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Business’s Best Path to Racial Justice

6/27/2020

by Abbigail Jones, former customer solutions specialist at Webstaurant Store;
current co-youth director at Middletown Presbyterian Church and mom

Although profitability is a priority for any successful business, it’s narrow to overlook the capacity that companies have to change the world for the better: to lift communities of color out of poverty and provide economic opportunity.

As an African American woman, a Christian, and a millennial, social justice is near and dear to my heart. When working for a company, I want to know that it cares about addressing the legacy of inequality in our nation, one hire at a time. The recruitment, hiring, and retention of persons of color is a vital factor in ensuring economic development and justice for all.

By interacting intentionally with their surrounding communities, businesses can help heal broken relationships, including those that cross racial lines. Now more than ever, business leaders must expand their rubric for success beyond financial achievement and assess how their firms function as responsible citizens, consistent with Elkington’s “triple bottom line.”

It’s difficult to embrace such outcomes, however, without first acknowledging that the great racial divide within our country and lack of representation of black and brown Americans in the workplace stems from structural inequalities deeply entrenched in society. We continue to reap a harvest of racism sown by a legacy of slavery, segregation, violence, and voter suppression.

The consequences of Jim Crow laws and red-lining have endured for generations along with the outcomes of other systematic efforts to exclude black and brown people from the American dream. Just as these injustices were not casually implemented, measures to undo them also must be comprehensive.

According to MarketWatch, for the past 70 years a wealth gap has existed that’s seen black households remain 80% poorer than white ones. Put another way, the typical white family has wealth of $171,000 versus $17,150 for an average black family. The National Economic Association, formed by black economists in 1969, suggests that the current widespread protests against police brutality are related to this wealth gap and as a result, racial conflict will likely continue until fundamental inequities are addressed.

But, why should businesses attempt to address deep-seated issues that span centuries and defy easy answers? Aren’t there governmental organizations and nonprofits already dedicated to solving this problem? I believe businesses are uniquely equipped to propel entire communities forward, thereby closing the wealth gap and making a lasting difference for people of color.

Furthermore, businesses that care about both the prosperity and unity of our nation can wield their economic influence to play a much-needed reconciling role. By tackling this issue of inequality, they will create stakeholder value even as they promote positive societal values.

Firms that employ a diverse workforce, benefit from a range of perspectives that ultimately make the organization stronger. Likewise, today’s customers increasingly care about the ethos of the brands they support. Millennials believe small acts of enlightenment can add up to larger societal change, while Gen Z sees its buying power as a means of activism: According to Forbes, 76% of this age cohort says it’s purchased from a brand in order to support the issues it espouses.

In the wake of George Floyd’s death at the hands of a white police officer, we have seen CEOs across the county issue company-wide and public statements condemning racism within society as well as within their organizations.

I celebrate these leaders who have leveraged their influence to stand against injustice. These statements not only reflect sound leadership, they have allowed conversations against injustice to continue in the marketplace.

I would also encourage those same leaders to continue on this journey of racial reconciliation and racial justice even as this topic moves out of media coverage. It will take hard, long-term work and commitment in order to combat deep-seated and systemic racism. However, on the other side of this endeavor are meaningful relationships and networks with communities of color.

Businesses can accomplish this transformation most effectively by nurturing an employee base that gives meaningful work opportunities to people society has historically marginalized. People of color need access to quality, life-sustaining jobs with fair wages, as well as benefits like healthcare, retirement plans, childcare, and tuition assistance so they can begin to close the wealth gap and gain financial freedom.

Here are seven steps that businesses should take to market themselves as employers of choice who offer real economic opportunity to people of color:

Assess the current organizational climate: Evaluate existing recruitment practices and organizational culture by asking, “Is our workplace one where an individual from a minority group feels welcomed and accepted? and “Is there no tolerance for racist rhetoric or innuendo?” Answers to such questions will help to clarify community-building goals and to determine if the workplace is an inviting one, likely to retain people of color once they are hired.
Enlist internal champions: While your goal may be for everyone in your organization to embrace the idea of racial reconciliation, not all will be equipped or enthusiastic about this plan. Consequently, it’s important to identify and engage specific leaders: individuals who are well-suited and passionate about the initiative and who can garner support from entire teams.
Build external relationships: Partner with civic organizations and non-profits that focus on placing qualified, ethnically diverse people into corporate environments. Also, solicit the aid of local government in tackling this societal issue. Ask each entity for initial input and ongoing support, including leveraging their networks to help identify qualified people of color for particular positions.
Develop a strategic diversity and inclusion plan: Using feedback from internal and external stakeholders, draft a document that outlines the general strategies and specific tactics the organization should implement in order to achieve measurable outcomes for diversity and inclusion.
Create a roadmap for success: Develop strategies that will help retain people of color within your organization. While each new hire’s needs may be different, recognize that their new position likely will pose a major life transition; for example, the employee may need to relocate. Provide the new hire with real estate contacts in the area or even an apartment to rent in order to make relocation easier.
Keep the conversation going: At the launch of the initiative and thereafter, host regular discussions aimed at encouraging racial reconciliation in the workplace and at ensuring that restorative programs continue to be seen as top priorities.
Make higher education possible for employees’ children: To truly break the pattern of wealth disparity, it’s important to provide educational opportunities for future generations, which can happen by offering current employees support in saving for their children’s education. By the way, those children may even decide to join the same organization when it’s their time to enter the workforce.

By intentionally reaching out to communities of color with offers of gainful employment, organizations clearly communicate that they see injustice in society, they understand that separate is not equal, and they are willing to do everything they can to make opportunities available to those often marginalized, because they care.

Committing to a more diverse workforce can bring its own set of challenges, which may at times cause business leaders to wonder if their effort is worth the reward. Ultimately, though, the investment in inclusive excellence will pay generous dividends to those organizations and our world, making employment initiatives aimed at racial restoration “Mindful Marketing.”

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Listen and Act, for Marketing and Racial Reconciliation

6/13/2020

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by Will Young IV, business administration major, marketing minor,
and member of the men's basketball team at Messiah College

As a Christian, to consider marketing’s role in racial reconciliation means understanding reconciliation from a biblical perspective. Four times in his letters to the early Church, the apostle Paul used the Greek word katallage, which means to exchange one thing for another. That definition of reconciliation reminds me of my first marketing class in which we discussed the discipline being about “mutually valuable exchange,” powered by two important activities: listening and doing.

Business transactions often culminate with the exchange of need-satisfying products, but they begin with more basic exchanges of time, questions, answers, and ideas. Driving the process is one critical activity—listening: offering one’s ears along with a genuine desire to understand.

Just as listening sustains good marketing, listening is the first step toward racial reconciliation.

Thich Nhat Hanh, a Vietnamese peace activist once said, “In order to reconcile, you have to possess the art of deep listening.” Following the tragic murder of George Floyd, the world, specifically the black community, was outraged. The reason was not necessarily that we were shocked it had happened because, quite frankly, there has been a plethora of deaths of unarmed black men and women throughout the years, many a result of police brutality. The uproar, protests and rioting were infused with so much force and rage because for years we had been trying to call attention not just to police brutality but to other racial injustices, but we were never really heard. Very few would listen.

The nation’s collective failure to listen to the voices of those crying out about racism has allowed many senseless events, like the killing of Floyd, to happen time and time again. Martin Luther King Jr. predicted what happens when injustice meets apathy when he said, “A riot is the language of the unheard.” While I in no way support rioting or looting, it is important to note that such actions typically don’t happen when people feel like they’re being heard—when others are listening.

No competent marketers ignore the needs of their consumers. No country should ignore the needs of its citizens, particularly those crying out about racial injustices. Both fail to create mutual value. Businesses have a unique opportunity to hear the voices of the black community and others crying out for change by having open and honest conversations with their employees, customers, and other stakeholders. Large and small companies are in prime positions to break down the racial barriers they once avoided by genuinely listening.

As important as listening is to marketing and racial reconciliation, it only gets you in the room. Action is what allows you to stay there.

People say, “be the change you want to see,” but actually being the change involves effort and often uncomfortableness. If marketers want to play a role in racial reconciliation, they need to move beyond words and model what racial reconciliation looks like.

Ben & Jerry’s is a good example of such action. The company’s website displays a staff composed of many different races, from African-American, to White, to Asian, to American Indian. The firm shows the world that despite our nation’s racial and political divisions, people of all races, cultures, and ethnicities can work together to achieve a common goal. Ben & Jerry’s is not just speaking about the change that should occur. It is clear the company is intentional in hiring so it can be the change.

The firm also has introduced an ice cream flavor called “Pecan Resist,” centered on exchanging narratives of exclusiveness for inclusivity, equality, and justice for people of color. In many ways, this product represents the gold standard of what marketing should do to be the change.

Businesses wondering about the role they can play in racial reconciliation should recognize that people have largely done their part. Movements like Black Lives Matter have expressed anger and voiced concerns, upholding their role of the exchange. They’re now looking for something in return for their voice, which, again, first means others who will listen. Businesses should lead by example in lending an ear, but not stopping there.

After listening, organizations and individuals must go a step beyond and act on what they’ve learned, which is strengthened by understanding the history of racism, having uncomfortable workplace conversations, and donating to movements that advocate for racial equality and shared justice. Simply stated: They must do something. Don’t leave the exchange relationship one-sided; make it mutually-beneficial, thereby encouraging racial reconciliation and creating priceless value for generations to come.

No two companies are the same. Likewise, every business that chooses to listen and act will play a different yet important role on the road to racial reconciliation. All such actions, however, must uphold common values: fairness, honesty, and respect. Whatever their specific role, companies that facilitate mutually beneficial exchange leading to racial reconciliation create a life-giving legacy of “Mindful Marketing.”

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Can Marketing Make a Difference?

6/13/2020

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by David Hagenbuch, founder of Mindful Marketing & author of Honorable Influence

When considering our world’s challenges, people tend to see marketing as part of the problem, not the solution. Such perceptions surface in Gallup’s annual poll about the honesty and ethics of various occupations: Respondents consistently rank marketing roles like advertising practitioner, insurance agent, and car salesperson near the bottom of the list. So, who would ever claim that marketing can combat prejudice and even encourage racial reconciliation?

One of those marketing optimists is me. More than a decade ago, I wrote a paper about marketing and reconciliation in which I made a rather simple observation: People who buy and sell from each other tend to stay on good terms and build healthy bonds. In contrast, fractured relationships often lack any meaningful exchange: verbal, material, or other.

Marketing often brings together people from different backgrounds, whose paths wouldn’t otherwise cross, for shared economic gain as well as other mutual benefit. For instance, a white family enjoys food from a restaurant owned by an Indian couple; a Black salesperson appreciates her Asian client, and vice versa; a Hispanic CEO values contributions from hundreds of employees representing an array of race and ethnicity.

Business, in general, and marketing, specifically, are catalysts for countless positive interracial interactions and relationships. As people’s lives interlace with individuals who are different than them, while partnering for a common purpose, they often come to respect and appreciate their differences.

There’s also the notion that racial equality is closely tied to economic opportunity. When people can work in well-paying jobs or even start their own companies, aspirations and optimism replace desperation and despair. Marketing helps provide such hope-inspiring possibilities.

While I truly believe all I’ve just shared, I need to remind myself and disclaim that these words come from someone who, because of his own background, has not experienced significant racial prejudice and who will never truly understand the struggles that the Black community and other people of color have endured for centuries.

One thing I can do is share this platform of Mindful Marketing with some who have experienced racial injustice firsthand, who wake up each morning to its effects, and who, also importantly, see business and marketing as a way forward—not necessarily as “the” answer, but as part of it.

I recently reached out to a few Black friends, asking if they would be willing to share their perspectives on the roles that business and marketing may play in racial reconciliation. I received four enthusiastic and thoughtful responses from: a current student, a former student, a college classmate, and a research partner. My intent is to share each person’s reflection in its entirety over the next several blog posts.

It's a small gesture that I feel led to make for several reasons:

I care about these friends and their families.
I want to understand the current situation from the perspectives of those most affected.
Our opinions impact what others believe and do.

In an age of social media, the third bullet point may seem glaringly obvious; however, it takes me back fourteen years to my doctoral dissertation in which I applied Ajzen’s (1991) Theory of Planned Behavior (TPB) to accounting clients’ referral intentions. Key to the TPB, which hundreds of studies have validated, is that our intent to do anything is impacted by societal (subjective) norms, or what we perceive others believe is good or bad.

So, even if I’m not promoting racism, my silence might lead others to believe that I think it’s okay, which is not okay. I want to use my voice to help establish the social norm that racism is wrong and that respecting others, regardless of their skin color, is right. My friends who have kindly accepted the offer to share this platform want to do the same.

In my Marketing Principles classes, students learn that people can market three types of “products”: physical goods, intangible services, and ideas. Now is the time for all of us to leverage our own social influence to market reconciliation—one of the most important applications of “ Mindful Marketing .”

Subscribe to Mindful Matters blog.
Learn more about the Mindful Matrix and Mindful Meter.
Check out Mindful Marketing Ads and Vote your Mind!

5 Comments

Business’s Best Path to Racial Justice

Listen and Act, for Marketing and Racial Reconciliation

Can Marketing Make a Difference?

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