Across the globe, a rise in authoritarian populist forces threatens democratic institutions in more countries. In the presence of anti-democratic extremist populism, from left or right, the business environment suffers because of a correlated rise in crony capitalism and diminished rule of law.
The Horizons Project is helping to catalyze a global movement of diverse actors across the ideological spectrum working to protect democracy, stand for nonviolence, and demand peace. The Horizons Project Pillars of Support initiative is a framework to analyze and engage key institutions that uphold constitutional democracy, including businesses, faith organizations, professional associations, unions, and veterans’ groups. In partnership with the SNF Agora Institute at Johns Hopkins University, Horizons focuses efforts on the business pillar to highlight the incentives, strategies, and tactics that businesses have used around the world and in the US to support democracy.
In September, Corporate Political Responsibility Taskforce Director Elizabeth Doty joined Horizons for two business for democracy events: an international exchange over Zoom with pro-democracy business leaders from Europe; and a virtual salon with business leaders and democracy activists.
Following these two events, Horizons Founder and Chief Network Weaver Julia Roig curated a summary of the insights and learnings, which includes the convenings’ key takeaways and calls to action. Below is a brief summary of a selection of the insights; you can read the full article here.
- Call for Courage. While many US business leaders are hesitant to wade into contentious partisan politics, colleagues from Europe noted the need for courageous leadership to support foundational institutions — both in making public statements and working effectively behind the scenes to support democracy.
- Making the Business and Economic Case Against Autocracy. While the promise of lower taxes and reduced regulation often heard from autocratic regimes can appeal to businesses in the short term, the long-term business operating environment suffers amid the increased favoritism and diminished rule of law common under these governments. When business leaders are clear on the economic case for democratic institutions, they are more likely to take timely, effective action to support their long-term interests.
- Challenging Business-as-Usual Assumptions: Business leaders tend to assume they can negotiate with autocratic regimes and make the case for rational policy arguments. Unfortunately, this leaves them ill-prepared for the chaotic and unstable business environment that accompanies extremist populism and autocracy. Even if autocrats can be good for some entrepreneurs, typically those closest to the autocrat, data shows they are not good for business as a whole or capable of providing a path to long-term prosperity.
- Protecting Democracy Beyond Elections. While useful, get-out-the-vote and time off to vote programs are insufficient to combat persistent authoritarian threats. Restoring trusted, well-functioning institutions will require sustained commitment and a long-term perspective.
- Collective Action Helps Mitigate Risk. Despite the business arguments above, many noted the challenges of individual businesses taking action to oppose authoritarian tendencies. Instead, others called out the opportunity to mitigate risks to any one company through participation in geographically based or industry-focused associations. Associations are a natural vehicle for articulating the private sector’s shared interests.