What is interesting is it is happening with urban racoons too. I'm not sure what the selective pressure might be for smaller snouts. I don't think racoons are being killed like a dangerous bear might. I'd assume if any are being actively fed for looking cute it is very few of them, and those doing the feeding wouldn't be selective about it.
My best guess is that the short snout trait is in linkage with something else that is actually what is being selected upon. At least for racoons.
https://www.scientificamerican.com/article/raccoons-are-show...
One evolutionary pressure that exists in city raccoons is being run over by cars. Others might be access to food, which cute (and less aggressive) raccoons might have an easier time with
My guess would be a linkage with something else as you say. Look for example at the Russian domestication of silver foxes which was done very deliberately, and bred for less aggressiveness, yet it caused physical changes in appearance like dog-like ears and tails: https://en.wikipedia.org/wiki/Domesticated_silver_fox