Frenemies: Overcoming Audiences’ Ideological Opposition to Firm–Activist Collaborations

Collaborations between organizations from different sectors, such as those between firms and nonprofits or governments, can offer effective solutions to complex societal problems like climate change. But complications arise because organizations operating in different sectors rely on the approval of different audiences, who may not view these relationships positively, for resources and survival. I show how concerns about audience approval impede cross-sector collaborations forming between firms and social movement organizations (SMOs) despite their potential societal benefits. Firms wanting to signal their efforts in support of a movement’s cause may be eager to form collaborations with SMOs. But when SMOs’ supporters and/or peers define their identity in opposition to firms—when they are oppositional audiences—collaborations do not form. I argue and find that SMOs who cooperate, and don’t compete, with oppositional peers can better navigate the constraint of oppositional audiences. Firms, in contrast, aggravate the constraint of oppositional audiences. Firms’ inclination to seek collaborations to repair their reputations with their own audiences after being contentiously targeted by a movement compounds the challenge to SMOs of partnering with the enemies of their friends. My arguments on countervailing audience effects stifling collaborations are corroborated in 25 years of data on interactions between SMOs in multiple environmental movements and Fortune 500 firms.