Following incidents such as police shootings and during annual events like Black History Month, corporate expressions of support for marginalized groups vary in their authenticity. Why do some come across as sincere, while others seem performative or even lead to negative consequences?
An examination of statements made by Fortune 500 companies in the wake of the 2020 police killing of George Floyd reveals that simply making financial contributions to social justice causes is not enough to convey allyship to Black Americans. Research conducted by a Cornell University expert in organizational behavior suggests that companies must also demonstrate a consistent, long-term commitment to diversity and racial equity.
James T. Carter, assistant professor of organizational behavior at the ILR School, explained, “Money is just a small piece of the puzzle with respect to Black Americans’ allyship assessments. A company could give millions of dollars, but they are not capturing the benefits of that donation unless they are also consistent.”
The research, titled “Sincere Solidarity or Performative Pretense? Evaluations of Organizational Allyship,” was published in Organizational Behavior and Human Decision Processes. It was co-authored by Rebecca Ponce de Leon, assistant professor in the Management Division of Columbia Business School, and Ashleigh Shelby Rosette, the James L. Vincent Professor of Leadership at Duke University’s Fuqua School of Business.
According to the scholars, organizations are increasingly expected to demonstrate solidarity in response to high-profile events targeting specific identity groups. Research suggests that companies may be perceived as complicit in racial violence if they remain silent. Therefore, businesses often attempt to convey allyship through various means such as products, advertisements, social media posts, and statements.
However, these efforts can sometimes be seen as insincere or offensive, leading to backlash. Walmart, for example, faced anger from Black consumers after releasing “Celebration Edition: Juneteenth Ice Cream” in 2021, despite committing $100 million toward a racial equity center following George Floyd’s death.
In response to the widespread release of ally statements by major companies following Floyd’s murder, the research team sought to understand the factors influencing evaluations of allyship by marginalized groups. They collected public statements from nearly 350 companies – 70% of the Fortune 500 – in the two months following Floyd’s death. The statements were analyzed for elements that signaled costs in terms of resources or reputation. The researchers also examined the companies’ consistency in addressing diversity and inclusion, as indicated by their inclusion in Fortune magazine’s Measure Up initiative, which ranks companies based on various diversity metrics.
Over 1,300 Black Americans evaluated the statements, providing more than 10,000 evaluations. The results indicated that while costly signals received better evaluations, consistency in addressing diversity and inclusion was a crucial factor. Costly elements only predicted positive evaluations for companies that consistently demonstrated attention to these issues.
Further testing of these findings involved adapting a Fortune 500 ally statement into four versions with varying cost and consistency levels. Nearly 700 Black Americans evaluated the versions to assess the company’s authenticity and perceived allyship. The results confirmed the relationship between cost, consistency, and perceived authenticity.
According to the authors, simply making costly sacrifices in support of Black people is not enough to convey genuine solidarity. To be seen as allies to marginalized communities, organizations must authentically embrace egalitarian policies and values, demonstrating a long-term commitment beyond specific events or trends.
