Businesses do not exist in a vacuum. Apart from direct determinants – such as liquidity, customer base, a robust workforce and effective operations – the sustained success of a company also depends on how it is perceived, received, and functions in micro and macro spheres.
Weaving a ‘lobbying’ thread through business policies gives companies a ‘say’ in matters that influence long-term business success. This article looks at how businesses view and use lobbying as a core component of their long-term strategies.
Using corporate lobbying in long-term business strategizing
Policy decisions at global and national government levels affect what businesses can and cannot do, how much tax they pay, and the requirements they must meet to remain legally compliant. Including corporate lobbying as a long-term business strategy paves the way to potentially influencing and benefiting from these policy decisions, whether on legislative or economic tiers.
Lobbying for legislative and regulatory changes
Understanding the policy framework that determines the scope of operations of an industry is crucial. Corporate lobbying empowers a company on two fronts – gaining insight into proposed regulatory changes and having the opportunity to give input on them.
This gives companies the information they need to plot future business strategies and take the necessary actions to remain viable. This reason alone makes lobbying a core part of any long-term business strategy.
It can, however, be extremely tricky to navigate regulatory and broader legislative waters, and that is why most businesses partner with seasoned lobbying firms. Advocacy groups captained by skilled and experienced individuals such as Brian Ballard, who has over 25 years of legislative success across hundreds of policy and funding initiatives, are an invaluable asset and support.
An enterprise such as Ballard Partners focuses on championing its clients’ interests in the regulatory sphere. Businesses should seek out partnerships with lobbyists that handle bipartisan government relations and domestic and international aspects, such as the requirements of the Organization for Economic Co-operation and Development (OECD) for foreign trade.
Lobbying for risk mitigation
Businesses thrive in environments where operations align with current-day and prospective regulations. When corporate lobbying forms part of risk mitigation strategies, it gives companies the chance or potential to influence decisions and shape a socio-economic landscape that favors their operations.
As the ‘voice’ of business, corporate lobbying informs policymakers about the impacts of regulations on an industry. This sharing of information may sway lawmakers to decrease or eliminate rules that hobble financial and operational wellbeing.
International concerns can use lobbying to inform and safeguard them regarding foreign political climates. With a metaphorical foot in the door, an enterprise may receive warnings of disadvantageous shifts and have the time to put mitigating measures in place.
Lobbying for market opportunities
Gaining and keeping a competitive edge is the topmost priority in a business. Involvement in policy decisions gives companies the edge to create new or optimize existing market opportunities. Organizations can lobby for market opportunities in different ways.
Pushing or advocating for policies that will benefit certain spheres of industry has positive financial impacts. For instance, negotiating lower tariffs on the import of integrated circuits will boost the bottom line of a local tech manufacturer using those microchips.
Companies can also campaign to scrap certain rules that hamstring their operations or rally around those that will strengthen them. Take a multinational outfit, for example. Rules that expedite the import and export of its goods work in favor of its financial security.
Lobbying to dictate the narrative
Political climates, or the dominating narratives of the day, often influence the ebb and flow of consumer patterns. Tactical lobbying enables a business to mold this landscape through its interactions with governments, lawmakers, its intended audience and the public at large.
These interactions or communications play a major role in shaping a company’s image or brand reputation. Corporate lobbying uses marketing strategies (or narratives) to achieve different goals, such as the overt or covert communication of a business’s vision and values.
It also spotlights the version of the narrative that suits the company’s best interests. This means that corporate lobbying as a strategy focuses on the messages that pillar the image it wishes to create and gain public support for.
Lobbying – the final say
In modern-day economic climes, businesses do more than sell a service or product. Relevance and continued viability rely on participation in and the ability to influence everything from rules and standards to ideological perceptions. Corporate lobbying is the voice of a company in the regulatory, risk management, marketing and branding arenas.
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