"Founded in 2021, PublicSquare began life as an online platform selling sunglasses emblazoned with scripture and 'the only pro-life diaper brand.' It has not had an easy ride. Since its shares began trading in July 2023, they have lost more than 90% of their value. Last year the business announced it would pivot away from conservative e-commerce towards financial technology."
The article makes the argument that right-wing political advocacy has been more effective at destroying brand value (in companies and products deemed to be ideologically inconsistent) than it has at building successful companies:
Over the past few years MAGA types, aggrieved at the supposed hostility of mainstream businesses towards conservative values, have set about building a 'parallel economy.' ... Yet building right-wing brands into thriving businesses has proved difficult. Most remain tiny. Many are unprofitable, It seems conservative consumers would rather press mainstream brands to hew to their views than buy politically charged coffee beens or SIM cards."
The article argues that business basics are still the most salient predictor of stakeholder loyalties:
"The trouble for MAGA brands is that, altogether there are plenty of conservative consumers, 'a much smaller share want politics embedded in everyday purchases.' ... Price, quality and convenience still shape most buying decisions. And although political positioning may help attract attention, it can spook the suppliers and distributors on which businesses rely."
To support its argument around value destruction, the article presents the recent Cracker Barrel branding controversy, as well as the 2023 Bud Light "transgender influencer" incident, both of which are deemed to have inflicted significant financial harm on their respective organizations:
"Cracker Barrel, a Southern-themed restaurant chain, suffered a slump in traffic last summer after it removed a bucolic old man from its logo, drawing MAGA ire. It swiftly rolled back the change. ... Its share price is yet to recover. ... [For Bud Light] In the three months after the transgender influencer's post, 15% of regular buyers switched brands. A year later Bud Light's owner, AB InBev, said the controversy had cost it an estimated $1.4bn in sales. The beer ceded its spot as America's best-selling and has contributed to lose share over the past year."
The conclusion is that politics (and, therefore, values) are better left out of business:
"For most brands, then, the safest path may be to stay out of politics. ... 'The biggest consumer segment in the world is the one in the middle.'"
But, I wonder if that is the correct conclusion. For me, what I took away from the Cracker Barrel controversy was the company's attempt to impose 'modern' values on a customer base that is fundamentally resistant to change ('conservative' in the true sense of the word). And for Bud Light, the company's error seemed to be folding as soon as its 'values' were exposed, rather than carefully thinking through a campaign based around values the company and its stakeholders truly believed in (and then sticking to those values when criticized). The impression I got is that Bud Light tried to find a bandwagon to jump on, and then jumped off as quickly as it could when pressured -- revealing that it never truly believed in the values in the first place, and managing to annoy everyone in the process. Given this, perhaps the more confident conclusion could be that companies that stick to their values, and know those values are shared by key stakeholders, are the ones that become more successful. Of course, this conclusion would apply whatever the values in question -- the sort of approach to business that has been pursued so successfully by companies like Chick-fil-A (see Strategic CSR - Chick-fil-A and Strategic CSR - Chick-fil-A).
Take care
David
David Chandler
Strategic Corporate Social Responsibility: Sustainable Value Creation (6e)
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Right off the money
February 21, 2026
The Economist
Late Edition – Final
65
https://www.economist.com/business/2026/02/15/why-maga-brands-have-been-a-flop
