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Fortune
Fortune
Emma Hinchliffe

What Nike got right and Anheuser-Busch got wrong in Dylan Mulvaney controversies

A woman in a light-colored dress against a black background (Credit: Courtesy of GLAAD)

Good morning, Broadsheet readers! Women were disproportionately hurt by Big Tech layoffs, writers sue Meta and OpenAI, and an expert analyzes where companies went wrong during Pride Month. Have a thoughtful Tuesday.

- Staying strong. This year's Pride Month was unlike any we've experienced in recent years. Rather than a time for celebration, the month of June became "another battleground," says Sarah Kate Ellis, the president of GLAAD.

Nothing epitomized that more than the Bud Light controversy at AB InBev. The beverage giant in April sent a promotional package to influencer Dylan Mulvaney. Mulvaney is a trans woman, and the video she posted with her beers incited outrage among right-wing Bud Light customers, who started boycotting the brand. Sales plunged. Heads rolled at Anheuser-Busch. And Mulvaney says she was left to handle the fallout and hate campaign by herself, without support from the company that put her in that situation.

In a new episode of Fortune's podcast Leadership Next, Ellis analyzes what went wrong. The problem wasn't only a right-wing boycott, an unfortunate hazard of doing business these days, says Ellis. It was AB InBev's response. "Nobody's happy with what Anheuser-Busch did," she says. "They lost across the board. They've lost their red audience. They've lost their progressive audience. And they've lost market share."

She compared the company's response to decision-making at Nike, which also featured Mulvaney in online promotions and faced backlash. The athletic apparel company responded by saying on its social media channels that "hate speech, bullying, or other behaviors that are not in the spirit of a diverse and inclusive community will be deleted."

"When you fluctuate, they see an opening," Ellis says of online backlash.

That lesson played out at Disney in Florida under CEO Bob Chapek and later Bob Iger, the GLAAD exec adds. Chapek's original wishy-washy response to anti-LGBTQ legislation in the state allowed GOP politicians to gain power in the clash. Iger's more forceful decision-making planted a stake in the ground and told employees and customers what Disney stood for.

"If you stand up," Ellis says, "you win."

Listen to the full episode here.

Emma Hinchliffe
emma.hinchliffe@fortune.com
@_emmahinchliffe

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