The role of public relations in corporate diplomacy: how relationship cultivation increases organizational legitimacy

Abstract

Drawing from neo-institutionalism and public relations theory, this study examined to what extent corporate diplomacy builds on public relations to identify and respond to societal expectations emerging from a company’s host country environment, which can result in organizational legitimacy. Based on in-depth interviews (N = 25) with public relations executives in the United Arab Emirates, our findings imply that companies engage in corporate diplomacy to align with governmental demands while simultaneously attempting to meet internal expectations originating from employees and corporate values. The interviews resulted in the identification and description of five corporate diplomacy modes and a model describing corporate diplomacy-legitimacy, highlighting the role played by relationship cultivation and culture in gaining organizational legitimacy through corporate diplomacy. Consequently, our study provides a framework to explain the societal role of public relations in building organizational legitimacy through relationship cultivation.