Do Boycotts work

Fremont CA

Description

Do Boycotts Work? IPR associate finds boycotts threaten reputation more than revenue March 29, 2017 Kellogg’s, Pepsi, Uber, L.L. Bean. In recent months, a number of high-profile companies have been the targets of boycotts, many of which have taken on a distinct political tone. Yet the question remains—are these boycotts effective? According to IPR associate Brayden King, a professor of management and organizations, activists who call for boycotts usually set out “to put financial pressure on a company” by convincing consumers to shop elsewhere. Brayden King Brayden King “But it turns out that’s not the way that boycotts usually work,” he explained. “The typical boycott doesn’t have much impact on sales revenue.” One reason is consumers’ habitual nature. Even people who publically denounce a company might still purchase that company’s products. Plus, the people boycotting a company might not be its target consumers. “Think of PETA activists who are boycotting KFC,” King explained. “That’s a boycott that’s not going to have much of an impact on sales revenue."