HOW DID CORPORATIONS GET STUCK IN POLITICS AND CAN THEY ESCAPE? Corporations have always been involved in politics, but today is different. They are publicly taking positions, either directly or indirectly, on contested political and social issues unrelated to their businesses. In contrast to the conventional wisdom, we argue that this practice, which we term “corporate political posturing,” is problematic. First, it is of dubious value to the corporation and its stakeholders. Corporate political posturing often backfires, it does so unpredictably and potentially catastrophically, and it is particularly susceptible to agency costs. Second, it is harmful to society. The fundamental problem is that corporations are institutionally ill-equipped to take center stage in policy debates. They are inherently self-interested economic actors with goals that often conflict with those of society. This manifests in statements that tend to polarize rather than enlighten and actions that undermine the positions that they back publicly.
\n\nIf you need an accommodation to participate in this event, please contact the event sponsor or the Texas Law Special Events Office at specialevents@law.utexas.edu no later than seven business days prior to the event. Speaker: Jill Fisch, P, University of Pennsylvania X-ALT-DESC;FMTTYPE=text/html:HOW DID CORPORATIONS GET STUCK IN POLITICS AND CAN THEY ESCAPE? Corporations have always been involved in politics, but today is different. They are publicly taking positions, either directly or indirectly, on contested political and social issues unrelated to their businesses. In contrast to the conventional wisdom, we argue that this practice, which we term “corporate political posturing,” is problematic. First, it is of dubious value to the corporation and its stakeholders. Corporate political posturing often backfires, it does so unpredictably and potentially catastrophically, and it is particularly susceptible to agency costs. Second, it is harmful to society. The fundamental problem is that corporations are institutionally ill-equipped to take center stage in policy debates. They are inherently self-interested economic actors with goals that often conflict with those of society. This manifests in statements that tend to polarize rather than enlighten and actions that undermine the positions that they back publicly.
If you need an accommodation to participate in this event, please contact the event event sponsor or the Texas Law Special Events Office at specialevents@law.utexas.edu no later than seven business days prior to the event.
Speaker: Jill Fisch, P, University of Pennsylvania LOCATION:TNH 2.111 - Sheffield-Massey Room URL:http://law.utexas.edu/calendar/2024/03/28/76490/ CLASS:PUBLIC STATUS:CONFIRMED END:VEVENT END:VCALENDAR