BIG TECH NEEDS CPR: STAKEHOLDER ACTION FOR CORPORATE POLITICAL RESPONSIBILITY

Abstract

There is a genuine concern that corporate influence has pushed America into a state of "post-democracy" where businesses exercise inordinate political power to shape government policies. Big Tech, as a major player, spends tens of millions of dollars annually on political expenditures, yet disclosure requirements for this spending remain weak. However, with the shift from shareholder to stakeholder capitalism, many societal actors have been able to advocate for greater transparency around corporate political disclosures. This thesis seeks to explore this phenomenon, addressing how stakeholders – specifically shareholders and alternative, non-corporate stakeholders – can influence Big Tech's political responsibility. While existing scholarship has investigated Big Tech's political spending, it has ignored the critical preceding step of how external actors can influence corporate spending activities and transparency. This thesis analyzes recent stakeholder efforts to enhance the political responsibility and integrity of Google, Apple, Microsoft, Amazon, and Meta (GAMAM). For shareholders, an analysis of the existence and success of shareholder proposals submitted to each GAMAM company is provided, followed by a comprehensive overview of the methods leveraged by alternative stakeholders. The investigation highlights that shareholder pressure alone is insufficient in the face of structural corporate governance obstacles. Shareholder pressure should be complemented by the methods of alternative stakeholders, as well as include Big Tech itself in the conversation, to be most effective in improving its corporate political responsibility. These findings are vital for understanding contemporary political dynamics, exemplifying how often-overlooked sources of influence – corporate stakeholders – can play a significant role in addressing the challenges of “post-democracy.”