Boycotts rarely work — but anti-LGBTQ+ backlash is forcing companies into tough choices

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The boycott of Bud Light is having a major effect on its sales, while the wave of anti-LGBTQ+ backlash is also affecting Target and Starbucks.

LGBTQ+ inclusion has in recent years been "standard business practice," said Sarah Kate Ellis, president and CEO of LGBTQ+ advocacy group GLAAD. But that practice has become trickier amid a "very aggressive legislative session" in which hundreds of anti-LGBTQ bills — which target trans rights and how sexual orientation and gender identity are taught in schools, among other topics — have been introduced by lawmakers across the country.

The boycott of Bud Light, while an outlier in many ways, underscores a larger struggle that corporate America faces as it navigates an increasingly polarized social landscape where taking political positions, or even engaging in multicultural marketing, can be taboo for some customers, said Frericks.

"We remain committed to the programs and partnerships we have forged over decades with organizations to drive economic prosperity across a number of communities, including those in the LGBTQ+ community," a company spokesperson told CNBC. "Recently, we shared that our partnership with the [National Gay and Lesbian Chamber of Commerce] to empower LGBTQ+ owned small businesses across America will continue for the second year.

Last month, Target announced it would be removing some LGBTQ-themed items from shelves after what a company spokesperson described as "threats" to employees over a line of Pride Month merchandise.

 

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