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Public-private partnerships: How institutional linkages help to build organizational legitimacy in an international environment


Marschlich, Sarah; Ingenhoff, Diana (2022). Public-private partnerships: How institutional linkages help to build organizational legitimacy in an international environment. Public Relations Review, 48(1):102124.

Abstract

Gaining legitimacy in their host country environment is a key priority for multinational corporations’ public relations efforts since it secures their local social license to operate. By applying neo-institutional public relations to corporate diplomacy, this paper argued that institutional linkages between corporations and local government could enhance the building of legitimacy. The study sought to determine whether institutional relations affect the perception of organizational legitimacy, focusing on the United Arab Emirates. In non-democratic countries, public relations tends to be perceived as less sophisticated, and legitimacy becomes even more critical for foreign corporations. Therefore, a one-factorial (corporate diplomacy with/ without governmental involvement) between-subjects experimental design study surveying a representative sample of residents in the United Arab Emirates (N = 199) was conducted. The results imply that corporate diplomacy with governmental linkages leads to a higher perception of moral, pragmatic, and regulative organizational legitimacy, partially mediated by media credibility, governmental legitimacy, and issue legitimacy.

Abstract

Gaining legitimacy in their host country environment is a key priority for multinational corporations’ public relations efforts since it secures their local social license to operate. By applying neo-institutional public relations to corporate diplomacy, this paper argued that institutional linkages between corporations and local government could enhance the building of legitimacy. The study sought to determine whether institutional relations affect the perception of organizational legitimacy, focusing on the United Arab Emirates. In non-democratic countries, public relations tends to be perceived as less sophisticated, and legitimacy becomes even more critical for foreign corporations. Therefore, a one-factorial (corporate diplomacy with/ without governmental involvement) between-subjects experimental design study surveying a representative sample of residents in the United Arab Emirates (N = 199) was conducted. The results imply that corporate diplomacy with governmental linkages leads to a higher perception of moral, pragmatic, and regulative organizational legitimacy, partially mediated by media credibility, governmental legitimacy, and issue legitimacy.

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Additional indexing

Item Type:Journal Article, refereed, original work
Communities & Collections:06 Faculty of Arts > Department of Communication and Media Research
06 Faculty of Arts > Institute for Research on the Public Sphere and Society
Dewey Decimal Classification:070 News media, journalism & publishing
Scopus Subject Areas:Social Sciences & Humanities > Communication
Social Sciences & Humanities > Organizational Behavior and Human Resource Management
Social Sciences & Humanities > Marketing
Uncontrolled Keywords:Corporate diplomacy, global public relations, institutional relations, organizational legitimacy, neo-institutionalism
Language:English
Date:March 2022
Deposited On:03 Jan 2022 07:57
Last Modified:27 Jan 2024 02:45
Publisher:Elsevier
ISSN:0363-8111
OA Status:Hybrid
Free access at:Publisher DOI. An embargo period may apply.
Publisher DOI:https://doi.org/10.1016/j.pubrev.2021.102124
  • Content: Published Version
  • Licence: Creative Commons: Attribution-NonCommercial-NoDerivatives 4.0 International (CC BY-NC-ND 4.0)