Fewer Americans want companies to take stance on politics
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Fewer Americans want companies to take a public stand on current events and public policy, new results from a Gallup-Bentley University study reveal.
Why it matters: By taking a stance on political candidates, companies risk taking a hit to their bottom lines.
By the numbers: Just 38% think businesses in general should take a public stance on current events, according to the survey of 5,835 U.S. adults fielded from late April to early May.
- That's a decline of 10 percentage points from 2022.
- Notably, the biggest drops in sentiment are within groups of people who were previously the most receptive — including Democrats, Americans under the age of 45, Black Americans and Asian Americans.
- Republicans were one of the only cohort that saw a rise in the share of people who want businesses to speak up.
What they're saying: "We may be seeing a shift over a three-year period due to none other than fatigue," Cynthia Clark, professor of management at Bentley University and one of the creators of the survey, told Axios.
- And as companies like Tractor Supply and John Deere publicly state that they're pulling back on initiatives like DEI due to "feedback," Clark says we are witnessing the emergence of "red companies and blue companies."
Zoom out: During the pandemic and amid broad social protests, big businesses rolled out statements about racial equity, for instance, to mixed results.
- At the same time, Americans say they trust business leaders more than other institutions, including the media and the government.
Between the lines: Companies have to tread carefully about what they say and who their audience is, according to Clark.
- "Especially on very controversial issues," businesses should focus on internal employee communications to avoid alienating workers based on their beliefs, she added.
Threat level: For example, consumers are less likely to buy products from companies that endorse political candidates, the new study shows.
- "If you endorse a candidate of either party, you are likely to lose about twice as many consumers as you are to potentially gain," Gallup senior researcher Zach Hrynowski told Axios.
The intrigue: LGBTQ+ adults (55%), Black adults (54%) and Democrats (53%) remain the only Americans with a majority support for businesses taking public stances.
- That's because these communities are typically the most impacted by public policy or societal changes, and often find themselves at the center of contemporary social debates, Hrynowski said.
The big picture: As the presidential election nears, businesses have already started to react to the heightened political environment by showing less tolerance for workplace activism and rethinking their public commitments to diversity, equity and inclusion.
- Over the past two years, concerns about slowing economic growth and future-proofing businesses amid a rise in generative AI have also come to dominate corporate priorities.
What to watch: Mental health is the only topic that ranks among the top issues that Americans — across political spectrums — want companies to talk about.
- It's also the top topic that business owners from the survey said they think companies should be open about, tied with free speech and followed by climate change and DEI.
- The top three issues for Americans overall — climate change, mental health and diversity — are areas "that you might argue [a] company has some control over," in their own business operations, Clark notes.
