For Companies in China, Political Loyalty Comes at a Cost

September 2, 2025, Opinion: "Executives attending major political events. Unexpected policy changes. Corporate reports that echo government rhetoric. Companies have subtle and not-so-subtle ways of showing allegiance to a ruling party. A working paper by Harvard Business School Assistant Professor Jaya Wen examines the political conformity of companies operating in China, the world’s largest autocratic regime. The research finds that corporate language began to increasingly reflect the rhetoric of the Chinese Communist Party in 2015 as companies sought to reduce expropriation risk. However, loyal messaging came with mixed results for companies."