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Received: 30 May 2019 Revised: 8 October 2019 Accepted: 7 January 2020

DOI: 10.1002/pa.2080

ACADEMIC PAPER

The relationship management function of public affairs officers


in Chile: Identifying opportunities and challenges in an
emergent market

Claudia Labarca1 | Phillip C. Arceneaux2 | Guy J. Golan3

1
Communications, Pontificia Universidad
Católica de Chile Research on the public affairs profession in both South and Latin America is one of
2
College of Journalism and Communications, the leading limitations today in international public relations research. This study
University of Florida, Gainesville, Florida
3
helps to lessen such a gap by offering more realistic insight into the ideologies and
Center for Media & Public Opinion, TX
pressures that govern public affairs practice in Chile. In-depth interviews were con-
Correspondence
ducted with 15 experts who are current senior-level public affairs practitioners in the
Claudia Labarca, Communications, Pontificia
Universidad Católica de Chile. Chilean capital of Santiago. Results offer three key insights: First, the core function
Email: claudialabarca@uc.cl
of public affairs in Chile surrounds behaviors of lobbying and governmental relations.
Second, leveraging cohesion between organizational private interest and the public
interest is a key to leveraging pressure on elected officials and governmental agen-
cies. Lastly, there is significant concern regarding public trust in the lack of transpar-
ency in the Chilean public affairs field, facilitated by insufficient governmental
regulation. Such research offers practical and grounded insights for public affairs and
public relations scholarship.

1 | I N T RO DU CT I O N public relations perspective. The focus on the relationship manage-


ment function is highlighted in White's description of public affairs as
The field of public affairs has gained considerable attention from pub- “a specialist area of practice within public relations. It is concerned
lic relations scholars over past decades. As a long-standing practice, with those relationships which are involved in the development of
public affairs ranges across governments, corporations, interest public policy, legislation and regulation which may affect organiza-
groups, and issue advocacy (Heath, 2013). Although the term “public tions, their interests and operations” (1991, p. 55). Recognizing the
affairs” is widely used in both professional and academic circles, there centrality of the relationship management function to public relations,
is little consensus over what the term actually means (Davidson, public affairs is situated succinctly around achieving public policy out-
2015). A review of relevant research points to two three key themes: comes that rest at the nexus between corporate and governmental
First, public affairs is a multidisciplinary area of scholarship that bor- organizations and a variety of stakeholders (Arceneaux, Borden, &
rows perspectives and theories from various fields (Fleisher, 2012). Golan, 2019; Grunig, 1983; Theaker, 2016; Toth, 1986).
Second, based on its relationship management function, public affairs Unlike many studies that focus on the United States and Europe,
is viewed as a public relations subset (Heath, 2013). Finally, the ulti- this study provides a unique perspective as this research is conducted
mate outcome of public affairs relationships is a direct focus on public in South America, a region largely absents in public relations research.
policy outcomes (Davidson & Rowe, 2016) through a variety of func- A key limitation of scholarship in this area is its tendency to
tions including governmental relations, lobbying (Sadi & Meneghetti, reappropriate empirical findings from one country across cultural
2019), and corporate activism (McGrath, Moss, & Harris, 2010). boundaries and geopolitical borders, namely, from Western countries
The current study aims to advance knowledge on public affairs to other regions of the world. In the context of public relations and
scholarship by exploring key definitions and functions of the profes- public affairs, this is especially true due to the roots of the modern
sion as understood by its practitioners. Although public affairs profession in the United States and its prevalence in Europe. Any gen-
research is multidisciplinary, our study examines the topic from a core eralizations that ignore historical and cultural factors, however, are

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https://doi.org/10.1002/pa.2080
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prone to error, especially in the context of Latin America (Molleda, goals” (2019, p. 11). The similarity between public affairs and political
2001). As one of the most developed and economically stable nations public relations highlights the confusion created by widely used
in South America, Chile provides a unique setting for inquiry. This umbrella terms that encompass many areas of both theory and prac-
study, therefore, offers insight into the reality of public affairs practice tice. Strömbäck and Kiousis (2019) set out to define the concept of
in Chile, a country representative of the larger public affairs industry political public relations in a manner that cut through equal amounts
in South America. of confusion and misuse as is characteristic of the public affairs
concept.
With a wide range of descriptive, theoretical, normative, and pre-
2 | LITERATURE REVIEW scriptive characteristics attached to public affairs by a global myriad
of scholars and practitioners, it is nearly impossible to clearly under-
2.1 | What is public affairs communication? stand what constitutes public affairs; much less, it is equally unclear
the relationship between public relations and political communication.
Primarily concerned with public policy outcomes, the field of public A potential explanation for the disconnect in the underlying under-
affairs has gained considerable attention from public relations scholars standing of public affairs may result from paradigmatic differences.
over past decades (Macnamara, 2012). As a long-standing practice, Whereas scholars approach the field from the normative perspective
public affairs ranges across governmental, corporate, issue advocacy, of how things should be, public affairs professionals often approach
and interest groups (Griffin, Fleisher, Brenner, & Boddewyn, 2006a; the term based on real life experience. To build on the thoughts of
Griffin, Fleisher, Brenner, & Boddewyn, 2006b; Heath, 2013). As aca- Strömbäck and Kiousis (2019), what public affairs is and what it
demic and professional interest in public affairs continues to expand, should be are two separate matters; normative elements should not
the field is undermined by a lack of consensus regarding the very defi- be included in the core definition of public affairs and rather a univer-
nition of public affairs and its relation to, or differentiation from, such sal understanding should be driven by practitioners in the field.
areas of lobbying, government affairs, and government relations This sentiment was further mirrored by Hoffmann (2019) with
(Fleisher & Blair, 1999; McGrath et al., 2010; Sadi & Meneghetti, criticism toward “harmonious PR within harmonious societies.” Hoff-
2019). As explained by Heath, public affairs is widely understood as mann argues that to view public relations as virtuous relationship
dealing with a “nonmarketplace context” (2015, p. 1). He presents the engagement only is to misunderstand the industry and the practice.
following definition by Madden as a useful definition, saying that pub- We suggest that such a view can be extended from public relations to
lic affairs is, “the management function responsible for interpreting an the public affairs industry. To that end, the work of a public affairs
organization's external environment, or in the case of a corporation, practitioner consists of advising and directing institutional entities
its noncommercial environment, and managing an effective and how to strategically engage with key elements of the public, through
appropriate response to that environment” (2005, p. 665). This defini- informing and persuading targeted publics to support predetermined
tion closely relates to the core concepts behind public relations. public policy objectives or outcomes.
The Public Relations Council (2018) goes so far as to assert that To understand this basic occupational responsibility is to under-
the only meaningful difference between public relations and public stand that to engage in public affairs is synonymous with engaging
affairs is semantic. As they maintain, where public relations is cen- in political public relations. Both concepts are concerned with how
tered in commercial interests, the key target audience is the client; to manage relationships with the public to optimally serve a political
however, with public affairs being centered on the influence of public purpose. Bernays defines public relations as consisting of three
policy from a wide range of organizational actors (government, corpo- unique functions: “The three main elements of public relations are
rate, issue advocacy, and interest groups), the linguistic characteriza- practically as old as society: informing people, persuading people, or
tion of public affairs' target audience is widened to consist of publics integrating people with people” (1952, p. 12). Based on tactics and
broadly defined. Likewise, the Public Affairs Council uses an equally strategies largely developed and defined by public relations litera-
broad term to define the target audience of public affairs work. “It ture and practice, both political public relations and public affairs
[public affairs] combines government relations, communications, are ultimately interested in one thing, the formation and/or manipu-
issues management, and corporate citizenship strategies to influence lation of public opinion to serve organizational interests in the politi-
public policy, build a strong reputation, and find common ground with cal sphere.
stakeholders” (2018, para. 3).
Because public affairs is focused on the policy outcome of
organization-public relationships, this study argues that the term is 2.2 | Public affairs functions
nearly synonymous with the concept of political public relations,
defined by Strömbäck and Kiousis as “the management process by Public affairs departments are ubiquitous throughout corporations,
which an organization or individual for political purposes, through pur- governments, and interest groups (Fleisher & Blair, 1999). From a pub-
poseful communication and action, seeks to influence and to establish, lic relations perspective, public affairs deals with those organization-
build, and maintain beneficial relationships and reputations with key stakeholder relationships that directly (or even indirectly) impact pub-
publics and stakeholders to help support its mission and achieve its lic policy outcomes. As informed by a rich body of literature on
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relationship management theory (Hung, 2005; Ledingham, 2003) communication as a key identifier of propaganda, in so far as it relates
organization-public relationship management aims to generate benefit to the pejorative connotation in the eyes of public opinion. Grunig
for the organization and the public alike. Ultimately, public affairs (2001) advocates, rather, for a two-way symmetrical communication
practitioners, trained in core public relations ideologies, view their role model that stresses genuine engagement and mutual benefits to be
as creating mutually beneficial networks of relationships between shared among the entities party to the work of public relations.
both organizations and civil society and organizations and governmen- As public relations scholarship evolved beyond the early theoreti-
tal stakeholders (Sommerfeldt & Kent, 2015). At times, however, cal work of Grunig and his coauthors, a more substantial focus was
stressing the promotion of “public interest” as their operative mission placed on the importance of relationship management in more diverse
(Feintuck, 2004; Ihlen, Raknes, Somerville, Valentini, Stachel, Lock, contexts. The introduction of relationship management theory
et al., 2018), public affairs professionals representing special interests (Ledingham, 2003; Ledingham & Bruning, 1998, 2000) placed a deep
have branched out into such traditional public relations functions as emphasis on the organizational investment and authentic commitment
corporate social responsibility and community relations. to stakeholders as a precondition for successful practice of public rela-
To this end, public affairs professionals serve various relationship tions. Heath advanced this in stating that the key to being a “good
centered functions, again, making it similar if not indistinguishable at corporate citizen” (2006, p. 100) is the ability of an organization to
times to traditional public relations (Grunig & Grunig, 2001). For consider the opinions, pressures, and needs of its stakeholders and to
example, Toth (1986) lists the Public Affairs Council designated activi- engage with them in such a way that makes them feel valued, appreci-
ties as public affairs functions: government relations, political actions ated, and respected.
including the communication of political issues, community involve- As reflected in our review, the early writings on public affairs
ment, corporate social responsibilities including philanthropy, and were limited not only by a handful of theoretical perspectives pro-
political risk assessment. moted by early public relations scholars but also by a United States-
In their substantive review of the literature, McGrath et al. (2010) centric focus that brings into question many of the fundamental
argue that issue and reputation management are key functions of assumptions regarding the overall generalizability of research findings.
public affairs. They also present findings from a 2009 study by the Fortunately, much progress has been made in this regard during the
Center for Corporate Affairs and the Public Affairs Council in which course of the past two decades. As scholars reach beyond traditional
they list 21 public affairs activities of which 10 can be considered tra- theoretical assumptions, toward the investigation of diverse phenom-
ditional public relations functions. These 10 activities include corpo- enon across the globe, modern public affairs scholarship will provide a
rate communications, corporate social responsibility, crisis more robust understanding of the field and its implications.
management, community relations, issues management, media rela- Of interest to the current study is the growing scholarship on the
tions, employee relations, stakeholder relations, government relations, so-called Latin American School of Public Relations (Molleda, 2001).
and trade associate oversight. This school of thought offers a lens into a region that is typically
defined by social, economic, and political activism, which allows organi-
zations to build relationships with stakeholders within a wider, and
2.3 | Public affairs and relationship management often more complex, dynamic than in Europe or the United States
(Molleda, 2017). Although still growing, research in this area includes lit-
Traditionally, public relations literature was centered on a one-way erature on Brazil (Molleda & Ferguson, 2004), Colombia (Molleda &
communication model, that is, how practitioners communicate to the Moreno, 2008; Molleda & Suarez, 2005), Mexico (De Moya & Jain,
public. Botan and Taylor (2004) and Botan and Hazelton (2006), how- 2013; Molleda & Moreno, 2008), Venezuela (Molleda, 2007; Molleda &
ever, note that the field underwent a fundamental change through the Moren, 2008), Ecuador (Tilson & Alozie, 2004), Peru (Sommerfeldt &
1980s and 1990s. As prompted by the work of Ferguson (1984), both Kent, 2015), and Chile (Somma, Labarca, Gálvez, & Godoy, 2016).
public relations and public affairs began to shift toward a newer model Outside of the Latin American context, scholars have made head-
that emphasized the role of public affairs as the creation and mainte- way in research on the politically motivated relationship management
nance of two-way communication-based relationships with public function of public affairs. Sweetser, English, and Fernandes (2015), for
audiences, namely, relationships that were mutually beneficial to the example, analyzed the role super PACs fill in policy contexts, namely,
involved parties. It is through this kind of relationship that organiza- finding that active engagement on digital platforms increased the feel-
tions and individuals can more functionally manage the perception of ing of a conversational exchange and reinforced the perception of the
their image in the eyes of the public (Heath, 2001). organization-to-public relationship. Further, Sweetser (2017) found
Such work was particularly furthered by Grunig (1993, 2001), that the strength of an individual's relationship with a political organi-
Grunig and Hunt (1984), Grunig and Repper (1992), and Grunig, Grunig, zation is significantly impacted by the authenticity of those publicly
and Dozier (2002). As he argues, the basis of public affairs is cemented more representative of the organization and the level of credibility a
in the relational element through which an organization engages with, person prescribes to that organization.
and relates to, a public. He notes that one-way asymmetrical communi- Where public affairs is situated in a two-actor model, namely, cor-
cation with audiences presents a variety of ethical problems (Grunig, porations and their consumers, public affairs is more accurately situ-
1993), out of which such publics often equate asymmetrical ated in a three-actor model consisting of corporations, governmental
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actors, and the public. With the growing dominance of corporate Regarding their main professional roles, previous research indi-
accountability via corporate social responsibility, in tandem with the cates that Chilean public relations practitioners consider themselves
notion that the public affairs field primarily exists in democratic coun- as strategic communicators within organizations. They also indicate
tries where government actors are subject to the favor of public opin- the importance of technical short-term functions, particularly day to
ion, the burden falls on public affairs practitioners to create a day relationship with the media. Finally, Chilean public affairs practi-
narrative that positions their organizations favorably in the eyes of tioners see themselves as having an ever-vigilant role within organiza-
the public, as a means to further the organization's ability to work tional bodies (Mellado and Barría, 2012).
with governmental actors to achieve desired policy outcomes. The Latin American Communication Monitor (Moreno et al.,
2019) reveals that public relations practitioners in Chile provide
reports to their superiors in two main subjects: news and monitoring.
2.4 | Private versus public interest Within these two core responsibility areas, many note that engaging
with active audiences and stressing public transparency is a substan-
As stated, the core function of public affairs is to manage the image of tially growing part of daily responsibilities.
an organization in the eyes of the public so as to further that organiza- Given the end of the Chilean authoritarian regimes of the 20th
tion's private interests in some kind of political or policy context. With century, and the ensuing hybridization of Chile's strategic communica-
the growing prevalence of corporate social responsibility, public tions sector via the merging of journalism and public relations prac-
affairs practitioners are now seeking to use relationship management tice, Chile makes for an ideal and budding market for study as it offers
tactics to align the private interests of their organizations with the a culturally unique take on public affairs. The foundational interest of
public interest; that is, they seek to further their organization's inter- this article is to better understand the relationship management func-
ests through advocating for the public's interest (Oberman, 2017). As tion of public affairs practitioners in Latin America.
Ihlen et al. suggest, “arguing for the public interest is a staple lobbying As argued, although there is growing public affairs research in the
strategy in Western-style democracies” (2018, p. 120). Latin American context (Biggemann, Klimovich, & Thomas, 2014;
Public interest is an abstract concept (Cochran, 1974; Feintuck, Carbone, 2019; Fisse & Thomas, 2014; Gozetto & Thomas, 2014;
2004; Sartori, 1970; Simm, 2011); ultimately, it is a malleable set of Hogenboom & Jilberto, 2012; Sadi & Meneghetti, 2019; Thomas &
ideals that can be influenced (Simm, 2011), or at times even hijacked, Klimovich, 2013, 2014), such research is still significantly outpaced by
by organized interests with substantial assets and resources. Although similar research set in the United States, European, and Asian con-
the public affairs profession regularly lobbies for political influence, texts. Indeed, McGrath et al. (2010) recognize that perceptions of
part of this lobbying strategy involves influencing public interest to what constitutes public affairs activities may result from geography,
converge it with the organization's private interests. Promoting an supporting the underlying assumption that public relations and public
image or narrative of the organization as invested in the public inter- affairs research must be regionally and culturally proximate to the
est takes advantage of the benefits of corporate social responsibility environments they study. This research, therefore, helps to close this
and maximizes the social capital of the organization. It is this social gap by addressing the role of public affairs practitioners in the Latin
capital, conferred on the organization by positive public sentiment, American country of Chile. Although the legislation is fairly new in the
that an organization can use to leverage influence on politicians, polit- country (Law N 20.730, 2014) and intends to regulate lobbying and
ical parties, and governmental institutions to advance the private related activities, in practical terms, public affairs activities have been
policy-centered interests of the organization. going on for many years from now in Chile and have constituted regu-
lar corporate practices (Garin, 2016).
According to a UN Human Development Report (2018), Chile
2.5 | The case of Chile leads both South America and Latin America more broadly, in a host
of social issues including health, education, income, inequality, secu-
Mellado and Humanes (2012) note a continued lack of theoretically rity, employment, business, environmental sustainability, and socio-
driven research both on the Latin American, and specifically Chilean, economic sustainability. Understanding that many of these metrics
public relations markets. Indeed, Mellado and Barría (2012) highlight constitute prime issues for public interest, the Chilean public affairs
the strong North American influence on Chilean academia due to industry serves as the ideal case for investigating how practitioners
scarce local research. This lack of an owned theoretical approach may view the goals and responsibilities of the profession, as well as how
be due to the recent professionalization of the public relations prac- such outcomes are achieved.
tice in Chile. As noted by Délano (1990), it was Augusto Pinochet's
regime and the influence of the neoliberal economic model that trig-
gered the development of the professional practice in the country. 3 | METHODOLOGY
Substantial growth within the global economy also contributed to the
professionalization of public relations in Chile, because it allowed mul- In order to understand the nature of public affairs in Chile, in-
tinational companies to settle in the country. Nevertheless, Chile is depth qualitative interviews were conducted with 15 public
still in a process of development (Contreras, 2006). affairs professionals working in Santiago between December
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2018 and January 2019. Following Glaser (1978), an inductive lobbying and government relations. More broadly, they identified indi-
orientation in the data collection and analysis was adopted. The rect influence over decision makers as a key function of the industry.
research was also guided by an interpretivist approach, which This includes indirect lobbying via news organizations or governments
seeks to address the complexity and meaning of situations and, growingly, community elites. There was no clear consensus, how-
(Black, 2006). ever, on whether public affairs needs to be understood as a subarea
All 15 participants work for large corporations or public affairs of public relations, an autonomous discipline/area, or plainly equate it
consultancies and hold senior rank within their organizations, that to public relations itself. Second, the alignment between organiza-
is, they constitute leading public affairs professionals in Chile. tional interests and the public good was identified as a prominent
Recruitment of the participants was conducted by a scholar with principle required for a company or an industry's long-term success,
a vast professional network in Chile via professional organizations and moreover, financial sustainability. Although the interviewees col-
and academic networks. To select the sample, two methods were lectively agreed on this theme, they also reported that they often
used: purposive and snowball sampling. As put by Patton, “The must manage the tension between this principle and the more short-
logic and power of purposeful sampling lies in selecting sighted interest of corporate boardrooms where immediate fiscal
information-rich cases for study in depth. Information-rich cases interest is prioritized. Finally, the participants reported general con-
are those from which one can learn a great deal about issues of cern over the current state of the public affairs industry in Chile,
central importance to the purpose of the research, thus the term which suffers from inadequate regulation and a lack of transparency,
purposeful sampling.” (1990, p. 169). Thus, high ranking public resulting in diminished trust in the profession. Cultural traits, however,
affairs officers and senior consultants and with considerable were also highlighted as a cause.
expertise (at least 5 years of experience) in industries sensitive to
regulation were purposively selected. Snowball sampling was also
used, asking the same participants to suggest potential respon- 4.1 | Definition and key stakeholders
dents within their professional networks.
Participants were screened based on their direct involvement in As a general result, there was agreement among participants that the
the field. Interviews were conducted in person or by phone. All partic- predominant function of PA is to impact public policy through rela-
ipants were offered anonymity and signed an informed consent form. tionship management with key stakeholders. This includes, but is not
On average, each interview took between 30–45 min. The interviews limited to, the classic lobby function and government relations.
were recorded and translated into English by a professional translator. Regarding the scope of PA, however, there were nuances among par-
Of the 15 participants, two were female; all were above the age of 40. ticipants. To facilitate the analysis, respondents were divided broadly
In-depth, semistructured interviews were utilized. Interviews are a into two main groups. The first group constituted those interviewees
form of conversation (Kvale, 2008) useful to obtaining a viewpoint on who focused their definition on the relationship among corporations
specific subjects (Bryman, 2004). To guide the conversation, a question- and institutions with governmental and political authorities, most of
naire with five major themes was developed. Themes included them to influence the decision-making process on public policy and
(a) definition of public affairs, (b) identification and characterization of regulation and therefore, agreeing with the traditional definition
key players, (c) role of public affairs in policy communication, found in the literature review. Mostly, this group was formed by pro-
(d) relationship between public good and public affairs, and fessional lobbyists (consultants), and in the case of corporations, only
(e) evaluation of the current public affairs professional practice in rela- one participant was included in this group. It was also the only case in
tionship with Latin America and developed countries. Participants were which PA was a separate department from Communication. The fol-
also asked to give extra comments they deemed necessary or lowing definition helps to understand the perspective of this first
appropriate. group and sheds light on the conceptualization of public interest,
An open coding scheme using a hierarchical structure (Saldaña which is the second major finding in this research:
2019) was used to report the findings. Initially, 180 entries were
coded as descriptive themes, which then passed to the secondary Public affairs is constituted by every relationship with
cycle of coding looking to “explain, theorize, and synthesize them. authorities on those subjects not yet regulated with
Second-level coding includes interpretation and identifying patterns, the purpose to propose new business alternatives that
rules or cause-effects progressions” (Tracy, 2013, p. 194). The data benefit the country as well as protecting the company
were analyzed through an iterative process to refine results, following in all those regulatory aspects, especially on conten-
the methodology proposed by Tracy (2013). tious cases involving the authority against the com-
pany. (Respondent 2, Utilities).

4 | RESULTS The second, and largely predominant, group was identified as


having a broader perspective on public affairs because they integrated
Three key themes emerged from the interview data. First, inter- more stakeholders and functions into the analysis. This group ranged
viewees agreed that the key function of public affairs includes from those that consider new nongovernmental stakeholders as key
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in the area, to those that equate public affairs with public relations In general, respondents tended to incorporate communities (territo-
and therefore somehow denying the discipline of public affairs as hav- rial and ideological) including political actors, business associations, think
ing its own disciplinary core and corporate function. tanks, or academics. Mass media appear with less importance in their
Two common characteristics can be distinguished on this group: discourse; only three respondents mentioned it as an important actor.
First, there was a predominance of the relationship with the authori-
ties rather than the particular public affairs outcome of this relation- The subject is complex. We can use multiple methodol-
ship when they conceptualized public affairs. Second, the ogies to categorize - according to relevance and the
incorporation of new nongovernmental actors as key stakeholders in particular market in which your company develops -
the field was dominant. Regarding the first characteristic, and in con- which are the key stakeholders … But this method
trast with the traditional definitions on public affairs that focuses on does not understand the field dynamics; I should
public policy outcomes (i.e., laws and regulations), respondents change the priority of each stakeholder depending on
highlighted the main function of public affairs as being the relation- the strategy … and the objectives. You can always
ship with key stakeholders itself rather than the particular outcome of describe your interest groups, but this is like a domino,
these relations. This is not only a broader conceptualization of what you always have the same 36 pieces, but you can dis-
public affairs implies, but also a change of focus in its definition, as tribute them differently (Respondent 3, Banking).
exemplified by the experience of this Director of Communications
and Corporate Affairs from a utility company: It is worth noting that given the Chilean presidentialist regime,
congresspeople are not necessarily relevant in their legislative func-
(Public Affairs) goes far beyond regulation. In some tion but rather as opinion leaders on traditional or social media. “Pri-
occasions, authorities take decisions targeted to impact vate interest always wants access to those congressmen that appear
media to have short term political revenues. Those on TV” (Respondent 5, Consultant).
decisions may impact a company or even destroy a Very closely related to the scope of PA is its functional relationship
brand… and they have not changed any regulation, but with PR. For those respondents with a focused perspective of PA, spe-
they destroy companies anyway. Also, a fluent rela- cifically targeted to authorities and public policy (i.e., laws and regula-
tionship with the authorities and the fact that they tion) as the only outcome, PA is an independent function within a
stand by you at certain moments give positive signs to corporation and a partner to communications. “We are one of the few
the market, investors, and public opinion that posi- companies in which PA constitute a separate area, with all the authority
tively impact your reputation (Respondent 15, Utilities) that structure implies. We are separated from communications”
(Respondent 2, Utilities). For those who understand PA as targeting not
As can be seen, the relationship with authority exceeds the tradi- only authorities but also a broader spectrum of stakeholders, but still
tional scope on PA and becomes relevant to fulfill general communica- also understand PA centers on public policy as a main function, PA is a
tion goals. functional subset of PR and therefore supports communications. “That
The second characteristic means that the PA relationship man- is why I understand (PA) as part of communications … A specific activ-
agement function is not only targeted to create, maintain, and develop ity is lobby, which looks to influence decision-makers to influence pub-
ties with authorities (i.e., government and legislative) but with what lic policy. For me lobby is one of many tools of PA, as focus groups are
they call the “environment of the public sphere.” To this respect, a for marketing. Lobby is not an area but a tool” (Respondent 12, Consul-
succinct definition was offered; “How do we define public affairs? At tant). Finally, a third group matches PA with PR. “PA is confused to
the end of the day it is the relationship that a corporation has with its (be targeting) only relationships with the government, which is the
public sphere in order to develop business” (Respondent American (U.S.) conceptualization, which is the most political one. I do
10, Telecommunications). not see any difference between corporate affairs (PR) and public affairs
Two aspects are of interest in this quote. First, the idea that pub- in Chile … I don't see any difference, the political factor is one of the
lic affairs is ultimately conceived as a pillar for business, again going factors” (Respondent 8, Consultant). Moreover, a respondent defined
beyond the scope of regulation. Second, it is not focused only on the AP as “any action or initiative from a corporation that goes to the
authorities as the main target of relationship management but on external stakeholders” (Respondent 14, Food Industry).
what the majority of the respondents labelled as “public sphere,”
which overreaches governmental authorities because it includes com-
munities, influencers, business associations and, to a lesser extent, 4.2 | Organizational interest and public good
academia, and think tanks. Unlike authorities, these groups are used
as indirect strategy to pressure decision makers. Subsequently, when As it has been discussed previously, part of the PA function is to align
asked, respondents broadened the scope of traditional key actors by private corporate interests with public good. The results of this
incorporating new relevant stakeholders to fulfill PA goals, highlight- research indicate that there is agreement among participants that
ing the complexity necessary to understand and design strategies public good is vital to corporate long-term sustainability, and engaging
targeted to different publics. both interests is a critical function of PA. Thus, for all the respondents,
LABARCA ET AL. 7 of 12

public good is conceived strategically not only to keep reputation thousands of arguments to destroy that particular
among key players but as an essential component of business strat- interest. (Respondent 5, Consultant).
egy. “Public good is key for the company's operation. When a com-
pany wants to operate (or already operates) in a certain place is In this second case, there is a hierarchy among state and private
important to relate the corporate project and objectives with public actors, in which the latter needs to adapt their policies and understand
good, otherwise it will not be able to succeed. You need to have local the new business scenarios. “How you reach common good is also a sign
and national support” (Respondent 7, Utilities). Moreover, public good of how your business conditions change. If, for example, common good
is an essential part within the definition of PA from a practitioner per- is related to climate change this is a new sign for our business, those are
spective: “(PA) concerns all those matters that constitute public inter- the new rules we are playing with” (Respondent 2, Utilities). Although
est but may affect the particular interest of an organization. In this is considered an ongoing process, it will be achieved because it helps
practice, this is PA” (Respondent 5, Consultant). companies to sustain their own businesses on a long-term basis.
Although they share the strategic conceptualization of PA, partici-
pants have their differences not only as to what constitutes public My perception is nowadays public good is gradually
good but how this is determined. There is agreement into understand- being built … Big corporations are understanding that
ing public good from a constructivist perspective but disagreement private interest cannot be unlinked to public good. Com-
around who builds it and how is built. To this respect, the results indi- panies that are doing this are having positive results,
cate two main perspectives; the first understands public good as the both in reputation and in surveys, and they are the ones
result of a negotiation and dialogue. Who wins this dialogue or negoti- that have understood they need to change their own
ation depends on the amount of power held by the actor and its stra- business model and their strategic proposal to do this
tegic capacity to build it, thus assuming that balance of power can be match with public interest. (Respondent 11, Consultant).
modified strategically.

In the real world (public good) is built within the influ- 4.3 | Regulation and practice
ence process; a construction … For example, a very
expensive medicine needs to be subsidized by the In 2014, Chile passed the first law that regulates “lobbying and all the
state, then the strategy to succeed will be probably activities that represent particular interests before authorities and
based on grouping patients into a pressure group … At government bureaucrats … with the objective to strengthen transpar-
the end of the day, these are constructions based on ency and probity in the relationship and the State” (Law 20,730,
who won the discussion. (Respondent 6, Consultant). 2018). The law defines lobbying as a paid activity, whether this is
developed by a natural person or legal entity, whose objective is to
Therefore, this perspective also implies that this negotiation promote, defend, and represent any interest to influence decisions
involves two opposite interest groups, which look to influence public that government authorities take during their period in office. Simply,
policy. the law makes it mandatory for professional lobbyists to be registered
The second, and the majority, perspective shows a discursive in a public list. Also, authorities are compelled to have a public docu-
posture that, although constructivist, assumes a situation of unbal- ment in which meetings with lobbyists, that have the purpose
ance, in terms of power, in which state and governmental authori- described by the law, need to be registered and described.
ties determine what constitutes the public good. “From the Respondents tend to agree that having a law that regulates the
consultant perspective you need to make compatible public inter- activity is necessary for transparency and for sustaining democracy
est and public good … Public good is defined by the authority and avoid corruption. Most of them, especially consultants and pro-
(a right-wing government will define public good differently from a fessional lobbysts, criticize the law as weak and unfair.
left-wing government). But when you can do that, the rules of the
game tend to be more stable; regulation gives stability” To have a law that regulates lobbying helps to legitimize
(Respondent 12, Consultant). it. In fact, the mere existence of the law helps to define
Alignment, engagement, and adaptation are the words most used it, clarify its scope and regulate it (what is allowed, for-
by respondents to describe the strategy PA practitioner needs to bidden and how). In the case of Chile, we have a very
follow. light and simple law (in terms of regulation), that high-
lights the role of the subject of the lobbying activities
In order to succeed you need to link private interest (i.e., authorities) more than the lobbyist itself, but a good
with public interest, although the prevalence of private regulation should allow equal access to decision making
interest is the corporate dream, because nobody will process (Respondent 12, Consultant).
take a decision that only benefits you. I have the duty
to engrain my (referring to corporate) interests with This critique addresses the registering and public agenda with the
the public ones … If I don't do that there will be formal meetings and the definition of lobby as a “paid activity.”
8 of 12 LABARCA ET AL.

Although this is recognized as important for transparency, they argue includes indirect lobbying via news organizations or government and
that the law leaves out an important aspect of Chilean actual lobby: community elites. These findings are consistent with previous studies
informal meetings that may occur in spaces outside the formal offices. (Fleisher & Blair, 1999; Ihlen et al., 2018; McGrath et al., 2010; Sadi &
This is very important in a society, as is the case in Chile, in which cli- Meneghetti, 2019) that indicate that despite the broad scope of public
entelism is still a cultural aspect (Barozet 2006) and bonding social capi- affairs functions, lobbying remains as a key function synonymous to
tal prevails (Cousiño & Valenzuela, 2000). For example, lunch at any professionals within public affairs. The qualitative nature of our data
restaurant or informal conversations in a club do not count as lobbying. provided for an interesting finding that is to be explored by further
One example of this is highlighted by a professional lobbyist saying, studies. Although the interviewees focused on lobbying, several of
them also mentioned that public affairs include elements of business
Informal lobbying is the main focus of corruption. For- strategy. Recognizing that the business outcomes of their organizations
mal lobby is regulated. For example, because I am reg- are directly tied to organization-government relationship outcomes,
istered as a lobbyist, every time I have a meeting with they argued for the centrality of public affairs in the overall business
a congressmen everyone knows we are not going to strategy of the organization.
talk about soccer… the problem lies on those hundreds Second, the alignment between organizational interests and the
of people that are not registered as such but in practice public good was identified as a prominent principle required for a
they practice lobby although they are not compelled to company's or an industry's long-term success. Although these public
register any meeting or conversation with authorities affairs officers collectively agreed on this theme, they also reported
(Respondent 5, Consultant). that they often have to manage the tension between this principle
and the more short-sighted interest of corporate boardrooms where
For example, a business association that may have important immediate fiscal interest are prioritized. As argued by Ihlen et al.
power over the decision-making process on public policy is not con- (2018), the perceived alignment between the private interest of an
sidered a lobbyist, and therefore, they are not compelled to report organization and the public interest argument is key to the success of
their behavior. On the other hand, Chilean law does not require any public affairs campaign. The findings of our study highlight the
authorities to hear all the parties involved in a decision-making pro- real-world tension between the more normative body of scholarship
cess. “Chilean law fosters transparency insofar it creates a list of audi- on public interest communication (Arceneaux, 2018; Brunner, 2017;
ences and lobbyist, but it does not help to reduce asymmetries of Fessmann, 2017; Fitzpatrick, 2017) and the real-world constraints fac-
power since it does not guarantee equal access for all … that is why ing public affairs practitioners who has to adhere to boardroom
massive protests are more efficient than lobbying” (Respondent expectations that may not entirely fit best practices.
6, Consultant). Like most of the respondents, Respondent 6 places the The final theme that emerged from our study pointed to a
United States as an example, and benchmark, of adequate regulation. macrolevel concern on the part of the public affairs professionals. They
Likewise, they place Chile as leading this area within Latin America. As reported general concern over the current state of the public affairs
can be seen, although there is recognition on some of the positive industry in Chile, which suffers from inadequate regulation and lacks
aspects of having a law that regulates public affairs, the respondents transparency, resulting in diminished trust in the profession. Given that
agreed on the fact that current legal regulation in Chile does not cover Chile is largely viewed as one of the most developed and stable coun-
all the areas in which PA works. tries in Latin America in a public affairs capacity, this finding is a cause
for concern, particularly regarding to the nature, or lack thereof, of reg-
ulation, transparency, and perceived trust of public affairs practitioners
5 | DISCUSSION in other countries within South and Latin America. Our participants
raised a red flag of concern for those interested in the state of public
Although public affairs has been an important part of public relations affairs in the region. As demonstrated by a substantial body of scholar-
since its early days, academic scholarship on the relationship between ship, trust is a fundamental requirement for successful organization-
the two topics has been scant. Recently, scholars attempted to not public relationship management (Grunig, Grunig, & Ehling, 1992; Hon &
only define the various dimensions of public affairs but also their rela- Grunig, 1999; Kent & Taylor, 2002). As such, we argue that the regula-
tionship to the overall public relations body of literature. The current tion of the public affairs industry in Latin America could potentially pro-
study aims to contribute to this emergent scholarship in two ways. mote its success rather than impede it.
First, it extends the investigation of the topic outside of the United Ledingham and Bruning (1998) identify five key dimensions of
States, the geographic focus of most previously published studies on relationship management, including trust, openness, involvement,
the topic. Second, we examine the intersection of public versus pri- investment, and commitment. In the context of our study, the Chilean
vate interest as presented in the Chilean public affairs industry. interviewees identified some areas of disconnect between organiza-
Three key themes emerged from the interview data. First, inter- tional public affairs campaigns and the overall welfare of key stake-
viewees agreed that the key function of public affairs includes lobbying holders. Our study adds to previous literature that examines the
and government relations. More broadly, they identified indirect influ- concept of the public good, that is, public interest, as it relates to pub-
ence over decision makers as a key function of the industry. This lic affairs activities (Ihlen et al., 2018). Whereas public relations
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AUTHOR BIOGRAPHI ES

Claudia Labarca is an associate professor at the School of Com-


munications, Pontificia Universidad Católica de Chile. She holds a
PhD from the School of Government and International Affairs at
Durham University and a Master of Arts in Corporate Communi-
cation at University Autonoma de Barcelona. Her research inter-
ests are corporate communications, corporate trust, and
intercultural business communication. She is the director of the
Corporate Communication diploma.

Phillip Arceneaux (Ph.D., University of Florida) is an Assistant Pro-


fessor of Strategic Communication in the Department of Media,
Journalism, and Film at Miami University. His research interests
include political public relations, public diplomacy, computational
propaganda, and international law and policy. This interdisciplin-
ary approach studies the growing political uses and impacts of
emerging communication practices and platforms on the govern-
mental, commercial, and non-profit sectors. His work has been
published in New Media & Society, the Journal of International
Communication, the Journal of Public Interest Communication,
and the American Behavioral Scientist. He is an active member of
the International Communication Association and the Interna-
tional Studies Association.

Guy J. Golan (PhD, Florida) is the Director of the Center for


Media & Public Opinion. He has published more than 40 peer
reviewed journal articles in the field of public affairs & political
communications.
12 of 12 LABARCA ET AL.

APPENDIX A.

Table 1. List of interviewed public affairs exerts

Code Position Industry Date of interview Gender


1 Corporate & government affairs manager (CGA) Food December 7, 2018 Male
2 Public affairs director Utilities December 19, 2018 Male
3 Institutional affairs general manager Banking December 14, 2018 Male
4 Communications general manager NGO December 19, 2018 Female
5 Partner/general director Consultant January 7, 2019 Male
6 Director Consultant January 3, 2019 Male
7 Sustainability general manager Utilities January 11, 2019 Male
8 Partner/general director Consultant December 13, 2018 Male
9 Communications general manager Telecommunications December 14, 2018 Female
10 Director/ corporate affairs Telecommunications December 21, 2018 Male
11 Partner/executive director Consultant December 26, 2018 Male
12 Public affairs director Consultant January 3, 2019 Male
13 Communications manager Agroindustry January 9, 2019 Male
14 Public affairs director Telecommunications January 14, 2019 Male
14 Director of communications and corporate affairs Food January 24, 2019 Male
15 Director of communications and corporate affairs Utilities January 18, 2019 Male

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