Black Lives Matter, LGBTQ rights, Trump: The risks and rewards of corporate activism
The big idea
Companies and CEOs are increasingly wading into political issues. My latest research suggests that such corporate activism can come with high costs if it doesn’t align with the political values of a company’s customers, employees and local lawmakers — or big gains when it does.
Dozens of companies have recently expressed support for Black Lives Matter.
Jessica Felicio via unsplash, CC BY-SA
The Research Brief is a short take about interesting academic work.
In what we think is the first study to examine how corporate activism affects financial performance, three co-authors and I built a database of decisions by publicly traded companies that took a stand on polarizing issues such as LGBTQ rights, abortion, immigration and gun control over a five-year period. We then looked at...