4 Huge Reasons Your Brand Values Should Not Change (Even If Laws Do)

No matter what field you operate in as an entrepreneur, business manager or marketing executive, it is perfectly normal to feel like we are walking into a “whole new world” which is a little upside down and sideways with a line of vision akin to a being inside a well-shaken snow globe. Add more chaos every time we read that laws are changing to support a new political agenda and that another company has dropped its DEI and/or ESG policies and departments or changed its rules for just being kind to people in general. Yes, even Starbucks has reversed its rule that anyone can hang in their stores and use their bathrooms even if they don’t buy anything.

It’s true. Governing around values takes energy and money, which cuts into profits — but not for much longer. Meta and other corporate giants like Ford, McDonald’s and Walmart are canceling their key diversity, equity and inclusion programs now that the White House is canceling these programs across the Federal government.

So now the big question. Can small businesses, startups and entrepreneurs change their values and corresponding actions toward humanity, the environment and civility and thrive just like big box brands doing so seem to be doing?

Quick answer. A hard no. Never.

Amazon, Ford, John Deere, Harley Davidson, Toyota, Lowe’s and even Molson Coors and others announcing “values” changes will survive when pulling out of social celebrations like Pride Parades, end participation with the Human Rights Campaign (HRC) Corporate Equality Index, and axe departments and programs organized around ESG practices. Their brands have stood the test of time, and their sales revenues have remained and will continue to be. But a small company forging through the jungles of whatever industry they seek to break into needs more than a machete to succeed. Small businesses need to appeal to consumers on many levels to capture attention, trial and sales. According to research and consulting firms like PWC and Edelman, a company’s values associated with ESG issues — Environmental, Social and Governance — still matter to consumers.

According to one report, consumers are placing increased importance on ESG compliance when selecting brands in 2025 despite what big brands are doing or what a new administration might do to environmental and social laws serving as guardrails for safety and civility in the world we knew just yesterday.

Here are just three reasons why brand values should still and always be at the top of any entrepreneur’s operational priorities and every marketer’s agenda.

Related: Why Aligning Your Values and Virtues Leads to Entrepreneurial Success

1. Consumers care

Gen Z, Gen X and millenials, in large numbers, care to do business with brands that reflect their own values when it comes to environmental and social issues, and this does not look to change anytime soon. Research shows these consumers are heavily influenced by the values a brand presents and acts upon — for example, Edelman’s 2024 reports state that Gen Z, who make up 40% of consumers worldwide, will even go so far as to judge a person’s social values by the brands they patronize. Businesses in all sectors take note. This is the consumer group spending the most money. Various studies show that Gen Z’s spending power will reach around $12 trillion by 2030, while Gen X and Millenials will represent $6.4 trillion and $8.3 trillion, respectively.

So, while some consumers might begrudgingly go to Lowe’s despite their canceling support for social programs when they need that plunger in a hurry, they are not likely to become lifetime loyalists or advocates, both of which are important for any business. Defining ESG values, acting on them and communicating your impact will set you up to attract and retain the most powerful consumers in the market now and over the next few decades.

Related: Holding True to Your Values Is an Essential Decision-Making Metric

2. Investors remain green

According to Bloomberg Media’s Sustainable Future Study, ESG assets will hit the $50 trillion mark by 2025, showing strong sustainability in “sustainable” investing. This same report shows this trend continuing through at least 2030. Morninsgstar’s report, Emerging Trends in Global Sustainable Funds, shows a surge in EST investing in 2025 as well. Pension fund and asset managers still plan to make ESG investments to help mitigate risks and create sustainable value. Some investors report that companies with high ESG scores are more successful than those with low ESG scores and, therefore, present less risk and more opportunity for portfolio growth.

Regardless of where you are with your funding goals, pay attention. Funding is hard to get in uncertain markets, which will likely continue. Defining and executing ESG values and sustainability programs will help you compete for investment to further product development, staffing, capitalization, and GTM initiatives that can help you grow in any market.

3. Authentic accountability

Brands are constantly tooting their horns about something, but how often is that toot grounded in verifiable results and aligned with meaningful outcomes for others beyond the brand itself? Companies that act on policies for ESG sustainability, employee protocols, responsible sourcing practices and so on have powerful stories to tell. Reporting on how your ESG practices impact environments, elevate social justice for diverse populations, and govern your employees shows your promises and commitments are authentic, not just attempts to align with the times or politics when you really don’t care about the values you project. We are seeing a lack of authenticity for past social justice actions aligned with many brands now dropping support across social spectrums. Customers now and in the future will continue to seek out brands that authentically care to be accountable for promises made.

While the next few years seem to promise many changes across society, some welcome, some not, one thing remains steady for small businesses: values. You need them, you need to act on them and you need to report on how your values impact others, not just you.

More insights and ideas for implementing ESG and other value in your business operations can be found in Entrepreneur’s book, “Market Your Business – Your DIY Guide to Marketing,” released September 2024.