Politicization of corporations and their environment: Corporations’ social license to operate in a polarized and mediatized society

Abstract

Societies are increasingly characterized by polarization and fragmentation on a variety of socio-political issues. With the heightened social visibility of corporations, as a result of processes of mediatization, firms are pressured to engage with such social issues that are part of broader political discourses. Against the backdrop of these broad socio-political shifts, this study conceptually addresses the contribution of public relations to understanding the politicization of corporations and their environment. We argue that corporations have become inherently intertwined with their mediatized and polarized socio-political surroundings. As a result, corporations are increasingly pressured to speak out and take a stance on social issues to engage with their environment and renew their social license to operate (SLO) in a context characterized by political divides. By relying on concepts like issue arenas and corporate political advocacy, we argue that corporations can use public relations to publicly promote one ideal over another, by being guided by the corporation’s own intrinsic values and moral standpoints rather than efforts to balance competing interests of multiple stakeholders.

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