DEI rollbacks: Consequences and considerations for brand managers

Sean Sands and Carla Ferraro

Business Horizons, 2026, vol. 69, issue 2, 209-216

Abstract: As corporate landscapes evolve, diversity, equity, and inclusion (DEI) initiatives face increasing scrutiny, with many large corporations rolling back their commitments amid sociopolitical pressures, legal uncertainties, and shifting stakeholder expectations. While such decisions may be framed as strategic recalibrations, they carry implications for brand trust, authenticity, and consumer perceptions. This article examines the consequences of DEI rollbacks from both the consumer and brand management perspectives, highlighting their impact on consumer trust, brand positioning, and corporate reputation. Drawing on contemporary examples and theoretical insights, we explore how brands can navigate these challenges while maintaining credibility and competitive advantage. We suggest that transparent communication, authenticity in brand engagement, and strategic adaptation are critical for mitigating risks associated with DEI retrenchment. For brand managers, the ability to balance external pressures with long-term brand equity considerations is essential to sustaining consumer loyalty and to fostering an inclusive corporate identity in an increasingly complex sociopolitical landscape.

Keywords: Diversity, equity, and inclusion (DEI); Brand authenticity; Brand positioning; Corporate reputation; Diverse marketing; Strategic brand management (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:eee:bushor:v:69:y:2026:i:2:p:209-216

DOI: 10.1016/j.bushor.2025.02.010

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