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Large corporations in Australia have shifted from limited to more fulsome engagement in political activity (CPA) in recent decades. The paper argues that this reflects corporate institutional change in response to wider changes in the environment that have included growing government intervention, increased industry concentration and intra-sectoral competition, and a more complex and challenging discursive and issues environment. Quantitative and regression-based analysis of the drivers of CPA are employed and the analysis is extended and deepened with material drawn from interviews with twenty-five corporate government relations professionals. [ABSTRACT FROM AUTHOR]

Corporate political activity by large firms has increased in a range of western countries and in Australia. There has also been an increased tendency for large firms to lobby individually on firm-centred agendas. Both trends have seen large firms engaging in institutional adaptation, primarily through developing dedicated government relations functions (GRF). The last research on this topic in Australia was thirty years ago (Bell and Warhurst [1993]. "Business Political Activism and Government Relations in Large Companies in Australia." Australian Journal of Political Science 28: 201–220.) and this paper updates this earlier research. It also frames the relevant developments as an important set of institutional challenges, not only for government relations (GR) managers within corporate hierarchies, but also in interacting with and influencing other key institutional interlocutors, especially government policy makers. The way in which GR managers deal with such challenges through building supportive relations with key internal and external interlocutors, and especially how this shapes the business-government relationship more broadly, is a key focus of the paper. [ABSTRACT FROM AUTHOR]