President Trump is overseeing potentially far reaching transformations in our country's governance and electoral politics. One of these is how corporations may plunge, or be drawn, into full fledged politicking.
The typical traditional approach was that most businesses preferred political neutrality, and didn't want to offend one or another set of customers or business relationships by reason of public political advocacy. In this traditional mode, businesses, in a low keyed way, might advocate on matters having specific bearing on their business, but avoided politicking on issues not having a direct bearing on themselves that could alienate customers and other business relationships.
President Trump's personal "art of the deal" proclivities and style may be greatly transformational from the traditional mode.
Congress needs to inform itself about this development and make determinations about whether such alterations to the country's form of politicking and governance are advisable for the country, and, if not, what Congress might do to address the matter. This should be thrown into the hopper of what the House of Representatives Committee on Oversight and Government Reform should be addressing at this juncture. See Chaffetz letter.
The below Baltimore Business Journal article highlights the foregoing.
Feb 10, 2017, 12:53pm EST Updated Feb 10, 2017, 1:52pm EST
The typical traditional approach was that most businesses preferred political neutrality, and didn't want to offend one or another set of customers or business relationships by reason of public political advocacy. In this traditional mode, businesses, in a low keyed way, might advocate on matters having specific bearing on their business, but avoided politicking on issues not having a direct bearing on themselves that could alienate customers and other business relationships.
President Trump's personal "art of the deal" proclivities and style may be greatly transformational from the traditional mode.
Congress needs to inform itself about this development and make determinations about whether such alterations to the country's form of politicking and governance are advisable for the country, and, if not, what Congress might do to address the matter. This should be thrown into the hopper of what the House of Representatives Committee on Oversight and Government Reform should be addressing at this juncture. See Chaffetz letter.
The below Baltimore Business Journal article highlights the foregoing.
Baltimore Business Journal
I'm going to start this column by saying right off the bat that I expect to take heat from both the pro-Trump and anti-Trump contingents among our readers and social media followers.
As a journalist for three decades, I'm pretty used to criticism. I take complaint calls about everything from grammar mistakes, headlines to unflattering photos. Way before trolls picked apart posts on Twitter, I was getting copies of our stories mailed back to us covered in red marker pointing out everything the reader didn't like about them.
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I'm going to start this column by saying right off the bat that I expect to take heat from both the pro-Trump and anti-Trump contingents among our readers and social media followers.
As a journalist for three decades, I'm pretty used to criticism. I take complaint calls about everything from grammar mistakes, headlines to unflattering photos. Way before trolls picked apart posts on Twitter, I was getting copies of our stories mailed back to us covered in red marker pointing out everything the reader didn't like about them.
Enlarge
Under Armour CEO Kevin Plank is taking heat for his praise of President Donald Trump.
PATRICK T. FALLON/BLOOMBERG
There are fraught times in our country — where no opinion goes unnoticed. Biting your tongue has become an art form and staying neutral means ignoring the obvious rise in your blood pressure.
But I'm paid to put aside my own personal biases and see both sides of an issue. So I just couldn't go the rest of the week without stepping into the mess that Under Armour CEO Kevin Plank got himself into when an interviewer on CNBC asked him what he thought about President Donald Trump.
The question came after a sweeping interview that focused on the Baltimore sportswear company's disappointing earnings. Plank was speaking a mile a minute, defending his company and its slower-than-usual growth.
"My two feet are planted in this company,” Plank said during the interview. “My management team’s two feet are planted in this company as well. As I tell you, everybody’s got a little bit of a chip on their shoulder right now but we look forward to making that right.”
The newsroom TV — always tuned to CNBC except during March Madness — was turned up and reporter Holden Wilen was busy reporting on what Plank had to say. I, too, was taking notes, making sure we didn't miss anything. The less-than-stellar earnings a week before was big news for what's now Baltimore's largest public company.
Then came the Trump question. It's one almost every CEO has faced in the past few months on CNBC. Some have clearly taken sides, while others have been careful to stay out of the fray. You never know how your brand will be thrown into the mix. Just ask Nordstrom, Boeing or Starbucks.
CEOs are in and out of the White House on a daily basis as Trump holds CEOs are in and out of the White House on a daily basis as Trump holds meetings with leaders from Wall Street and seemingly every industry. Plank was among a group of CEOs who met with Trump last month to discuss the future of manufacturing in the U.S., and is one of 28 executives named to a White House jobs initiative.
So it was only natural that the interview would focus on Plank’s relationship with the president. He was obviously prepared for the question — perhaps too prepared. What he wasn't prepared for was the enormous backlash by customers and the company's star endorsers Steph Curry, Misty Copeland and Dwayne "The Rock" Johnson.
Plank described Trump as “highly passionate."
"To have such a pro-business President is something that is a real asset for the country," he said. "People can really grab that opportunity. He loves to build I don't think there's any surprises here. When you look at the president he wants to build things. He wants to build things he wants to make bold decisions and be really decisive. I'm a big fan of people that operate in the world of publish and iterate versus think, think, think, think, think. So there's a lot that I respect there."
Plank's answers didn't seem unusual for anyone running a business. I've heard the same sentiments during the campaign from many of the businesspeople we cover, even in very blue Maryland. It's no surprise that small business and large business support a businessman president. It's one of the reasons why he won. The Trump stock market rally is further proof of what investors feel in the early days of this controversial administration. Simply put, a CEO offering an opinion on a sitting president’s potential impact on business while being interviewed on a cable business news show should shock no one.
But in today’s environment, so many of the people commenting on Plank’s remarks didn’t see the full interview. To be fair to Plank, his comments weren't all glowing. Asked about Trump's anti-free trade policies, he said.
“The border tax would have an absolutely very, very difficult effect on all companies in the consumer space, particularly retailers. It’s the No. 1 issue when you ask me about the new administration.”
Those words didn't quite resonate. Nor did Under Armour's (NYSE: UAA) statements the next day defending itself, saying "We engage in policy, not politics." The statement also said:
“We believe in advocating for fair trade, an inclusive immigration policy that welcomes the best and the brightest and those seeking opportunity in the great tradition of our country, and tax reform that drives hiring to help create new jobs globally, across America and in Baltimore,” Under Armour said, referring to several initiatives by the Trump White House. “We have teammates from different religions, races, nationalities, genders and sexual orientations; different ages, life experiences and opinions. This is the core of our company. At Under Armour, our diversity is our strength, and we will continue to advocate for policies that Protect Our House, our business, our team, and our community.”
Plank saying too much was a reminder why so many businesses stay on the sidelines when it comes to politics. You really can't win, especially in a time when being for or against Trump can wreck personal and business relationships in a second.
Some people plan to boycott Under Armour products after Plank's comments. It's an effective threat. As Curry and Copeland know well, the best way to get your message across is using your economic power. I have a feeling Plank got the message. His next CNBC interview probably won't be so free-wheeling.
But I'm hoping any boycott or lingering effect won't hurt the company and CEO. Not everyone may embrace every project that Plank is spearheading in Baltimore, but I can say almost unequivocally that Plank and Under Armour are investing in and boosting Baltimore and Maryland more than anyone we’ve covered over the years.
Baltimore needs the jobs, the redevelopment Plank has undertaken, the philanthropy and the pride the Under Armour brand has brought to this town.
PATRICK T. FALLON/BLOOMBERG
There are fraught times in our country — where no opinion goes unnoticed. Biting your tongue has become an art form and staying neutral means ignoring the obvious rise in your blood pressure.
But I'm paid to put aside my own personal biases and see both sides of an issue. So I just couldn't go the rest of the week without stepping into the mess that Under Armour CEO Kevin Plank got himself into when an interviewer on CNBC asked him what he thought about President Donald Trump.
The question came after a sweeping interview that focused on the Baltimore sportswear company's disappointing earnings. Plank was speaking a mile a minute, defending his company and its slower-than-usual growth.
"My two feet are planted in this company,” Plank said during the interview. “My management team’s two feet are planted in this company as well. As I tell you, everybody’s got a little bit of a chip on their shoulder right now but we look forward to making that right.”
The newsroom TV — always tuned to CNBC except during March Madness — was turned up and reporter Holden Wilen was busy reporting on what Plank had to say. I, too, was taking notes, making sure we didn't miss anything. The less-than-stellar earnings a week before was big news for what's now Baltimore's largest public company.
Then came the Trump question. It's one almost every CEO has faced in the past few months on CNBC. Some have clearly taken sides, while others have been careful to stay out of the fray. You never know how your brand will be thrown into the mix. Just ask Nordstrom, Boeing or Starbucks.
CEOs are in and out of the White House on a daily basis as Trump holds CEOs are in and out of the White House on a daily basis as Trump holds meetings with leaders from Wall Street and seemingly every industry. Plank was among a group of CEOs who met with Trump last month to discuss the future of manufacturing in the U.S., and is one of 28 executives named to a White House jobs initiative.
So it was only natural that the interview would focus on Plank’s relationship with the president. He was obviously prepared for the question — perhaps too prepared. What he wasn't prepared for was the enormous backlash by customers and the company's star endorsers Steph Curry, Misty Copeland and Dwayne "The Rock" Johnson.
Plank described Trump as “highly passionate."
"To have such a pro-business President is something that is a real asset for the country," he said. "People can really grab that opportunity. He loves to build I don't think there's any surprises here. When you look at the president he wants to build things. He wants to build things he wants to make bold decisions and be really decisive. I'm a big fan of people that operate in the world of publish and iterate versus think, think, think, think, think. So there's a lot that I respect there."
Plank's answers didn't seem unusual for anyone running a business. I've heard the same sentiments during the campaign from many of the businesspeople we cover, even in very blue Maryland. It's no surprise that small business and large business support a businessman president. It's one of the reasons why he won. The Trump stock market rally is further proof of what investors feel in the early days of this controversial administration. Simply put, a CEO offering an opinion on a sitting president’s potential impact on business while being interviewed on a cable business news show should shock no one.
But in today’s environment, so many of the people commenting on Plank’s remarks didn’t see the full interview. To be fair to Plank, his comments weren't all glowing. Asked about Trump's anti-free trade policies, he said.
“The border tax would have an absolutely very, very difficult effect on all companies in the consumer space, particularly retailers. It’s the No. 1 issue when you ask me about the new administration.”
Those words didn't quite resonate. Nor did Under Armour's (NYSE: UAA) statements the next day defending itself, saying "We engage in policy, not politics." The statement also said:
“We believe in advocating for fair trade, an inclusive immigration policy that welcomes the best and the brightest and those seeking opportunity in the great tradition of our country, and tax reform that drives hiring to help create new jobs globally, across America and in Baltimore,” Under Armour said, referring to several initiatives by the Trump White House. “We have teammates from different religions, races, nationalities, genders and sexual orientations; different ages, life experiences and opinions. This is the core of our company. At Under Armour, our diversity is our strength, and we will continue to advocate for policies that Protect Our House, our business, our team, and our community.”
Plank saying too much was a reminder why so many businesses stay on the sidelines when it comes to politics. You really can't win, especially in a time when being for or against Trump can wreck personal and business relationships in a second.
Some people plan to boycott Under Armour products after Plank's comments. It's an effective threat. As Curry and Copeland know well, the best way to get your message across is using your economic power. I have a feeling Plank got the message. His next CNBC interview probably won't be so free-wheeling.
But I'm hoping any boycott or lingering effect won't hurt the company and CEO. Not everyone may embrace every project that Plank is spearheading in Baltimore, but I can say almost unequivocally that Plank and Under Armour are investing in and boosting Baltimore and Maryland more than anyone we’ve covered over the years.
Baltimore needs the jobs, the redevelopment Plank has undertaken, the philanthropy and the pride the Under Armour brand has brought to this town.
Joanna Sullivan oversees the Baltimore Business Journal editorial staff.
