Red Corporation, Blue Corporation? Corporate political speech becomes a board issue

After the January 6 attack on the U.S. Capitol, many companies announced that they would halt political contributions, either permanently or for a defined period. Some discontinuations involved a particular political party, some individual legislators and some were complete stops on all contributions.

In the age of “cancel culture,” when social media can circulate calls for boycotts to millions of people in minutes, some companies have begun to act quickly, with either their words or their wallets, to distance themselves from political controversy But there are other companies that have leaned in to a variety of public political positions. This raises the question: Are some companies becoming recognized as “blue” (Democrat-supporting) or “red” (Republican-supporting), or even “purple”? And are such associations good for a company, its shareholders and its stakeholders?

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About the Author(s)

April Hall

April Hall is the former managing editor of Directors & Boards


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