Case Study of United Airlines Public Relation Theory and Practices

This case study examines the PR crisis faced by United Airlines following the incident involving Dr. David Dao. The report analyzes the event, highlighting the company's missteps and the resulting damage to its reputation. It delves into the application of public relations theories, including the excellence theory, social exchange theory, and agenda setting theory, to understand how these principles could have been leveraged to mitigate the crisis. The case study explores the importance of effective communication, crisis management, and the role of social media in shaping public perception. It concludes with recommendations for United Airlines to improve its PR strategies and prevent similar incidents in the future, emphasizing the need for proactive engagement, ethical conduct, and a customer-centric approach. This assignment from Desklib provides a detailed analysis of the case, offering valuable insights for students studying public relations and marketing.

CASE STUDY OF UNITED AIRLINES
PUBLIC RELATION THEORY AND PRACTICES
INSTITUTIONAL AFFILIATION(S)
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PUBLIC RELATION THEORY AND PRACTICES
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EXECUTIVE SUMMARY
The incident of United Airlines and removal of Dr David Dao from flight 3411 has been
considered as a worst case in history of PR errors made by any company. The incident was
highlighted all over social media and became one of the global PR catastrophes
immediately. The incident got enough media coverage and the news was speedily spread
worldwide. The bad customer service that was recorded led entire airline industry into
suspicion of providing expected overhaul to flight passengers. Maintaining good quality
public relation practice became debatable. Although the airline company apologised for
misbehaviour, still this case had left an impression that won’t be forgotten and recorded as
delinquent conduct of PR of United Airlines. This report will make a brief study of the
incident while figuring out possible recommendations that could have been applied by PR’
of United Airlines. The PR theories mentioned in the report could have helped in preventing
such appalling incident.
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PUBLIC RELATION THEORY AND PRACTICES
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Table of Contents
EXECUTIVE SUMMARY............................................................................................................. 2
INTRODUCTION........................................................................................................................4
OUTLINE OF THE CASE STUDY..................................................................................................5
COCLUSIONS.............................................................................................................................6
THE EXCELLENCE THEORY.....................................................................................................6
SOCIAL EXCHANGE THEORY..................................................................................................8
AGENDA SETTING THEORY................................................................................................... 9
RECOMMENDATIONS.............................................................................................................11
REFERENCES........................................................................................................................... 13
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INTRODUCTION
Developing public image of an organisation in front of public and to manage issues in the
company is most important job of employees. Public Relation theories are therefore
considered significantly by organisation’s to make sound communication skills and maintain
proper public relation process (Creative Commons, 2012). Professional trainees inculcate PR
practices into their operations by outlining core principles of PR in business, third parties,
governments and customers. In United States and other Western countries, PR has become
a key strength in making organisational communication which is practised by management
and associations. In strategic management, the role of PR practitioner’s has become vital to
build public relations and accomplish the core objectives of organisation (Cornelissen,
2000). Many authors have identified PR roles in organisations and provided with various
models that can be applied by management to enhance their PR practices. Theories if
applied can provide managers with effective tools to formulate basic communication plan
addressing organisation’s issues and requirements. The basic elements of public relation
include media relation, issues management, internal communications and crisis
communiqué. PR theories those are practised and prove beneficial to the firm are the ones
that always lead organisations to develop healthy public relation and should be
incorporated by managers to ascertain acceptable and tactful decision at the time of
dilemma. No single theory single-handedly can help managements to accomplish public
relation in organisation as different situations demands diverse solutions (Lint, 2017). Thus it
becomes necessary for them to look into different perspectives and make close study of
theories those are related to public relationship along with studying mass communication
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techniques (Hazleton, 2006). This report will make research of three PR theories that can
provide assistance to the managers of United Airlines while making suggestion for the below
case study.
OUTLINE OF THE CASE STUDY
One of the reputed airline industries CEO Munoz received an Oscar in the year 2017 and
was given a title of U.S. Communicator of the Year by PR weekly magazine for which the
company acknowledged immense reputation. Unfortunately the incident which happened
one month later caused crash of $ 1 billion in value and was recorded as a worst PR disaster
in airline industry (Netimperative, 2017). The misbehaviour of company’s staff with an
airline passenger Dr David Dao positioned whole airline industry in the microscope. The
incident took place on 9th April 2017 where security officers hauled one of their paying
passengers Dr David Dao off the flight that was scheduled from Chicago to Louisville in
Kentucky. Dr Dao was so traumatised that he had to be admitted to the hospital. Other
passenger showed responsibility and recorded the entire incident through their
Smartphone’s to expose the bad behaviour of flight attendants. Dr Dao was forcibly pulled
down the aircraft aisle along with his wife and children by security representative for
overbooking his reservation.
Instead of apologising for the injuries of Dr Dao caused due to misconduct of United
Airlines staff, the CEO apologised only for the getting him re-accommodated with another
passenger. Even the company failed to admit their part of negligence and accused Dr Dao to
be “disruptive and belligerent.”Since the company did not reacted fairly, social media’s got
frenzy until Munoz made a written apology to Dr Dao. The fiasco clearly proves that if
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United Airlines would have made positive attempts earlier, lesser damages would have been
made to its image. The company requires implementing PR theories in its operation so that
such incident is not repeated (Lint, 2017).
COCLUSIONS
THE EXCELLENCE THEORY
The excellence theory of Grunig and Hunt has been dominating the theory and practises of
PR. The theory relates to different concepts like two way symmetrical communication,
contribution to society, cultural difference, and ethics to maintain public relations. The
excellence theory describes the role of communicators and management functions in
performing their PR responsibly. Grunig have given more stress on optimising public relation
model as two way symmetrical models that performs function of two way balanced
communications to administer conflicts while improving indulgence with public (DeGroot,
2015). In strategic management practises, good relationships among organisations develops
the power of achieving desired goals by both public and management’s. By reducing
negative publicity and providing expected service to stakeholders, PR practitioners can
prove effective and can nurture extended symmetrical relation within the company and
people (Grunig).
The excellence theory further categorises into three sections i.e. Empowerment
which suggests management to empower public relations as a crucial managerial function.
Second section states Communicator role which suggests management to allow public
relations play a part in administrative and professional role. Third section states
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Organisation of Communication function which suggests inculcating public relations as an
integrated part of communication process and not only marketing or other management
function (Rhee, 2004). Thus organisations support excellence theory as it enables them to
pursue their mission by building public relations that supports in gaining ultimate goals. The
communication programs made strategically also helps organisation’s managing
interdependence amid considered publics. To build an effective organisational leadership,
two way mutual communications is required to satisfy the workforce and build a strong
brand. Another significant characteristic of excellence theory is diversity that corresponds to
categorize people according to age, race, religion, etc.
The theory states that to maintain different situation, the managers have to react
according to the people present as not always their experience counterparts. Sometimes it
becomes necessary for the managers to bend the situation and accept to undertake the
responsibilities, especially when public support is negative. Many researchers claims that
excellence theory does not qualifies to all necessities as this theory gives more stress on
maintaining pubic relation rather than enhancing internal knowledge (BROWNING, 2008). In
United Airlines excellence theory can help its managers to inculcate communication systems
with public along with developing function of management crisis (Bi, 2014). The theory will
help its co workers get an insight of customers they need to deal with and make
assumptions about dealing the situations tactfully. The case study shows that due to some
technical errors the seat got over booked which not the fault of in flight representatives. Still
they could have managed the situation properly after applying excellence theory into their
system as it would have helped in enhancing their PR.
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SOCIAL EXCHANGE THEORY
Social exchange theory interprets society as a sequence of interactions among people those
are based on guesstimate of rewards and chastisement. In other words it means we get
what we deserve according to our reactions made. The theory was founded by George
Homans which was further developed by Richard Emerson and Peter Blau. According to
social exchange theory, people are more likely to repeat those interactions that are liked by
masses rather than disapproved ones (Crossman, 2017). Thus it becomes easier for
managers to decide the required actions needed be taken with the help of past experiences
of rewarded and failed ones. If any decision made by managers that gains continuous
rewards or exceeds punishments, then rewarded ideas are inculcated in their PR practices.
Social Exchange theory can be calculated according to the formula of: Behaviour or profit=
Reward from interaction-cost of interaction (Redmond, 2015).
The theory when applied to general practises of organisation, rewards gained can be
in the form of normal gestures, public support, increased profits, sound publicity and brand
recognition. Punishments here refer to bad publicity, decrease in share profits, discontent
among customers and disapproval from government. This theory is also applicable to social
media from organisation’s perspective. Since social media plays an important role in
nowadays business world, both negative and positive attempts are made by them. Social
media become a link in between organisations and public. Thus critical monitoring of social
media becomes vital for big companies and shall not be underestimated when it comes to
emotional factors. The case study of Dr Dao has proven the bad effects of social media from
company’s perspective as it had made the incident spread worldwide within no time. If
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United Airlines would have implemented social exchange theory into their PR practises such
disaster may have been avoided (Corbishley, 2016).
Basic principle of social exchange theory is applied when people or organisations
seeks to gain something of greater value than costs for which social decisions are needed to
be made. The variables of costs and profits changes and are relevant to person’s needs who
demands fair decisions. Social exchange theory demands interaction between two people at
least in which both expects to gain rewards that can be tangible or intangible. Social
exchange theory also implements motivation to make increased returns by applying specific
interactions with public to develop interpersonal relationships (Adrienne, 2015). While
developed social exchange is made in workplace and social groups, it may develop social
power and control over social networking also. Although many critiques have questioned
about this theory as it deals with social structures only rather than individuals. The theory
over simplifies human interactions and conduct in public relations as decisions are judged by
assumptions only. The system is based only on reward and punishments rather than
describing the ability to manage situations. Thus, along with social exchange theory other
theories shall also be implemented in order to avoid PR disasters.
AGENDA SETTING THEORY
To attempt solving issues regarding public interest, examining the mass media coverage is
very important. The media whether digital or public are important associates that decide
the amount of coverage is required to be given on specific issue. The theory of agenda
setting was introduced by Donald Shaw and Maxwell McCombs in the year 1972 (Dinsdale.).
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The theory had evolved itself from agenda setting into major mass communications field in
today’s world of business practices. To become efficient in maintaining public relation it is
necessary to understand the theory of agenda setting and to incorporate it into PR practices
has became very crucial. The relationship between public agenda and media can be defined
in terms of salience. The transferring of leading information’s from media to public is made
that is further decided about how much the information or issue is important. The media
covers the issue and repeats in front of general public until it affects their decision making.
The media not only transfers basic issues details but also adds certain characteristics to it in
order to make information more important. The theory not only reflects negative issues but
also spreading positive information that may help organisations develop.
In Dr David Dao case, media played a crucial part which raged general public to such
an extent that United Airlines had to face immense losses of profits as well as reputation.
Thus agenda theory needs to be studied crucially and must be implemented in United
Airlines to tackle mass Medias precisely. The theory further expands into three parts that
details the level of its implementation. Policy agenda setting is the first level in which
consideration of affects of media coverage and its ability to influence others is made.
Socially significant those are non complex in nature are easily absorbed by general public.
Therefore an adequate amount of attention is provided by them and while presence of
public is higher, the news is pretended to spread in prompt manner. Also to garner people
support and interest becomes easy if the topic is related to general group. Second level i.e.
media agenda setting decides which type of information shall be represented socially by
Medias and news publications by organisations. Normally editors, journalists and publishers
are contacted to make agenda settings by PR practitioners of companies. Different elements
are studied by gatekeepers of Medias while deciding upon which information shall be
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disclosed in front of public. The final stage of agenda setting is public agenda setting which
deals with community behavioural reaction to mass communication. The theory calculates
the reaction of public and the amount of effects the information may make to any company.
Public gets involved quickly as they find the issues being interesting and can likely affect
them also. Many business competitors also take advantage and make viral marketing
strategies by distributing false information’s about their rivals (McCombs).
The role of PR professionals is to influence public interests on behalf of their
company by using agenda theory. The representatives of social media rely on PR
professionals of companies to get information’s while making agendas for mass media.
Normally big organisations hold press conferences and public meeting in which media
coverage is made in order to share significant information with nation. PR practitioners must
make a precise decision on what agendas must be put on that shall prove beneficial for the
firm and public. Therefore the above theory is made to inculcate thought out manner of
making decisions by PR managers and regulate information’s tacitly that does not hamper
the reputation of their company. In the case of United Airlines, the PR professionals seemed
to act unconsciously which led the entire company fall into coverage of bad publicity. The
theory if applied into company’s PR practising system shall prevent getting vulnerable to
such catastrophic situations (Matei, 2010).
RECOMMENDATIONS
After making study of different PR theories and analysing PR errors in practical world, it can
be said that not one theory can provide assistance to PR professionals. Since different
situations demands different undertakings, the PR practise applied shall be decided tactfully
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and only then after accomplishes the role of a PR practitioner. Different model’s of PR
theories has been reviewed in this report that can be applied in the situation of removal of
Dr David Dao from United Airlines. In the above report three different theories have been
studied that covers foremost requirements in modelling PR practice in an organisation. The
case of Dr Dao is an example that shows that any bad news is broaden swiftly (Fogg, 2017).
By applying agenda theory in their PR practice, the company could have stopped media
making exaggerated reports of the incident. Also United Airlines could have made
immediate press conference in which PR executors or the CEO himself have made apologies
(Phelps, 2017). The misconduct made by them hurtled the sentiments of general public as
they put themselves under Dr Dao’s situation. Thus applying excellence theory here could
have made PR’s handle the situation accordingly. Inculcation of excellence theory in PR
managers along with other staff members is also necessary so that they could understand
their responsibility and avoid misbehaving in such dreadful manner in future. Technical
errors can always be resolved tacitly and does not require making inconvenience to people
(El-Erian, 2017). By applying social exchange theory, United Airlines can enhance its public
support by giving people more value and integrate their demands into operation. Since the
theory demands involving mass public in their managerial functions, the decisions on spot
could have made in favour of Dr Dao and avoided the case to happen. Therefore on
concluding note it can be said that to inculcate suitable PR theory is very significant and PR
professionals must handle issues after making precise analysis of situations before
implementing PR theories.
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REFERENCES
Adrienne. (2015). Social Exchange Theory. Retrieved from
http://www.communicationstudies.com/communication-theories/social-exchange-
theory
Bi, C. (2014). Excellence Theory in Public Relations: Social Media and Symmetrical
Communication Model . Retrieved from
http://nickybi.weebly.com/uploads/2/8/1/6/28164865/research_proposal_chang_bi
.pdf
BROWNING, N. (2008). BEYOND EXCELLENCE THEORY: A CRITICAL EXAMINATION OF THE
GRUNIGIAN MODEL. Retrieved from
https://getd.libs.uga.edu/pdfs/browning_nicholas_201005_ma.pdf
Corbishley, R. (2016). Interpersonal Communication - Social Exchange Theory. Retrieved
from https://www.linkedin.com/pulse/interpersonal-communication-social-
exchange-theory-robert
Cornelissen, J. P. (2000). Toward an Understanding of the Use of Academic Theories in Public
Relations Practice. Retrieved from
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academic_theories_of_pr.pdf
Creative Commons. (2012). Models and Approaches to Public Relations. Retrieved from
https://2012books.lardbucket.org/books/public-relations/s04-models-and-
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Crossman, A. (2017). Understanding Social Exchange Theory. Retrieved from
https://www.thoughtco.com/social-exchange-theory-3026634
DeGroot, B. (2015). How PR 'Excellence' Theory and Subculture 'Best Practices' Can
Transform Arboretum Employees into Brand Ambassadors. Retrieved from
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Dinsdale., J. (n.d.). Agenda Setting Theory. Retrieved from
https://sites.psu.edu/jamiebaird/agenda-setting-theory/
El-Erian, M. A. (2017). Lessons from the United Airlines debacle. Retrieved from
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11838315
Fogg, S. (2017). 4 Important Crisis Communications Lessons From The United Airlines PR
Disaster. Retrieved from http://www.stevefogg.com/2017/04/13/crisis-
communications-lessons-from-united-airlines-pr-disaster/
Grunig, J. E. (n.d.). Excellence Theory in Public Relations. Retrieved from
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Hazleton, C. B. (2006). Public Relations Theory 2. Retrieved from
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Lint, J. (2017). United Airlines Incident Provides Management Case Studies for Business
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Matei, S. A. (2010). Does agenda setting theory still apply to social media? Retrieved from
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media/
McCombs, M. (n.d.). The Agenda-Setting Role of the Mass Media in the Shaping of Public
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airlines/
Phelps, S. (2017). Five Lessons From United Airlines About Handling A Customer Experience
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airlines-about-handling-a-customer-experience-gone-bad/#749db8847bf6
Redmond, M. V. (2015). Social Exchange Theory. Retrieved from
http://lib.dr.iastate.edu/cgi/viewcontent.cgi?article=1003&context=engl_reports
Rhee, Y. (2004). An Overview of Public Relations Theory . Retrieved from
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