Retailers Revamp Political Giving Policies Ahead of 2012 Campaign

VIDEO: Democrats claim Republican campaign ads are backed by foreign money.
Share
Copy

Two of the nation's most prominent retailers, Target Corp. and Best Buy, quietly have revamped their political expenditure policies following a stinging controversy from the 2010 election campaign that continues to reverberate.

The changes, appearing in policy statements on the companies' websites last month, said that proposed political donations must align with the companies' core values, not just their business interests, and be reviewed by internal committees that include a diversity of viewpoints.

Last year, Target sparked outrage among some employees, customers and community groups for contributions supporting a Republican Minnesota gubernatorial candidate who opposed same-sex marriage and greater legal protections for gays and lesbians. The company is based in Minneapolis.

Best Buy and several other companies also donated to the conservative political action group, MN Forward, but received less criticism.

The revised policies are signs that some businesses that took advantage of the freedom to give directly to campaigns from their corporate bank accounts after the Supreme Court's Citizens United ruling, are taking steps to avoid unwanted negative attention in 2012, experts said.

"Companies said, 'We dipped our toes in the water, Target got burned on this one, but there are ways to learn from this going forward and use this new freedom to our advantage," said business ethics and campaign finance expert David Schultz of Hamline University School of Business.

"For retail businesses, political expenditures could become a new marketing tool if they use them wisely," he added. "What they seem to be doing here is setting up political expenditure criteria that parallels the same type of marketing approach they're using, consulting a variety of groups to figure out what spending might enhance their public image."

At Target, a committee of senior executives representing a "variety of perspectives" will weigh the need to promote business-friendly policies with "any other considerations that may be important to our team members, guests or other stakeholders," the company said on its website.

Best Buy said it will convene a similar committee to review corporate political contributions, basing its decisions not only on the interests of the business and shareholders but also employees, customers and the company's "core values."

Some critics of the companies' 2010 contributions say the new revisions don't go far enough.

Lady Gaga, who signed a deal with Target to sell the deluxe edition of her new album, "Born This Way," backed out of the partnership last week in protest over the policy.

Lady Gaga Breaks With Target

"She and Target didn't see eye to eye on Target's policy of political donations and how they affect the LGBT community," a source close to Gaga told gay magazine The Advocate.

Gaga and gay rights groups protested Target's $150,000 contribution to MN Forward, which supported Tom Emmer, a socially conservative candidate who ultimately lost to Democrat Mark Dayton.

Target CEO Gregg Steinhafel later apologized for the donation, saying at the time, "Our decision affected many of you in a way I did not anticipate, and for that I am genuinely sorry."

Company officials also sought to reassure critics by pointing out that Target has been a regular donor to gay and lesbian community organizations.

Page
  • 1
  • |
  • 2
Join the Discussion
You are using an outdated version of Internet Explorer. Please click here to upgrade your browser in order to comment.
blog comments powered by Disqus
 
You Might Also Like...
See It, Share It
PHOTO: Firefighters rescue a woman who got stuck in a chimney in Thousand Oaks, Calif.
Ventura County Fire Department
PHOTO: Apple Pay is demonstrated at Apple headquarters on Oct. 16, 2014 in Cupertino, Calif.
Marcio Jose Sanchez/AP Photo
PHOTO: Up in Ash: Mount Sinabung Erupting
Tibt Nangin/Anadolu Agency/Getty Images
PHOTO: Defendant Jodi Arias testifies about killing Travis Alexander in 2008 during her murder trial in Phoenix, Feb. 20, 2013.
Charlie Leight/The Arizona Republic/AP Photo
PHOTO: Kim Kardashian, Kanye West, their daughter North West and Delphine Arnault attend the Givenchy show as part of the Paris Fashion Week Womenswear Spring/Summer 2015, Sept. 28, 2014 in Paris.
Bertrand Rindoff Petroff/French Select/Getty Images