Navigating the geopolitical storm with agility and resolve

The economic and geopolitical chaos we’re witnessing is, to resurface our favourite Covid-era phrase, truly unprecedented. 

Driven by a President who seems intent on re-writing all previous norms of political behaviour, with a tendency to attack any state or corporation that steps out of line, the question every communications team is being asked at the moment is, ‘how do we respond to the demand for certainty from our shareholders and stakeholders?’.  

In a former life, during Trump’s first presidency, this was a question I came to most days, with a front seat view looking after the communications function at a US retailer.  How does one respond in the face of almost constant uncertainty?  With great difficulty.  

Of course, this time it’s much more serious.  The pandemic and often slightly inept political machine meant that much of Trump’s disruptive power during his first term in office was felt through his personal influence and rhetoric that informed swallow dive reactions from his MAGA-supporting fans.  Now the comprehensive armoury of government is being put to full effect, challenging markets, business models and corporate strategies day by day.  

In these moments, there is of course no simple answer.  But it is essential that communications teams take a short, medium and long-term approach to their response.   

The short-term elements are relatively simple but no less important for that. While communications teams can’t act as fortune tellers, being unencumbered by divisional bias and targets means they play a vital role in the provision of a dispassionate and data-led assessment of the world around them.  Knowing when to respond or wait in the face of new trading environments, DEI rulings or market disruption is key to retain the trust of investors, customers and colleagues and made more predictable thanks to synthetic audience testing.  

In the medium-term, it’s essential to try to restore a sense of order, get ahead of the risks and force colleagues to establish meaningful mitigation strategies. No-one expected the tariffs to be as deep or broadly felt, but no-one could accuse Trump of springing them out of the blue.  Now is the time to work out what might come next and clarify how the company should respond to reassure customers, suppliers, shareholders and employees.  

But what about the long-term?  In these dramatic times, looking too far into the horizon can seem almost indulgent.  But as commercial and operational teams rightfully focus on keeping the lights on today, communications leaders have to keep a lens on the future to protect the long-term value of their businesses.   

As the President collapses America’s brand around the world, too many companies are following suit by abandoning their commitments to D&I, sustainability and other socially inclusive topics.  Far braver to take the sling-shots today than have nothing to defend tomorrow.   

So just as during the pandemic years, the way to navigate reputation and market volatility through these unprecedented times will come from staying agile through the storm, while reassuring your people, customers, investors and others by resolutely defending the company’s values, purpose and strategy throughout.   

By Dom Pendry, Group Managing Director at Citypress