This article by Xueming Luo and Todd Schifeling and colleagues in the Strategic Management Journal examines negative consumer reactions to corporate silence on social issues, using the Black Lives Matter Blackout Tuesday as a case study. It finds that silence on highly visible social issues leads to slower follower growth and fewer likes on Instagram, with peer activism intensifying these effects. Firms with narrower market niches face less backlash, as their silence is less visible. The study challenges the idea that staying silent is a safe, neutral strategy, showing that in polarized times, silence is often interpreted as taking a side and can be costly for companies.
When Corporate Silence Is Costly: Negative Consumer Responses to Corporate Silence on Social Issue
