and work, including public relations.

Evolution of the public relations profession

The few chroniclers of public relations in India have marked different starting points for

the public relations profession in the country. If we define public relations as a rhetorical

practice where rulers use persuasive communication to disseminate instructions that help them

govern, then public relations in India goes back about 2000 years (Reddi, cited in Singh, 2000).

Kaul (1988) described the use of rock tablets by Emperor Asoka around 320 B.C. as an early use

of public relations in the sub-continent. However, the author also referred to the struggle for

independence from the British, in the first half of the twentieth century, as the starting point of

modern public relations in India. Noting that the prevalent newspapers at that time were

mouthpieces of the British rulers, Mohandas K. Gandhi, the leader of the struggle for

independence, started English as well as vernacular newspapers as communication tools for

building public opinion in favor of independence. This “missionary” style of journalism set a

note for the politics and style of the Indian journalism of the future (Desai, 1999).3

Other significant developments that shaped the public relations profession in India

included public outreach initiatives by domestic businesses such as the House of Tata and by

multinational companies such as Dunlop, Unilever (Hindustan Lever), and Philips. Tata opened

its first public relations office in 1943. In fact, the first course in public relations was offered by

the public relations officer of Tata in 1958 (Sriramesh, 1996). In an administrative capacity, the

British government started the Central Bureau of Public Information in 1923. This unit later

2 These statistics are based on the 1991 census results. The results of the 2001 census were still being processed at

the time of writing.

became the Press Information Bureau and after independence was incorporated into the current

Ministry of Information and Broadcasting. The post-independence growth of public relations in

India has been erratic and mostly unplanned (Reddi, 1999). Although the professional

infrastructure is not as coordinated and cohesive as many would like it to be, there is an

infrastructure that has kept alive the tasks of building, albeit slowly, a body of professional

knowledge and opportunities for professional development.

After independence, public relations developed in a style that may be called the public

sector style of public relations. This style is infused with the political and economic philosophies

of India’s early pro-socialist leaders. The image and status of the profession today bears the

mark of public sector philosophies. The political psyche of the new nation was such in the

immediate aftermath of British rule that the early leaders leaned towards a centralized

government and a mixed-economy4 with socialist predilections. One product of this political

ideology was the public sector unit (PSU), which continue to exist today, although there has been

an effort to divest many of them. Most of the early practitioners started their careers as public

relations officers (PROs) in such PSU companies.

Most of India’s strategic industries and services such as steel, oil, transportation, banking

and insurance comprised the public sector. A PSU is generally accountable to the people

through the parliament. The government owns the majority shares in the company and the

profits are supposed to be used for national development. Given the public accountability of

these companies, public relations became necessary for PSU’s (Mehta, 1997). The private

sector, on the other hand, generally felt no such pressure. Further, because the private sector

faced negligible competition from multinational companies in a protectionist environment, it did

3 The print media in India has always given inordinate attention to political issues.

4 A combination of socialist and private enterprises, with the former dominating.

not feel the need to engage in a dialogue and build relationships with significant publics through

the use of strategic public relations management (Sriramesh, 1996).

The early image of the public sector PRO, or for that matter the profession, was not very

complimentary. Perceived as a “fixer” prone to achieving objectives through “wining and

dining” (Kaul, 1988, Sriramesh, 1992), the PRO was mostly in charge of bandobast (making

arrangements) activities (Mehta, 1997). Publicity through press relations was an important

aspect of public relations and many early PROs were erstwhile journalists (Sriramesh, 1992,

1996, Singh, 2000). In addition, hospitality relations, use of the personal influence model to

accomplish objectives, and producing house journals were also deemed to be the main

responsibilities of PROs (Sriramesh, 1992). Public relations programs were not usually research

based or strategically planned out (Sriramesh, 1992, Kumar, 1987, Mehta, 1980).

On the other hand, Nina Seth, senior PRO for the very large public sector unit Food

Corporation of India, challenges the image of inefficiency normally associated with public sector

units asserting that although the early decades after independence did not produce many

professional practitioners, the situation has changed since the late 1970s:

“The public sector is stable and public relations policies are stable. The relationship

between PROs and management is continuously improving. The generation that is now

coming into public relations is coming in at a good time because the foundations have

been laid. We are the people who struggled to convince management that public

relations functions are not an appendage.”

A change did occur in the public sector in the 1970s. This was a time of economic and

infrastructural growth, a trend that ushered in a new level of confidence. Then Prime Minister

Indira Gandhi hailed public relations as a crucial function within management. In her words:

“Economic operations are becoming increasingly specialised. Contemporary

living, with the decline of the hold of religion, of family ties and of civic

obligations, is compelling people to become “lonely crowds.” At the same time,

the mass media are creating mass societies, emphasising stereotyped images,

urges and aspirations. In such a situation, public relations can play a mediatory

role between the individual and the group. At one level they deal in stereotypes

but at a more imaginative level, they humanise institutions” (Gandhi, cited in

Ghosh, 1999, p. 67).”

This public statement provided a boost to public relations. Increased professionalism and

improvement in status accompanied the growth of the profession from the 1980’s onwards.

Current status of the profession:

The 1990s ushered a change in the economic policies of India. The late Prime Minister

Rajiv Gandhi was a proponent of economic deregulation, and under his administration, the

protectionist socialist philosophies advocated by his forerunners began to intersect with the open

market leanings of his contemporaries. In 1991, strapped by a huge debt and facing an economic

crisis, the government approached the International Monetary Fund for assistance. The IMF

offered an aid package upon the condition that the government instituted major economic

reforms that would open the Indian market to foreign investment. This was a time of enormous

psychological transition because decades of socialist thinking clashed almost overnight with the

forces of market-oriented capitalism and globalization. Despite the complex socio-cultural

shocks that accompany such radical changes, the opening up of the market provided a fillip to

the public relations industry. An increasing thrust towards privatization proved significant not

just for public relations but also for related fields such as advertising and marketing.

For the public relations industry, the most significant impact of this shift was the growth

in the recognition and acceptance of public relations as a management function, which had

already been endorsed by late Prime Minister Indira Gandhi. In general, the dominant coalition

began to pay more attention to the scope of public relations in communicatively managing the

reputation and image of a company. The negative stereotype of the “fixer” receded somewhat

but was still evident, especially in the public sector units even in the 1990’s.

In a study conducted in the early 1990’s, Sriramesh (1992) asked interviewees, among

other things, to define the term public relations. Many professionals in his study did not define

public relations the way J. Grunig and Hunt (1984) had done, as the management of

communication between an organization and its relevant publics. Instead, a majority equated

public relations with, or identified it as a subsidiary to, marketing. One professional saw the role

of public relations as helping build “identification of the product with the company.” Another

echoed similar sentiments stating that public relations sought to “promote the awareness of the

product” marketed by his organization. “Public relations and advertising are complementary,”

opined the public relations professional of a large public sector enterprise. The head of public

relations of a large public sector enterprise, lamenting that “public relations has yet to gain

acceptance as a profession in India,” defined public relations as the effort aimed at “creating a

positive, permanent image in the minds of relevant publics.” Another senior public relations

professional saw charisma, which he identified as “an inborn trait,” as a vital characteristic for a

successful public relations practitioner. When asked to define public relations, the senior

manager of a large public sector enterprise described it as “unplanned and emergency work.”

Clearly, the strategic communication role that J. Grunig and Hunt’s (1984) definition of public

relations subsumes, was not seen in the Indian sample.

However, there are indications that over ten years of liberalizing of the economy and the

influx of multinational corporations and public relations agencies has changed the mindset of at

least a segment of the public relations industry. In fact, according to Subir Ghosh (1999), deputy

general manager for public relations for the Hindustan Paper Corporation, “Public relations, in

this scenario, is one of the many methods by which the society can adjust to the process of

change and resolve clashes between conflicting attitudes” (p. 63). According to R.K. Baratan

(1999), director of the National Institute for Management Studies, Chennai (formerly Madras),

the time had come for public relations to “claim its rightful place in the management and

administration” (p. 44).

It is not difficult to understand this advancement in the status of the profession, but what

is more complex to grasp is the chasm that this process opened between the new generation of

pro-market practitioners who operated to the rhythm of globalization and the more traditional

public sector PROs who had operated in the socialist paradigm. Both sides are experiencing

difficulties in professionally relating to each other. However, each side also cannot help but be

influenced by the other. A hybridization of sorts is the current state of affairs within the public

relations industry in India (Bardhan, in press).

Consultancies or public relations firms have been burgeoning since the late 1980s. Large

consulting firms have offices in all the metropolitan centers in the country. Before that period,

smaller consultancies were in existence but they mostly worked in conjunction with the in-house

public relations units of companies. With the changes in the economic climate of the late 1980s,

many advertising agencies started adding public relations units to their operations. In addition,

several local public relations firms either started independent operations or entered into

affiliations with international public relations agencies such as Hill & Knowlton (Indian Public

Affairs Network, New Delhi) and Burson-Marstellar Roger Pereira Communications Private

Limited (Mumbai). In the 1990s, increasing foreign investments from Asia, Europe, the Middle

East and the United States and the trend of initial public offerings by domestic companies further

spurred the demand for public relations services (Bovet, 1994, Newsom & Carrell, 1994),

especially investor relations and public affairs. Given all the hurdles that accompany investing

in a developing economy,5 India presents a difficult business environment. All international

companies that start operations in India tend to hire at the very outset, legal counsel, an

accounting firm, and a public relations firm.6 (Desai, 1999).

Other trends have supported the growth of consultancies such as the increasing need for

crisis communication in an economic environment in flux, and the anticipation that the

traditional family business structure might break up. A new generation of managers is more

willing to taking financial risks, as a result of which mergers, take-overs and tie-ins are more

frequent than ever before (Bahl, 1999a). All these economic trends require the services of public

relations.

Ethics and Professional Associations: Ethics is a pertinent issue in such a state of flux.

The current demand for public relations services has led many unqualified individuals to begin

peddling their “public relations” services overnight. They continue to offer, to those interested,

the bandobast services that characterized much of Indian public relations until recently.

However, those in professional positions in established companies and firms assert that attention

to ethical practices is a must if the profession is to successfully carve a niche for itself in the

ranks of management. According to Sushil Bahl, vice president of corporate communication for

5 Lack of adequate laws protecting intellectual property rights, restrictions on repatriation of profits, high corporate

taxes, bureaucratic red tape, high cost of joint ventures and inadequate basic infrastructure and labor laws (see

Singh, 2000).

the largely successful private enterprise Mafatlal Industries, Ltd., “We have to be careful about

surrogate advertising, misleading claims, corporate ethics, handling consumer complaints and

grievances and a whole lot of other issues” (1999a, p. 33).

The Public Relations Society of India (PRSI) is the main association that represents

public relations in India and sets ethical standards for the profession. Established in Mumbai in

1958, the PRSI currently has over 3000 members and 28 chapters nationwide. The first national

conference was held in 1968 at which the International Code of Athens of the International

Public Relations Association was adopted. With the rapid changes in the profession in the late

1980s and 1990s, PRSI conferences are now held annually as compared to alternate two years.

The PRSI publishes PRSI News, a publication that keeps practitioners abreast of developments in

the profession, and overall, the mission of PRSI is to “formulate and interpret the objectives and

potentialities of public relations as a socially useful function and emphasize its value as an

integral part of management” (Public Relations Society of India, 1993).

Some of PRSI’s plans for future development include streamlining the administrative

process and establishing a national office that will link all regions, revising the Code of Athens

and developing a code of ethics more pertinent to the Indian condition, reviewing the

membership process and awards programs, and building the body of knowledge for the

profession by garnering support and resources for indigenous research and a national library

(Singh, 2000). Culturally, the main problem that PRSI faces today is the chasm between public

sector philosophies and the open market approach to public relations referred to earlier. Most of

its members are public sector practitioners, and the challenge lies in bridging this ideological gap

and attracting more practitioners who represent the changing face of public relations in India.

6 In addition, non-resident Indians are evincing interest in the economic future of the country through increased

investments

Another option, according to Prema Sagar, principal associate of Genesis Public Relations, one

of the early consultancies founded in the country, would be to start a new association

unencumbered by past ideological differences.

A smaller organization that represents the profession is the Press and Public Relations

Association based in New Delhi. This association also holds regular seminars and workshops

that provide forums for dialogue, networking and knowledge sharing among professionals. The

Institute of Public Relations Management in Chennai offers similar opportunities (Mehta, 1997).

Despite the existence of such associations and initiatives, the future challenge remains in

strengthening and better coordinating the profession’s scattered infrastructure.

Public Relations Education: Although public relations in India has made significant

advances going beyond the fire-fighting mentality to a more professional stance in the last 15

years, the lack of trained professionals despite an increase in demand for their services and a

dearth of quality new entrants into the profession is a matter of concern. According to several of

the practitioners and educators interviewed over a period of time by both authors, public

relations education in India leaves much to be desired. Serious attention needs to be paid to this

matter since it pertains to the overall credibility of the profession. This situation needs to be

understood against the backdrop of the general educational system in the country.

After independence, there was an inordinate focus on subsidizing higher education.

Primary education was given secondary importance by the government. Until very recently, the

education system in India was almost exclusively administered by the government based on the

socialistic orientation of the country. Although professionalism was promoted, vocational

training was largely neglected (Desai, 1999). In this situation, public relations education

struggled to gain legitimacy as an academic discipline. “In India…. nobody took any interest in

its development – neither the Government, the corporate world nor the profession” (Banerji,

1999, p.18). This is an unfortunate state of affairs because today public relations is a Rs.50

billion industry and employs over a 100,000 practitioners in government, private, public and

non-profit sectors. In short, this is a situation where quantity presides over quality (Reddi,

1999).

A handful of universities and institutions offer postgraduate diplomas in public relations.

Many of these programs are not exclusive to public relations, offering courses in advertising and

journalism as well. A sizeable number are not recognized by the government and therefore lack

the stamp of legitimacy (Mehta, 1997). One of the success stories amidst this scenario is that of

the Dr. Ambedkar Open University in Hyderabad. This non-traditional university for adults who

don’t have undergraduate degrees and attend on a part-time basis started a postgraduate diploma

course in public relations in 1986. This was later upgraded to a bachelor’s degree in 1992 – the

first in public relations in the country (Reddi, 1999). Madurai Kamraj University also started a

master’s degree in1998. Another notable institution is the Indian Institute of Mass

Communication (IIMC), New Delhi, which was set up by the government for training personnel

in journalism, advertising and public relations at the postgraduate diploma level (Mehta, 1997).

These are all good signs as is the growing insistence among professionals and educators that

education in public relations needs to move beyond its current vocational emphasis and include

theory based learning (Syam, 1999). According to Chaya Srivastava (1999), CEO of

Shabddanjali Communication Services in Bangalore, public relations can move ahead as a

discipline only when education is given university status – “It is time to ‘define’ PR. Not just by

professionals but by academicians” (p. 43).

Most people who currently teach public relations are themselves practitioners who do not

have formal education in the field. 7 Professor Pillai of the Rajendra Prasad Institute of

Communication and Management, New Delhi, explained that educators who draw upon their

professional experience use pedagogical methods of their own. Continuing education

opportunities for professionals are also scarce, and there is a general feeling that more support is

needed both from the government as well as from the private sector to advance public relations

education (Bahl, 1999a). Another viewpoint is that companies themselves need to have more

extensive training programs for new hires (Reddi, 1999).

As far as the government is concerned, a dialogue has been ongoing within the University

Grants Commission (UGC) for the formalization of public relations education since the 1980’s.

The UGC is the main agency for curricular certification. The dialogue continues and a National

Lecturer in Public Relations was constituted to deliver lectures on public relations at universities.

At another level, private investors are taking an active role in providing education in areas such

as business management, communications (including public relations), commerce, computers

science and related fields (Desai, 1999).

Indigenous research in public relations is not very strong (Reddi, 1999). There is too

much dependence on imported concepts and textbooks and more local research needs to be

conducted on public relations practice in the Indian context (Sriramesh, 1996). According to

Professor Jethwaney of IIMC, “You know how popular the Johnson & Johnson case study is.

How? That’s because it was researched, archived and circulated. We need to do more of that,

and we also need more synergy between academics and the industry.” This point, of course,

needs to be juxtaposed with the constraints for conducting research in the social sciences in India

because of hurdles such as the low penetration of telephones, high levels of illiteracy, and

7 It has also been noted that several new hires in public relations tend to have degrees in business administration.

incomplete databases. This is why an in-depth analysis of the infrastructural realities that shape

the public relations profession in India is relevant, in keeping with the primary theme of this

book.

Infrastructure and Public Relations

Political ideology:

India is a democratic republic with a written constitution that has strong federal

characteristics.8 In fact, the sheer size of its population makes it the largest democracy in the

world today. The government is parliamentary in nature with separation between the executive,

legislative and judiciary branches. The parliament (at the center) and various state legislatures

set the policies for the country (Mehta, 1997).

The political system of India is stable, especially in comparison with its neighbors. India

is recognized as the regional superpower, a position that over the last 50 years, has led to many

allegations of hegemonic displays of might by neighbors (Rizvi, 1993). Despite political

pluralism, the Congress Party, the party that came into power at the time of independence,

enjoyed unchallenged majority support until the late1970s. After this period, other than sporadic

comebacks, the party was unable to hold on to its power. The 1990s saw the rise of coalition

style governments and there have been quite a few changes in power due to a lack of strong

political leadership. In addition, the on-going conflict with Pakistan over the status of Kashmir

has generated much political instability since independence. Despite this, the political

institutions have continued to function without major glitches.

India is a democracy but not in a Western sense. Although the faith in the ballot has

gradually increased over the years, several factors such as the high levels of poverty and

8 Since the pro-privatization climate of the early 1990s, states are increasingly exercising independence in making

state-level economic decisions.

illiteracy continue to stand in the way of the empowerment of the average citizen. The political

and economic elite constitute the minority that have the power to make decisions about the

majority that live mostly in the rural hinterlands.9 In the past, most politicians have overtly used

their power for personal gain. There has been a lack of transparency in government affairs and

there is a lot of indiscipline in many sectors of the government. From a western perspective, this

might seem to be an unruly and non-democratic state of affairs. But India is relatively stable and

functionally democratic when taken on its own terms and not compared against western

standards of democracy.

As explained in Chapter 1, the role public opinion plays in a society is another decisive

factor in how the public relations process works and how much pressure the public can exert on

organizations, be it a corporation or the government. This factor determines whether public

relations is mostly a one-way process or whether there is scope for two-way communication (J.

Grunig, 1992). India was reborn through political activism but the post-independence generation

has not been as politically active as the generation that actively fought for freedom. The pressure

of public opinion has at times been able to change unpopular political propositions, but this right

has not been exercised systematically. However, the last few decades have witnessed a growth

of non-governmental organizations (NGOs) that have been quite active at the grassroots levels

(Desai, 1999). Environmental issues have been particularly high on the public agenda as well.

For example, an NGO movement called the “Narmada Bachao Andolan” (Save Narmada

Movement) has been visibly confrontational in its approach to blocking the construction of a

dam on the river Narmada. This group claims that the construction will wreak environmental

havoc and displace several local tribes who depend on the ecology of the region for their

livelihood. It has managed to garner national as well as international attention (Bahl, 1999a),

9 The psychological, economic, and cultural disparities between urban and rural Indians is very pronounced.

illustrating that the political apparatus of India allows for the public to organize itself and be

heard, however, the top down structure of politics makes this no easy task.

As discussed in chapter 1, public relations takes on very different tones in countries

where the government has a major say in most matters. Due to the centralized character of the

Indian government, public relations in India has strong government relations overtones. Until

the 1990s, the government was a primary stakeholder in all matters related to public relations,

whether in the public or the private sectors. Despite the increasing trend towards privatization,

the government remains an important stakeholder for all organizations.

Economic ideology:

The economy of India has followed a socialistic approach, parallel with the erstwhile

political ideology of the nation. The subcontinent is rich in natural resources and manpower,10

and agriculture forms the main economic sector (Mehta, 1997). Industrial growth has been on

the rise since the 1970s, and national development is high on the government agenda.

As explained in the previous section, the PSUs controlled by the government have

dominated the core industries and services. This sector also employs a large percentage of the

workforce. Therefore, it is perennially in the media and public gaze. Over the decades, there

have been many allegations of mismanagement, corruption, and inadequate profits in this

sector.11 Thus public relations in the public sector has been politically charged in nature. Both

the public and the private sector compete on an equal footing for capital, foreign exchange,

manpower, and other resources (Mehta, 1997).

The economic reforms of the 1990s started the gradual shift from a government regulated

economy to one dictated by market forces, which necessitated the need for public relations to

10 Both of which have not been adequately tapped.

bring within its range of vision the new publics that were emerging from within the reconfigured

economic climate. For example, disinvestment by the government in the public sector has led to

more diverse shareholders (Banik, 1999). With increasing competition from the private sector

and multinational companies (MNCs), the public sector has also had to adjust to the new realities

of a pro-market economy. There is an increasing public demand for more accountability and

transparency (Singh, 2000). Many domestic businesses, without the shield of a protectionist

trade environment, are also updating their operations and attitudes and realizing the need for

effective public relations.

The initial market euphoria of the early 1990s lasted until the middle of the decade and

was followed by an economic slump. Instead of speeding up national development, the profits of

the open market were benefiting the already privileged. The poor remained poor, and the quality

and infrastructure of public utilities and social services remained inadequate for the needs of the

large population. Reforms and deregulation policies did not set in fast enough, and despite

World Bank projections that India’s gross domestic product would grow at the rate of 6%

between 1997 and 2006, significantly above the 4% world average, the actual growth process

was slower than the rather optimistic projections. Government planning remains behind

schedule, government finances are in an unpredictable state (Ramesh, 2001), and “there is an

unfamiliar kind of recession resulting in a cash crunch in organisations and leading to cost

cutting and downsizing in terms of people…. At the same time, there is increased competition

which has led to decline in off take and companies have to opt for promotion freebies of various

sorts to hold forth their markets and even to survive” (Bahl, 1999b, p.4).

11 While investing profits in development projects, the public sector also takes over ‘sick’ industries in order to

revive them. This practice leads to a huge drain on its resources.

The situation was further complicated when the Bharatiya Janata Party led a coalition

government to power at the federal level. This party is known for its strong nationalistic agenda

and rhetoric of cultural invasion by multinationals. This bent has slowed the operations of

MNCs and the inflow of foreign investments although sections of the government are also

actively championing privatization of PSUs. In addition, Indian businesses also have a vested

interest in restricting MNCs (Desai, 1999). Government bureaucracies still have a strong hold

over commerce (Bovet, 1994), and the public sector retains control over the strategic,

infrastructure, and high-tech sectors. This overall situation, of course, must be understood in the

context of the postcolonial psyche that is vulnerable to all indications of foreign domination.

Nevertheless, much has changed since the era when the Foreign Exchange Regulation

Act (FERA) of 1973 imposed severe restrictions on foreign trade and investments and helped

force MNCs such as Coca-Cola and IBM to leave the country. At an international level, India is

a member of various trade blocs such as the World Trade Organization, the United Nations

Conference on Trade and Development (UNCTAD), and the South Asia Preferential Trade

Agreement (SAPTA) (Desai, 1999).

As mentioned earlier, the recent changes in India’s economic history, although rocky,

have opened the door wider for the professional growth of public relations. It was only in the

1980s that practitioners began to adopt a more professional approach in their work and carve a

niche for public relations at the management level. These economic changes have helped speed

up that process. Historically, there was also the tendency to conflate public relations with

marketing and advertising (Sriramesh, 1996). The role of the practitioner and the importance of

public relations depend on the perceptions of the CEO. This continues to hold true but to a lesser

extent since the mindset at the CEO level and the awareness of what public relations can

accomplish in a competitive environment has improved considerably. According to George

Thomas, president of corporate affairs for Reliance Industries Limited, a large Indian corporate

house, the quality of public relations at an organization depends largely on the quality of the

relationship between the PRO and the CEO. An erstwhile journalist, Thomas spent several years

with the Steel Authority of India Limited, a PSU, before joining the private sector:

“The CEO’s role in important. The PR man cannot do anything without that support. A

professional strategy on the part of the CEO is required, and there must be compatibility

between the two. The PR man must also be able to persuade the CEO to see the

advantages of public relations. I believe many CEOs today are realizing the value of our

profession.”

Another note related to the economic factor is the relationship between public relations

and rural India. The advertising industry was quick to tap into the growing affluence in certain

rural regions. However, corporate public relations has been slow in this process.12 The

profession remains largely an urban phenomenon concerned with urban stakeholders and

markets (Mehta, 1997). The challenges of immense linguistic diversity and illiteracy continue to

be communicative hurdles at the rural level. However, Eapen (2001), a senior communication

educator, insists that the rural publics in India are very discerning and that illiteracy should not

be a hurdle to reach them. Sriramesh (1992) has chronicled the use of indigenous folk media by

a state government to reach rural publics through public communication campaigns. But

communication campaigns continue to be skewed toward the use non-indigenous media, state of

affairs that needs to be corrected for efficacy of campaigns aimed at the illiterate. The

burgeoning local press (Jeffrey, 2000) is another phenomenon that is calling out to public

relations practitioners to take their trade and expertise into the hinterlands of the country.

The legal system

The sources of law in India are the Constitution, the statutes enacted by the Parliament

and by the state and union territory legislatures, customary law, and case law. There exists a

separation between the jurisdiction powers of the center and the states. The Union list, which

includes matters of national interest such as defense and foreign affairs, is managed by the

center. The state lists include local law enforcements and matters pertaining to public health,

agriculture, transportation and so on. A concurrent list, which requires joint action by the center

and the state, includes matters such as education, labor and social and economic planning (Desai,

1999).

A single integrated system of courts, with the Supreme Court at the apex, administers law

throughout the country. The decisions of the Supreme Court are binding an all courts, and the

President of India appoints the Chief Justice and other judges of this highest court. High courts

at the state level have a hierarchy of subordinate courts within their jurisdiction. Due to the vast

ethnic diversity of the country, local customs, conventions and traditions are often taken into

considerations during judicial proceedings (Desai, 1999).

There is much backlog in the judicial system and often it takes years for an outcome.

From a business perspective, this is problematic since companies that are involved in legal cases

may have to wait a long time for decisions, a phenomenon that is not conducive to competitive

existence in a market environment. In 1996, in response to this situation, arbitration laws were

updated and the Indian Arbitration Council was instituted.

The Constitution of India does not authorize censorship of the media but neither does it

explicitly prohibit it. For example, during the national emergency of 1975-1977, the government

of then Prime Minister Indira Gandhi was able to successfully muzzle press freedom. However,

12PSUs have a good track record of helping establish townships in rural areas by setting up factories.

in the many decades since independence, the courts in India have generally been sensitive to the

freedom of the privately owned print media and have worked hard to ensure that all restrictions

on the press are constitutional (Rajan, 1996). The broadcast media, which were entirely

controlled by the government until the early 1990s, present a different picture. This factor is

discussed in more detail in the section on media and public relations.

Level of activism

Historically, activism in India has been mostly political in nature, but the increasing turn

toward market capitalism has led to the growth of other kinds of activism, especially consumer

activism that has called on corporations to behave in an environmentally responsible manner.

This emerging trend, along with the growing strength of public opinion, has direct consequences

for the practice of public relations and corporate social responsibility (Bahl, 1999a). Archana

Jain, a public relations consultant with IMA PR, New Delhi, feels that in particular the 1990s

witnessed a definite rise in consumerism and pressure groups, which have been increasingly

using the diversifying media platform to put pressure on corporations.

Customers can boycott products, stir up negative media attention, and take legal action

with the help of consumer protection bodies. The Consumer Protection Act of 1986 revised

various consumer protection legislations and provided a more structured apparatus including

consumer protection councils at the central and state levels. March 15 is celebrated as Consumer

Day. Private as well as public sector companies are increasingly feeling the pressure to be more

accountable to internal as well as external publics. According to G.C. Banik (1999), senior

general manager of public relations for the Videsh Sanchar Nigam Limited (VSNL), citizen

action groups need to be taken very seriously and the lines of communication should always be

open between the company and these groups since “They normally add a point of view which is

missed out by the company inadvertently” (p.114). The days when only the government and the

media were thought of as possible ‘threats’ to organizational reputation are gradually

disappearing.

Several companies are no longer waiting to be challenged. Instead, they have begun to

proactively engage in policies that are environment friendly such as gauging the environmental

impact of their operations, recycling waste, and contributing toward the greening of the

environment especially in urban areas. They are also paying more attention to customer relations

and charting out publics that are not direct consumers but in the position to affect the well-being

of the company. The competitive environment is ensuring that companies live up to their

promises (Sengupta, 1997).

Labor unions have also been relatively active in the public sector in the past, but previous

research (Sriramesh 1992) shows that labor issues do not normally fall within the purview of

public relations. Instead, they are considered to be the responsibility of the industrial relations

manager. Traditionally, there has been a great amount of interpersonal distance between labor

and management due to the wide power distance (Hofstede, 2001, Sriramesh, 1996) between

superiors and subordinates in organizational relationships (discussed in greater detail in the next

section). This often leads to a fair amount of acrimony and difficulties in reaching common

solutions. Further, labor unions can be easily fragmented and pitted against each other.

Now, with the growing status of public relations, there is a concomitant growth in

professional opinion that public relations practitioners need to work closely and in cooperation

with the industrial relations manager in order to promote healthy relations between workers and

organizational decision makers (Kumar, 1987, Sengupta, 1997). This trend is adding a new

dimension to the scope of employee relations and labor activism in India.

Culture

Sriramesh and White (1992) and (Hofstede, 2001), among other scholars, support the

theoretical premise that organizations are microcosms that reflect the values of the larger society.

Since ancient times, social stratification in India has been based on the Hindu caste system.

Tasks were stratified according to caste with the Brahmins or priestly caste at the top of the

hierarchy holding the most prestige in society followed by the ruling caste (kshatriya) and the

business class (vaishya). This form of stratification gradually began to change in the twentieth

century, especially in the urban areas. There has been a shift in the locus of power, from social

capital (caste) to economic capital (class) (Sriramesh, 1992). The economic elite tends to be at

the top of the organizational hierarchy. Sriramesh (1996) found that in organizational settings,

hierarchical stratification translates into greater power distance between senior executives and

PROs.

Hofstede (2001) surveyed IBM employees in 50 countries and three regions and found

that national cultural characteristics clustered around five indices, which have been discussed in

chapter 1 of this book. India was one of the countries in Hofstede’s sample. However, it is

important to note that for methodological reasons, the findings of Hofstede’s study are more

relevant to the urban elite in a country that is predominantly rural.

The power distance index describes to what extent society accepts power inequities based

on social stratification be it caste, class or organizational hierarchy. India was rated high on this

index, a finding that supports Sriramesh’s (1996) results. Sriramesh (1992, 1996) translated this

variable into organizational public relations and noted that power distance translates into

domineering dominant coalitions that believe they know what’s best for the organization and its

publics due to their higher organizational status. The author also posited that senior

organizational leaders insist on managing public relations and relationships with strategic publics

often using the personal influence model. As a result, they do not find much use for feedback

from, or dialogue with, their publics using public relations personnel in peripheral roles.

Another result of this elitist stand is the interpersonal distance it creates, not just between PROs

and the dominant coalition but also between managers and workers, making this factor one of the

likely instigators of the violent labor union uprisings that have occurred in the past.13 This

cultural pattern, at least the way it applies to public relations, is changing due to various factors

such as the move towards a market economy that requires a more open and horizontal style of

management and a new generation of managers with more democratic values. It is also helpful

to have at least some senior public relations practitioners in influential positions where they are

increasingly and voicing the need to include public relations as a variable when organizational

policies are set. But power distance and its tacit acceptance does remain an enduring macro level

cultural characteristic.

The uncertainty avoidance index indicates to what extent the members of a culture feel

threatened by uncertain situations. India, once again, scored high on this index (Hofstede, 2001).

People tend to take fewer risks, stay with the same company for a longer time due to loyalty and

the desire for job security, and are generally resistant to change. Respect is gained through

seniority and age. These cultural values aptly describe organizational relationships during

India’s socialist phase. But, once again, the post deregulation environment has been a refreshing

change from the past with the newer generation of professionals taking more risks and being

innovative. Deference for authority based on age, a trait that was quite evident when Sriramesh

(1992) gathered data in early 1990, is no longer an unquestioned given. Younger practitioners

13 Hofstede’s study found that in countries with high power distance, the only way the subordinate classes can

change the equation of power is through radical uprisings.

are not averse to disagree with senior managers at least in some sectors of the industry.

According to Getanjali Ayar, vice president of public affairs for Corporate Voice Shandwick,

New Delhi, the older generation of practitioners has the expertise and knowledge, but the

younger generation is impatient and more technologically savvy. However, it is important to

note that this is a new trend that has yet to gain wider acceptance in all industries, especially

among PSUs. The older generation of professionals is gradually adjusting to the realities of new

economic reforms and the interpersonal changes in intergenerational professional relationships.

The above two cultural indices indicate that interpersonal trust is high within organizational in-

groups but not so between groups. Thus, if the PRO is not a part of the dominant coalition, then

the level of trust is likely to be low.

The individualism and collectivism index describes whether society prioritizes individual

attainment or the goals of the collective, such as an organization (Hofstede, 2001). According to

Hofstede’s data, India is in the median on this index. While loyalty to the collective and priority

to collective goals was quite prevalent in the socialist era, the post deregulation era has ushered

in cultural changes that have affected this cultural dimension as well. This factor has direct

implication for employee relations. Individuals, especially in the industries oriented to new

technologies, are now more open to changing jobs for personal advancement and the notion of

loyalty to an organization is more ephemeral. In other words, individuals are seeking more

calculative than moral linkages between themselves and their employers. As with the other two

cultural dimensions, it is important to note that despite these recent signs of change, Indian

organizations are predominantly collectivistic. Babbili (2001) highlighted the importance of the

deeply-rooted sense of community in India when he stated: “political scientists have coined the

notion of ‘community-ship’ to parallel the notion of ‘citizenship,’ as one way of capturing this

dimension of India’s hybrid discourse on modernity. In modern India, the claims of

‘community-ship’ are at least as strong and maybe much stronger than the claims of citizenship”

(p.166-167).

The masculinity and femininity index indicates the extent to which a society privileges

ego goals and values (masculine) over social goals and values (feminine) (Hofstede, 2001).

Hofstede’s data placed India in the median on this index. While both types of values are

considered important in Indian society, the distinctions between the genders are quite defined

and conformity is expected. Men are considered to be the providers while women are expected

to nurture as housewives. With the growth in the middle class in urban areas over the last few

decades, more and more women have been joining the work force and crossing over into what

was exclusively the domain of males. Women have faced challenges in entering the work force

as Indian organizations have traditionally been male dominated. Especially for married women,

caring for the family still remains the primary focus over the profession. Because there is no

childcare infrastructure in place even in metropolitan cities,14 balancing work and home

continues to be a challenge for women. In relation to gender roles in public relations,

Sriramesh’s data (1992) from the early 1990s showed that female public relations professionals

operated predominantly in the service industry such as travel and tourism because of the glamour

stereotype. His data also revealed that there were few, if any, women in management positions

especially outside the service sector. In the books written by male practitioners, the PRO is

ubiquitously referred to as the “PR man.” Today, however, women are increasingly making their

mark in management positions and are heading consultancies with international affiliations.15

14 Women usually depend on older relatives for this purpose.

15 A majority of the agency heads interviewed in 1999 were women.

Long-term orientation is the extent to which values are cultivated with an orientation

towards future rewards while short-term orientation indicates a focus on immediate gratification

and fostering of virtues related to the past and present (Hofstede, 2001). According to

Hofstede’s data, India scored quite high on the long-term index. This cultural idiosyncracy

coincides with the socialist and collectivist approach to life and work that has dominated Indian

culture. Indians were accustomed to waiting many years to achieve professional advancement

and results. However, nowadays, young professionals are rising to the top more quickly,

especially in non-traditional professions such as public relations. The shift in their orientation is

stark and the gratification sought is more immediate. Risk-taking is one outcome of this shift in

values and is most obvious in the private sector. Concomitantly, the public has begun to demand

faster and more tangible results from companies. These trends have raised the level of

accountability of public relations practitioners both from management as well as from relevant

publics.

Culture, Personal Influence and Public Relations: Another cultural factor identified by

Sriramesh (1992) during his ethnographic analysis of 18 organizations in India led to the

development of the personal influence model of public relations. Key relationships with

strategically placed individuals are considered crucial in public relations in India. The cultural

traits described above support the presence of the personal influence model in India, which

manifests itself in a quid pro quo relationship between public relations managers and key

individuals in places such as the government and the media. The use of the personal influence

model is typified in the worldview evident in the statement of the public relations manager of the

government agency who described his public relations activities as the act of developing “rapport

at the human [personal] level to represent the organization.” Equating personal friendships with

key publics with hospitality relations, the senior executive of a PSU stated: “although hospitality

is not a PR function, it is a management function and can’t be alienated. The image of a

company is not only product-based. Hospitality is also important for corporate image.”

Keeping with this emphasis on personal relations, practitioners engage in various

techniques aimed at establishing personal friendships with strategically placed individuals whom

they called “contacts.” These individuals include members of the media, officers and secretaries

of key government departments, airline and railway employees, and workers in municipal and

tax offices. Public relations professionals humor these individuals by taking them out to lunches

or dinners and by giving gifts. One senior executive used the term quid pro quo to describe the

public relations practiced by his organization. He stated that by giving gifts and hosting dinners,

a good public relations officer “fans the egos” of the recipients thus laying the foundation for

seeking return favors when needed by the organization. The public relations officer of the

largest private sector organization in the sample said that “creating a network [of strategic

individuals] to get a job done,” was his primary activity.

One practitioner described the nature of his public relations activities: “I consider the

personal relationship I have with my ‘contacts’ to be the most important aspect of my success.”

Another speculated that almost 60 percent of the time, her press release gets published based on

the personal influence she wields over a journalist and not on its news value, indicating the use

of the personal influence model for press agentry. Another interesting finding was that it was the

managerial level practitioners who were more prone to practicing the personal influence model.

They had the power to spend money on entertainment and used their status to develop this

influence. Most of the 40 professionals interviewed for this study agreed that the “ability to

network with key individuals” in their organization’s environment was the primary characteristic

of a successful public relations professional, further reinforcing the use of the personal influence

model.

This emphasis on interpersonal communication begs the question: Is the personal

influence model unique to Indian culture? Although personal influence was not characterized in

the scores of studies that evaluated the presence of J. Grunig and Hunt’s (1984) models in

organizations in the West where many studies have chronicled them, it is clear that the personal

influence model is not unique to Indian culture. Lobbyists in Washington as well as publicists in

the entertainment industry (principally in Hollywood) have been known to use this model in the

United States. Dilenschneider, former head of Hill and Knowlton, used the term “favor bank” to

describe the activities that can be described as the personal influence model. He advised public

relations practitioners to build a good “credit rating” by extending favors to strategic people such

as journalists and government officials. He then suggested that when the need arose,

practitioners could draw from this “bank” to get their objectives accomplished. It is important to

note that had it not been for the ethnographic analysis, the presence of the personal influence

model might not have been identified, thus lending further credibility to using a combination of

methods for garnering richer data.

Vercic confirmed the importance of personal influence in Slovenian public relations. He

argued that the “personal credibility” that public relations professionals establish and maintain

with strategically placed individuals gives them a distinct advantage in getting a task

accomplished. Sriramesh and Takasaki found personal influence to be a critical component of

Japanese public relations where maintaining harmony or wa is considered a primary cultural

consideration (Sriramesh & Takasaki, 1999). Sriramesh, Kim, and Takasaki (1999) identified

Ddukgab (money for buying Korean cakes) as a technique that South Korean public relations

professionals use for maintaining personal influence with key individuals in the government and

the media. Giving Ddukgab is a culturally accepted tradition in that country, which conveniently

circumvents laws against giving bribes.

In his analysis of public relations in Brazil and Latin America, Simoes identified "six

different approaches of professional application," referring to the various public relations tactics

that these professionals used. One of these tactics is akin to the personal influence model.

Simoes defined this approach as one that "is based largely on the activity of the professional. It

reduces the tasks of professional performance to social, technical, and political contacts" (p.

190)i. In other words, in representing their organizations or clients, these public relations

professionals used their own personal influence with strategic publics such as political or

governmental leaders (contacts) to get favorable treatment for their organizations. A similar

phenomenon, called guanxi is found in societies with a predominant Chinese population (see

chapter on Chine in this book).

Sriramesh (1992, 1996, 2000) noted that media relations is often conducted using the

personal influence model. The human and interpersonal aspects of the relationship between a

public relations professional and journalists are accorded high value. Frequent press visits, get-

togethers and even interactions that may cross the professional line are considered appropriate in

Indian public relations. The public relations professional of a non-profit organization in

Sriramesh’s (2000) study stated that whether a press release gets published by the media is often

based on the personal influence she has with media gatekeepers than on news value. Mehta

(1980), one of the earlier writers on public relations in India, provided advice on how to cultivate

personal relations with journalists: “For instance, when the pressman in not well or hospitalised,

the publicist must visit him. If there is any bereavement in the family, the publicist must pay a

condolence visit” (p. 158). In 1987, he reiterated this stand by writing: “PR through personal

contact is the most effective means of communication.” (p. 59). Although reliance on the media

is necessary for communicating public relations messages, interpersonal relationships with key

influencers are considered equally if not more important.

We reiterate that the cultural variables described in this section need to be understood in

the context of the sociopolitical and economic changes that have been occurring in India since

economic deregulation began in 1991. The full cultural import of the new policies remains

unpredictable, as does the impact that it may have on the cultural tapestry of India. As a result, it

is too early to definitively conclude how these changes will shape the public relations industry in

India, which is currently straddling the traditional and the global.

The Media and Public Relations

As described in Chapter 1, the media are a close ally of the strategic public relations

professional. The two industries enjoy a symbiotic relationship, which makes it essential for

each to maintain a healthy relationship with the other. India has a very diverse media

environment, both broadcast and print, mainly because of the cultural and linguistic diversity of

the population. The next sections will discuss Indian media focusing on control, outreach, and

access.

Media control

Parallel with much of India’s economy in transition, the media in India are in the hands

of private and public ownership. Since independence, the print media have been privately owned

and radio and television have been under government control. The privatization process that has

affected other industries in the past decade has also affected the media industry with the private

sector making inroads into ownership of the broadcast media. Satellite technology has certainly

played a big role in challenging the monopolistic government ownership of broadcast media.

The first newspaper in British India, the Bengal Gazette and Calcutta General Advertiser,

was published in 1780 in English in Calcutta. Currently, there are approximately 28,500 English

as well as regional vernacular newspapers in India. The diversity of India is obvious when one

notices that newspapers are published in 93 languages and dialects in India today. Because of

the larger number of Hindi speaking Indians, Hindi newspapers currently boast the highest

circulation, exceeding the circulation of the English elite press in the late 1970s. Today, the total

newspaper circulation in the country stands at about 53.5 million. Newspapers are not directly

aligned with, or controlled by, political parties although observers do discern the political

leanings of many newspapers. Given the rather high rate of illiteracy, newspaper readers

constitute a minority of the over a billion Indians. India has no national press as such because of

the linguistic and cultural diversity of the country. Although the English dailies are considered

national in content, they are not national in outreach since they circulate only in the major metros

(Sengupta, 1997). The trade press is quite well developed, especially in electronics, computers,

auto and telecommunication industries (Desai, 1999).

Several indigenous newspapers started during the struggle for independence in order to

support and promote the freedom movement. After independence, Mahatma Gandhi’s insistence

on self-sufficiency and Prime Minister Jawaharlal Nehru’s socialist approach affected the

ideological content of newspapers. The newspaper was perceived as a noble and intellectual

enterprise not to be tainted by capitalism. In effect, the dumbing-down of content was not

encouraged in an effort to build circulation (Jeffrey, 2000). However, since the late 1980s,

especially as the language press started burgeoning along with the growth of advertising and free

enterprise, there has been a move away from this elitist and anti-business attitude.

Public relations practitioners, unlike their advertising peers, have not been quick to

harness the market potential of the regional press (Bahl, 1999a). However, given the very nature

of their primary mission for existence, PSUs have relied rather heavily on the vernacular press as

a crucial tool for public communication with regional publics.

After a spell of complete government control over the media in the 1970’s, newspaper

editors have been relatively free to pursue their work without fear of censorship. But the recent

winds of economic change and growing competition from the broadcast and new media are

qualifying the nature of this freedom. Some newspaper managers are beginning to insist that it is

also the editor’s responsibility to market the paper, to the obvious consternation of journalists.

The Chairman of the Press Council of India takes the stand that while proprietors have the right

to increase profits, the institution of the editor must be preserved in order to protect press

freedom (Sengupta, 1997). Media messages have not been primarily capitalistic in the past but

increased privatization has been the harbinger of change.

Another trend since the mid 1980s is the spurt in investigative and business journalism

(Singh, 2000). This is of particular relevance to public relations. First, investigative journalism

tends to put corporations and organizations under scrutiny, thereby increasing the level of

accountability expected of companies. This is bound to place increasing pressure on members of

an organization’s dominant coalition to keep public opinion in mind when setting policies for the

organization. Second, business journalism requires special investor relations skills. The

traditional business papers were the Economic Times, Financial Times and Business Standard.

Now there is a proliferation of business magazines such as Business India, Business Today and

Business World (Sengupta, 1997). However, given the anti-business roots of post-independence

journalism, the business press continues to be suspicious of the private sector as well as MNCs

(Desai, 1999).

As far as the broadcast media are concerned, till the 1990’s, they had not only been

owned by the government, but were overtly used as mouthpieces of the political party in power

although their explicit mission was to serve the cause of national development. The broadcast

industry is accountable to the parliament via the Ministry of Information and Broadcasting with

no other checks on it (Rajan, 1996). But in the 1990s, with the entry of satellite and cable

television, the structure has shifted from one monopolistic government channel to over 30

channels from private sources. The Central government under different political parties has tried

throughout the last decade to restrict and regulate the growth of private broadcasting. However,

it has largely been unsuccessful in stemming the tide of the inexorable influx of commercial

content in a climate of deregulation and privatization (Desai, 1999). Satellite technology has

also contributed to the increase in foreign language content. Eventually, Doordarshan, the

television organization owned by the government , joined the competition and multiplied its

channel offerings.

India does have media watchdog organizations whose mission is to protect the media

from government or other pressures and to ensure that the media do not abuse their powers. For

example, in the past, the Indian government has tried to exercise some control over the privately-

owned print media through means such as controlling the production and distribution of

newsprint, refusing previously sanctioned loans from national banks to media organizations, and

discriminatory allocation of government advertising (Rajan, 1996). Watchdog organizations have

fought such tactics with varying degrees of success. Media watchdog organizations also provide

media users with a forum for expression and dialogue. In addition, they are in a position to

resolve media-related disputes, develop codes of ethics for media practitioners and assist in the

conduct and development of mass media. The effectiveness of watchdog organizations is

affected by their ability to carry out such functions and the credibility they enjoy among the

public at large (Venkateswaran, 1996).

The print media in India has mechanisms in place for the protection of its freedom.

Roughly 15 organizations represent and protect the press. The Indian Newspaper Society

(established in 1939), Indian Languages Newspapers’ Association (1941), All-India Small and

Medium Newspapers’ Federation (1961), and the All India Newspaper Editors’ Conference

(1940) are notable among them (Rajan, 1996). The Audit Bureau of Circulations (1948)

provides newspaper circulation figures. The Press Council of India is the most prominent

official watchdog for the print media protecting newspapers as well as news agencies. It was

established in 1978, in the aftermath of the national emergency of 1975-1977, when press

freedom was completely subjugated by the autocratic policies of the Indira Gandhi

administration. One of the unique features of the Press Council of India is that it was established

under an Act of Parliament whereas similar institutions worldwide are usually set up on a

voluntary basis (Sengupta, 1997). The Council encourages a code of ethics and adherence to

social responsibility while also monitoring media policies and research. It can receive

complaints about violations of journalistic ethics and admonish offenders as it enjoys the powers

of a civil court. Along with the Council, some newspapers also appoint their own

ombudspersons to deal with complaints (Rajan, 1996).

Other media laws in existence also affect public relations. In 1995, copyright and

intellectual property protection laws were updated, especially in the area of software and

cinematic products (Desai, 1999). The Securities and Exchange Board of India has guidelines

for financial communication, especially advertising and promotional materials (Sengupta, 1997).

The advertising industry is engaged in self-regulation. An umbrella trade body called the

Advertising Standards Council of India comprising most agencies in the country drew up a Code

of Self Regulation in 1985. As far as the film industry in India is concerned, the Central Board

of Film Certification has pre-censorship rights over any film intended for public exhibition. This

Supreme Court backed right is based on the rationale that film is a powerful and persuasive

medium that needs to be monitored (Rajan, 1996). In terms of yearly output, India currently has

the largest commercial film industry in the world with its “Bollywood” products reaching

diasporas around the world.

To summarize, significant changes ushered during the 1990’s in the media industry,

especially the broadcast industry, have made practitioners alert to the fact that it is no longer

sufficient to focus on the print and controlled media for the dissemination of organizational

messages. Diversity in the broadcast media and the entry of the Internet and other forms of news

communication technologies have reconfigured the media landscape, which current and future

practitioners need to understand and strategically negotiate in order to be effective in their

activities.

Media outreach

As already stated, the print media in India is restricted to the educated urban sections of

the population. States with higher literacy levels tend to have higher newspaper readership and

circulation rates. The infrastructure for newsgathering is primarily localized as is the distribution

system. The national elite English newspapers have sophisticated newsgathering and distribution

mechanisms but their focus is limited to the major metropolitan cities. Printing and publishing

technologies have been constantly improving, and the larger newspapers in urban areas have

state of the art production facilities (Jeffrey, 2000). The two national news agencies are the Press

Trust of India and the United News of India. All major international wires and news

organizations have bureaus in India.

The government controlled All India Radio network, the sole radio organization in India,

is a widely diffused medium in urban and rural India. In 1947, at the time of independence, there

were 6 radio stations in the country. Now there are 195 covering roughly 97% of the population.

It is an affordable medium for many given India’s high poverty rate. Ongoing plans to privatize

radio, and the addition of entertainment-oriented FM channels in the major metros, is breathing

new life to radio as a mass medium. Therefore, radio is a valuable and cost-effective channel for

public relations professionals who wish to reach the diverse audiences spread over a vast

geographic expanse (Kasbekar, 1999).

Doordarshan, started operations in 1959. Today, it makes its content available to roughly

87% of the population supported by its 750 terrestrial transmitters and widespread infrastructure.

Doordarshan has three national channels, two special interest channels, nine regional channels

and an international channel. It receives 60% of its funds from the government with the

remaining 40% coming from commercial sponsorships. Social, educational, and national

development objectives are still prioritized and programming is geared both toward urban and

rural audiences. Private (cable and satellite)16 channels, on the other hand, purely depend on

advertising and therefore target the urban affluent almost exclusively. Audience ratings are

important for them.17 The private channels from foreign satellites such as Hong-Kong-based

STAR TV have a global/local appeal and the content has been continuously localized (McMillin,

16 There are roughly 80-100 such channels.

17 Compiled by the Indian Market Research Bureau.

1999). Over-the-ground cable and satellite dishes that mushroomed in the 1990s have a wide

reach in urban India. Although television has been successful in addressing the illiteracy barrier,

its main drawback is the affordability factor.

Furthermore, cellular phones and increasing Internet use by companies, organizations,

and the urban population are enhancing telecommunications connectivity, and much of the

telecommunications industry is moving into the private sector. Transportation (rail, road, and

air) is still mainly in the public sector (Desai, 1999). The postal system covers the entire

country.

The public relations implications of the reach of these media are obvious. The urban

population can be targeted in a sophisticated manner using select entertainment-oriented

channels and FM radio. However, communication plans to reach the rural populace need to be

well thought out. As elaborated upon by Sriramesh (1999), it is very effective to use traditional

folk media during public relations campaigns targeting the rural population because of factors

such as illiteracy, poverty, and other infrastructural constraints.

Media access

According to Karnik (1999), managing director of the Discovery Channel in New Delhi,

much of the new communication technologies are still limited to a small percentage of the

privileged. The logical extension of this is that it is usually the privileged groups and individuals

who have better access to the media than the underprivileged majority in India as in most

developing countries. With the improving status and credibility of public relations in the

country, mass media are open to, and even dependent on, information subsidies from companies

and organizations (Ghosh, 1999). Activists and the growing number of NGOs at the grassroots

levels are also building their savvy in media relations strategies. Home pages on the Internet are

enabling companies to completely bypass gatekeepers and reach their publics directly and vice

versa.

Gatekeepers are mainly the editors of newspapers and news and program directors of

television and radio stations. The Indian press also employs a lot of stringers and follows the

usual chain of reporters, copy-editors, sub-editors, senior editors and owner editors (Sengupta,

1997). The gatekeeping process is different for the private and the public media in the sense that

the private media, with leaner structures, have fewer gatekeepers while the government, being

bureaucratic in nature, has more. The reduction in government control in the broadcast media

has increased direct access to the broadcast media over the last decade. In general, media

personnel are professional in their conduct, especially in urban settings.

The media and Public Relations: The critical linkage between the media and public

relations is well-established. Sriramesh (1992) reported some interesting findings on the linkage

between the media and public relations professionals. Responding to his survey questionnaire, a

majority of public relations professionals generally agreed that the public relations unit of their

organization does go beyond acting as a liaison between the organization and the media

indicating that they serve many other functions in addition to media relations. However, the

ethnographic data of the same study suggested quite the opposite, indicating that the press

agentry model (J. Grunig & Hunt, 1984) was an excellent predictor of public relations in India.

Media relations was found to be the primary focus of the public relations efforts of all the

organizations in this study. The head of an advertising and public relations agency said that he

considered media relations to be the most important public relations activity. The sample

organizations typically used press conferences to disseminate only positive information aimed at

enhancing the image of their organization and to increase their personal influence with the

members of the media. The head of public relations of a PSU stressed the need to maintain good

personal relations with journalists. “I meet journalists on a weekly basis,” he stated, adding that

he met them even when there was no specific business to be transacted. This organization held

an average of one press conference a year preferring to use interpersonal communication with

journalists and editors for placing stories in the media.

The middle-level manager of a successful PSU stated that the chief of public relations of

her organization took members of the media for dinner or cocktails regularly. This organization

also made it a point to personally deliver 3-4 press releases a month to every media outlet. In

consonance with the predominance they gave to the media, most of the public sector enterprises

used press junkets for conducting press agentry. This tool, while serving the professed purpose

of helping journalists gather information, also provided an opportunity for the organization to

humor journalists with comforts and gifts in order to increase personal influence. As a result,

media relations through the use of the personal influence models turned out to be the most

common public relations activity in Sriramesh’s (1992, 1996) studies.

Case study

The underlying theme of this chapter is that the public relations profession in India is in a

state of transition moving from an ad hoc past towards a strategic and professional future. The

chapter also posits that the environmental codes that shape the profession have been in a state of

flux after major changes in economic policy were initiated in the 1990s. India’s participation in

the WTO also has contributed significantly to the shift in stance from a regulated to a market-

oriented economy. Thus it would be reasonable to round off this analysis with a case study that

exemplifies this flux. The case study is drawn from a set of case studies that was compiled by

Sardana (1999), a local practitioner and educator for over 40 years.

The Minerals and Metals Trading Corporation (MMTC), a large PSU set up in 1963,

faced a major loss in turnover when the economic deregulations began to take effect in 1991 and

it lost its monopoly in importing and exporting minerals, metals and fertilizers. This was a clear

indication of how uncompetitive most public sector units in India were, which could only operate

in the financial security of a protectionist environment. The government had set purchase and

sale prices for MMTC’s products (as with other PSU’s), which assured it a healthy bottom line.

When faced with superior and cheaper products from competitors, the 3,500 plus staff had

minimal knowledge about how to function effectively. Overall, organizational morale was low

due to doom and gloom predictions of an impending shut down. But MMTC rose to the

challenge, and public relations played a significant role in the successful and strategic

reorientation of the company.

The first task was to conduct in-depth introspective research and gain an honest

understanding of the corporation’s strengths and weaknesses. The findings of this audit revealed

the obvious -- the protectionist trade practices had created a company mindset that was not only

noncompetitive but also resistant to change. While the older generation of managers was

skeptical about the survival of the company, the younger managers were more optimistic despite

their knowledge that they lacked adequate training to handle the new economic environment.

Fortunately, there was an overall consensus among senior managers that major policy changes

were needed including a revamping of the organizational culture.

The most crucial decision that the MMTC management took was to include public

relations in the reorientation project from the very outset. A new Management Advisory

Services (MAS) team was created and the Publicity Division was a part of it. The main charge

of this task force was to compile all the data needed to prepare the organization to trade in a

competitive environment. Intensive retraining program were begun to equip managers with

state-of-the-art marketing and management skills. From a policy perspective, there was clear

emphasis on two areas – tracking the cost-benefit ratio of the activities of each division, and

systematizing and giving greater autonomy to the trade activities of individual regions. The

number of foreign offices was increased and dependence on headquarters was reduced

systematically through streamlining of domestic liaison offices.

The public relations department of the organization contributed significantly during the

reorganization of the company. The following were some of the contributions:

!!Public Relations Officers (PRO’s) worked closely with the dominant coalition and helped

create a situation specific strategy;

!!There was constant communication with all the regional offices of MMTC during each

phase of the campaign;

!!Junior PROs worked in the trenches advising staff while senior PROs engaged in crisis

management and visited the top managers of offices in all regions to build morale;

!!The responsibility for public relations as well as adequate resources was delegated to all

regional offices while strategic and corporate communication was retained at the

headquarters;

!!A specific decision was made to establish order and morale within the organization

before engaging in proactive communication with key external publics;

!!Channels for internal communication included regular bulletins, news clips, trade

surveys, a revamped house magazine that reflected how MMTC was faring in the post

deregulation environment along with success stories about companies that had

successfully navigated the change, interpersonal communication, and in-house posters

that kept employees informed on a regular basis.

Once the organization had established stability in morale internally, MMTC went public

with its reorientation campaign. A new name was created – MMTC Limited. All the

advertising reflected this name change. The campaign’s main theme was that the corporation’s

focus would now be on market-led growth rather than government-led growth. Several press

conferences and interviews with top management were arranged to explain the new name,

mission, and concomitant changes in organizational structure to external publics through the

media. Instead of participating in general trade fairs, the corporation started focusing more on

specific fairs and exhibitions both in India and abroad. The corporation’s cash reserves were

invested in new businesses such as leather, textiles, and agromarine. This was publicized

externally through advertisements and internally through the house magazine.

As a result of these changes in philosophy, culture, and structure, the financial situation of

MMTC Limited gradually began to turn around. The corporation even won awards for its

performance. In a bid to promote private entrepreneurship, the organization used its financial

strength, vast infrastructure, and international expertise to help boost the exports of private

entrepreneurs. From a state of shambles, this public sector unit has become one of India’s largest

exporters as well as importers.

This case study emphasizes some of the important changes that are taking place within the

public relations industry in India. Strategic, rather than ad hoc public relations is a growing

trend helped by a recognition among members of the dominant coalition that public relations can

add value to organizational activities and therefore ought to be included in organizational policy

making. It also shows that the discordance created between organizational culture and

environmental factors due to significant shifts in economic ideologies can be proactively

managed, and that the melding of the knowledge and expertise of the older generation of

practitioners and the global outlook of the newer generation can result in successful public

relations.

Conclusion

Although the label “economies in transition” is usually used in reference to the former East-bloc

countries (following the break-up of the Soviet Union), this label can easily fit the economies of

democratic countries such as India that also are making the transition from a managed economy

to a market-oriented one. During this transformation, they have been going through many

growing pains including the transition into more sophisticated forms of public relations. India’s

public relations industry is in the midst of just such a transformation. For example, the over

reliance on public sector public relations is now being transformed into public relations of the

private sector. Over the next few years, there will be a continued move toward private sector

public relations, which should be the harbinger of strategic public relations management.

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