Current geopolitical crises are having a significant impact on corporate communications worldwide. In this moment of political and social polarization, companies are forced to balance business interests with the demands of their stakeholders, who expect them to show commitment and take a stand. According to the European Communications Monitor (EUPRERA, 2024), a report that analyzes the perspectives of Europe’s top communication professionals, 79.3% of communication leaders see these geopolitical conflicts as a reputational risk for their organizations, while only 31% see them as an opportunity.
What’s striking about these findings is that geopolitical conflicts are no longer limited to highly regulated sectors closely tied to government, such as natural resource extraction, oil, and gas. Today, they affect companies across all industries, as seen during the war in Ukraine when Western businesses exited Russia. As a result, organizations must rely on crisis manuals that prepare them to address reputational risks of this kind and anticipate different scenarios.
Looking ahead, researchers suggest that communication departments will play a strategic role in managing geopolitical risks through corporate communications. Companies will need to depend on these teams to meet challenges that, unsurprisingly, are led by the war in Ukraine (identified by 58.5% of European communication leaders), followed by the post-COVID crisis (48.3%), and tensions between China and Western countries (30%).
The European Communications Monitor also shows broad agreement: the geopolitical context is strongly influencing corporate communication strategies and activities. The most significant changes are often felt internally, especially within large international organizations. Employees are increasingly pressuring their companies to take sides in these conflicts, but organizations cannot always respond decisively or take a clear position, as became evident during the recent conflict between Israel and Palestine.
Another challenge for corporate communications is reconciling local expectations with global strategy. In a fragmented, globalized world, creating a message that works everywhere is extremely difficult, and often impossible. Issues such as diversity and inclusion may be promoted by European companies, but in some countries they are literally “forbidden by law.” Meanwhile, as seen with Donald Trump’s return to power, many North American companies are stepping back from these commitments, a trend raising concerns among other organizations.
The European Communicators Monitor advises corporate communications managers to be clear about what messages can be conveyed globally and what messages should be segmented by country. Corporate communication managers face an increasingly complex landscape in which globalization and multilateralism are no longer universal guiding principles. The question facing global corporate communication is how to remain relevant locally and globally at the same time; and how to meet the more demanding requirements of taking a stand while still being inclusive and addressing all audiences.
Tips for addressing geopolitical risks in corporate communications
1. Anticipate. Build strong listening systems and scenario planning capabilities to effectively prepare for geopolitical risks.
2. Consolidate. Establishing, reinforcing and moderating discussions within global organizations is as important as monitoring public opinion and external debates.
3. Connect. Develop networks of functional leaders and communication experts with diplomatic skills and sensitivity to value-based risks.
4. Navigate. Managing communication in a global company means carefully choosing what to say and what not to say in situations where the company is not in a position to communicate with its stakeholders or respond directly.
