The role of business in a time of division

One of the legacies of the pandemic is the continuing loss of belief in Media and the rise of disinformation. We saw evidence of filter bubbles and distrust during the 2016 U.S. presidential campaign and Brexit referendum — the 2017 Trust Barometer found the following year that 53 percent of people did not regularly listen to people or organizations with whom they often disagree.

Covid supercharged the disinformation crisis and badly crippled trust in all institutions. Media is the least trusted of the major four institutions (with Business, Government, and Non-Government Organizations). Trust in news sources has declined steadily since 2019 (traditional media from 66 percent to 58 percent, social media down from 44 percent to 39 percent). In democracies, an average of fewer than 40 percent of respondents believe the Media to be honest and fair. Past Trust research shows that the most believable source of information is from “my employer,” like a company newsletter. Trust has become more local, with people in my community more trusted than CEOs.

The consequence of these interconnected forces, notably low trust in government, systemic unfairness, and lack of common values, is a descent from an acceptable level of societal debate to a critical level of polarization. In nearly one-quarter of the countries surveyed (including, unfortunately, the United States) they observe both deep division and entrenched views.

Nearly two-thirds of respondents observe an unprecedented lack of civility and mutual respect in society. With polarization, ideology becomes identity: Overwhelming majorities, among those who feel strongly about an issue, refuse to live near or even lend a helping hand to people they disagree with. There is a tangible impact on the workplace, with only 20 percent of respondents saying they are willing to work alongside a person who strongly disagrees with their point of view. As divided views become entrenched, no institution is trusted; only 26 percent of people with a polarized mindset trust government, and only 35 percent trust the media, leading to a cycle of dysfunction.

The mindset of distrust boils down to two things: anger at change and fear of difference. The latter leads to the former. Those focused on “us versus them” generally want things to be the way they remembered them in their childhood. It is an inherently selfish request when instead we should celebrate community and acceptance. Causing division allows people to be their worst selves without guilt or shame.

We are going to be living in this era of political division for the foreseeable future. All any of us can do is continue, among our friends, family, and neighbors, to say and defend what is right in the face of lies and delusions.

It is tempting to recommend more private-sector involvement in societal issues to quell polarization, given the high trust level of Businesses. There is an expectation for this course of action from belief-driven consumers. This is true of the general population as well; on average by a six-to-one margin, respondents want more involvement by Businesses on societal issues. In short, Businesses are expected to take a public stand on key issues. Eighty-six percent also expect CEOs to play a role in strengthening our social fabric.

It is going to be a challenging year, with economic uncertainty and politicians emboldened to take a strident position against business on cultural issues, ESG, and geopolitics. Business is on safe ground when it stays in areas of comparative advantage where it can make a tangible difference, on topics including sustainability, DE&I (Diversity, Equity, and Inclusion), wages/reskilling, and other societal issues.

Chris Romer is president & CEO of Vail Valley Partnership, the regional chamber of commerce. Learn more at VailValleyPartnership.com