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Article
Publication date: 15 May 2007

Youngshin Hong and Eyun‐Jung Ki

The purpose of this paper is to investigate how public relations practitioners perceive investor relations itself and what the potential is in terms of public relations with…

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Abstract

Purpose

The purpose of this paper is to investigate how public relations practitioners perceive investor relations itself and what the potential is in terms of public relations with empirical results.

Design/methodology/approach

A web‐based survey was conducted by using systematic random sampling with a probability sample of 5,000 public relations practitioners drawn from the 2004 Public Relations Society of America (PRSA) Directory. The survey consisted of three sections, investor relations functions at organizations with a multiple‐answer format, perceptions on specific activities of investor relations with a seven‐point Likert scale, and demographic information.

Findings

Practitioners conceived that counseling with top management the most important investor relations activity and that earning a reputation for honesty the most significant result the activity can create. Moreover, practitioners considered direct involvement with top management a highly effective investor relations strategy for achieving goals. However, for handling investor relations, practitioners showed contrary attitudes regarding qualifications and undergraduate courses, indicating that public relations qualifications would be more needed for entry‐levels, while basics for finance would be more necessary for undergraduates.

Research limitations/implications

This research acquired an extraordinarily low response rate, 3.54 percent and targeted the US public relations practitioners only.

Originality/value

This study is the first to directly investigate public relations practitioners' perceptions on investor relations as well as fairly in accordance with the current consensus that investor relations and public relations should be convergent.

Details

Corporate Communications: An International Journal, vol. 12 no. 2
Type: Research Article
ISSN: 1356-3289

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