Should Global Brands Engage in Brand Activism?

Abstract

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Brand activism, taking a stance on current and divisive socio-political issues, has emerged as a novel means of expressing a brand’s values and engaging with the firm’s customer base. Yet, globally, companies lack conclusive guidance on the consequences of taking a stance. This research asks a novel question: should global brands engage in activism? Using varying activism manipulations (e.g., statements and actions), five studies reveal consumer preference for activist global brands. More importantly, guided by schema change theory, the authors find that the positive brand activism effect is particularly strong for global brands associated with negative brand origin irrespective of consumers’ prior attitude valence. However, brands with positive origin associations benefit from activism only when consumers’ prior attitude valence is in alignment. The authors also identify the mediating effects of self-brand connection, which has downstream consequences for behavioral intentions. Taken together, this work sheds new light on consumer perceptions of brand activism across cultures, elucidates why consumers prefer global brands that engage in activism and offers actionable insights for global brand managers.