Abstract
Consumers and employees now expect companies to engage on social, environmental, and economic issues that are part of the political discourse (think immigration, climate change, and trade). Given how politically polarized the world has become, that can put business leaders in a bind. They can take a political stand and risk upsetting some consumers or employees, igniting oppositional behavior such as boycotts and strikes, and damaging the company's reputation. Or they can remain silent, ceding the moral high ground and allowing others to write the narrative. Framing the debate over corporate political activism in terms of this binary choice -- take a stand or remain silent -- ignores the reality that companies often seek less-extreme options and have different motivations for becoming active politically. In short, they need a more nuanced set of alternatives. By considering how important a political issue is to the company's financial performance and its relevance to stated corporate values, business leaders can decide how forceful a position to take and what to emphasize in communications.
Original language | English |
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Pages (from-to) | 1-5 |
Number of pages | 5 |
Journal | MIT Sloan Management Review |
Volume | 60 |
Issue number | 1 |
Early online date | 14 Jun 2018 |
Publication status | Published - 11 Sept 2018 |