Rethinking Business-as-Usual in the Age of Trump 2.0 

BY CHRISTIAN SARKAR and PHILIP KOTLER

In his first week in office, President Trump unleashed a wave of executive orders aimed at reshaping the federal workforce. These include a temporary hiring freeze, the elimination of diversity, equity, and inclusion (DEI) directives, and a sweeping ban on remote work for federal employees. He also revoked an executive order aimed at banning discrimination by federal contractors and subcontractors as part of his sweeping effort to crack down on federal diversity programs. He “fired” the independent inspectors general of 12 major federal agencies, clearing the way for the installation of loyalists in the crucial role of identifying fraud, waste and abuse in the government. 

Trump also pulled the US out of the Paris Agreement Treaty (again) and the World Health Organization, even as the threat of the next pandemiclooms in the background.  

Business leaders are feeling the heat

Will each day bring a new threat, a new crisis?

Well before President Trump even took office for the second time, companies began back-pedaling on their DEI initiatives:

  • John Deere announced back in July 2024 that it will “no longer participate in or support external social or cultural awareness parades, festivals, or events.”
  • Harley Davidson stated in August 2024: “…we have not operated a DEl function since April 2024, and we do not have a DEl function today. We do not have hiring quotas and we no longer have supplier diversity spend goals.”
  • Ford chose to stop using quotas for minority dealerships or suppliers, adding that it does not have hiring quotas. It decided to stop participating in Human Rights Campaign’s Corporate Equality Index.

And after Trump’s victory, the list of companies jettisoning their “values” has exploded. Target, META, Amazon, McDonald’s, Walmart, Lowe’s have all announced plans to end or scale back their public commitments. Even the Mouse caved.

A handful of businesses – Apple, Costco, and J.P.Morgan Chase, for example, stood their ground, and continue advocating for their DEI policies. And we just learned that McKinsey is still committed to a “diverse meritocracy.“

Why can’t business leaders stand up to Trump 2.0? 

Here are a few explanations (take your pick):

  • Political Polarization: In many industries, aligning with or against Trump can be a deeply divisive. Business leaders may fear alienating customers, employees, or investors who hold opposing views, not to mention Trump himself.
  • Economic Influence: Trump’s promised tax cuts and deregulation policies will benefit certain industries, making business leaders hesitant to criticize him. They view his leadership as advantageous for their bottom line.
  • Fear of Repercussions: Trump’s influence over a large portion of the electorate and his vocal support base means that public opposition could result in boycotts, protests, or backlash from loyal supporters, potentially harming a business’s reputation and financial performance.
  • Corporate Culture: Many business leaders traditionally avoid taking strong political stances to maintain a neutral company culture. 
  • Power Dynamics: Trump’s own business background and influence in certain sectors might make it harder for peers to openly challenge him without risking their own political and business connections.

So, what can be done? 

Is there a clear understanding of the threats to business? The MAGA agenda creates global and domestic instability, labor shortages, and economic decline. 

Business should ask – Does Trump 2.0 prioritize political control over economic health? Will MAGA policies benefit a handful of elites while destabilizing the broader business environment?  Will this make it harder for companies to operate, to invest in the future?

Let’s understand what lies ahead:

Economic Instability & Market Volatility

  • Trade Wars & Tariffs – Trump’s past tariffs on China and other nations raised costs for U.S. manufacturers, farmers, and consumers. His new tariff threats will renew trade war and disrupt supply chains again.
  • Government Overreach & Policy Uncertainty – Erratic executive orders and regulatory rollbacks create legal chaos, making long-term business planning difficult.
  • Threats to Rule of Law – Targeting businesses and political opponents weakens trust in contracts, investments, and fair competition.  Do we really want to create a zero-trust society?

Labor Shortages & Workforce Disruptions

  • Crackdown on Migrants Hurts Key Industries – Agriculture, construction, healthcare, and hospitality rely on immigrant labor. Mass deportations and visa restrictions will drive up wages and inflation.
  • Attacks on DEI & Workplace Culture – Businesses thrive on diverse, engaged workforces. Anti-DEI policies hurt employee morale, innovation, and retention.
  • Union Busting & Wage Suppression – MAGA policies favor corporate elites but weaken consumer spending power, shrinking markets for businesses.

Suspension of the Rule of Law

  • Social Unrest – Trump favors the use of force against peaceful protestors. He’s willing to use the US military to quell domestic unrest.
  • Detention Centers – Trump has signed an executive order to prepare a Guantanamo Bay facility to jail 30,000 immigrants 
  • Targeting Opponents – During the 2024 presidential campaign, Trump made more than 100 threats to investigate, prosecute, imprison or otherwise punish his perceived enemies, including political opponents and private citizens.
  • Emergency Powers – Trump has already declared an emergency at the southern border, which has been labelled an abuse of power.

Consumer & Investor Backlash

  • Boycotts & Brand Damage – MAGA-led culture wars have put major brands like Bud Light and Target in political firestorms, alienating key consumer segments.
  • ESG & Global Investment Risks – Trump’s anti-climate, anti-regulation stance puts U.S. companies at odds with global investors who prioritize sustainability and stability.

Weakening U.S. Global Competitiveness

  • Isolationism Hurts Trade & Innovation – Attacks on international alliances, tech partnerships, and research collaboration make American companies less competitive.
  • Deregulation Creates Long-Term Costs – Rolling back environmental and worker protections may boost short-term profits but leads to disasters (e.g., pollution, unsafe working conditions) that hurt businesses in the long run.
  • War and Geopolitics – conflict escalation with Iran could lead to major economic disruptions and will embroil the US in another losing war.

Katherine Gehl and Michael Porter warned us: The real problem is that our political system is no longer designed to serve the public interest, and has been slowly reconfigured to benefit the private interests of gain-seeking organizations: our major political parties and their industry allies.  

Businesses must re-think their strategies amidst the turbulence. 

We are now facing the permacrisis –  an environment of constant political upheaval, geopolitical uncertainty, and ethical challenges. Businesses that thrive under predictability and global cooperation will be forced to confront the fires caused by irresponsible deregulation, social unrest, corporate manipulation, and global distrust. And this doesn’t begin to include climate-events or the Death of Nature.

Where to begin?

In a way this depends on how you view government, the purpose of it. The Business-as-Usual (BAU) view: the function of government is to drive economic growth through profit, privatization, and deregulation, versus the regenerative view: the function of government is to advance the Common Good, to nurture wellbeing and stability – social, cultural, ecological, and economic. 

The sobering reality is that Trump 2.0 signals the end of Business-as-Usual.  

Depending on your industry, we’ve mapped out the difficult choices leaders face. Companies opposing Trump 2.0 can take different approaches based on their industry, risk tolerance, and stakeholder expectations.

Here are some of the strategic choices:

Which strategy works best for your company?

Legal & Policy Driven Safeguards (Defensive Strategy Against Retaliation)
Protects the company from politically motivated lawsuits, regulatory crackdowns, and executive overreach

  • Build legal defense funds for employees and customers targeted by Trump-era policies 
    (e.g., immigration, anti-LGBTQ+ laws).
  • Encrypt data and secure digital privacy protections to prevent politically motivated crackdowns.
  • Establish board-level governance protections against political interference.
  • Strengthen whistleblower protections and internal compliance teams to prevent forced policy changes.

Brand Activism (Opposition and Political Engagement)
Strengthens brand loyalty among core audiences, but may alienate “lower-revenue” customers 

  • Publicly call out Trump policies that hurt democracy, workers, or the environment.
  • Lead industry coalitions advocating for ethical governance, voting rights, and climate action.
  • Use advertising, brand messaging, and influencer partnerships to promote democratic values.
  • Encourage employees & customers to vote and support civic engagement initiatives.

Geographic Reconfiguration (Reduce U.S. Political Exposure)
Reduces Trump 2.0-era volatility by hedging against unpredictable U.S. policies.

  • Diversify supply chains to avoid over-reliance on the U.S. or Trump-friendly states.
  • Expand non-U.S. revenue streams to reduce dependency on American policy shifts.
  • Shift key operations or headquarters to countries with stronger democratic protections.
  • Strengthen alliances with global trade partners to mitigate tariff and economic instability risks.

Pro-Business Economics (Traditional business “neutrality”) 
Keeps messaging apolitical while fighting Trump’s economic instability.

  • Advocate for strong institutions, rule of law, and free markets as key to economic growth.
  • Frame opposition to trade wars, tariffs, and corporate favoritism as protecting business stability.
  • Fund think tanks, trade associations, and bipartisan business groups focused on economic resilience.
  • Push for predictable regulations and stable policy regimes rather than chaotic executive orders.

Community Wellbeing (Invest in local development and worker capabilities)
Protects workforce while building long-term community goodwill.

  • Expand local hiring, job training, and wage growth to support economic stability without relying on federal policies.
  • Protect workers from harmful labor rollbacks by maintaining internal DEI and ethical labor standards.
  • Invest in local economic development, affordable housing, and small business grants.
  • Provide legal and financial support to vulnerable workers, including immigrants and those affected by policy shifts.

Quiet Diplomacy (Low-profile, high-impact action)
Avoids direct retaliation or controversy while still opposing harmful policies through systemic action.

  • Fund nonpartisan democracy and legal organizations without publicizing it.
  • Lobby quietly for economic stability, fair trade, and climate policies.
  • Shift supply chains away from politically volatile dependencies (e.g., avoid businesses tied to Trump-friendly states or allies).
  • Secure internal safeguards for employee rights, DEI, and sustainability, regardless of government rollbacks.

Regeneration for the Common Good (Universal values across multiple cultures)
Avoids direct retaliation or controversy while still opposing harmful policies through systemic action.

  • Align company mission with the Common Good to consider the well-being of employees, customers, communities, and the environment. 
  • Pursue regenerative strategies that go beyond sustainability and focus on restoring ecosystems, empowering communities, and creating positive societal impact.
  • Advance the Common Good by supporting systemic change  and policies such as universal healthcare, living wages, climate action, and social justice reforms.

Trump 2.0 presents an existential ethical test for business leaders: Will they compromise values for short-term gain or stand firm in advancing the Common Good?  

Those who choose the latter will likely shape a more resilient, inclusive, and just society—even in turbulent times.

By focusing on the Common Good, businesses can oppose Trump’s most harmful policies without getting dragged into direct political warfare. 

What about governments? Just ask Canada and Mexico. Stay tuned.

Christian Sarkar is a co-founder of the Regenerative Marketing Institute with Philip Kotler and Enrico Foglia. Their books include – Regeneration: The Future of Community in a Permacrisis World (2023) and Brand Activism: From Purpose to Action (2018).