This study highlights how politically-connected charity influences governance and corporate reputation, suggesting measures for improved transparency.
Politically-connected charity donations, though legal and often seen as socially responsible, can serve as covert influence channels, undermining corporate reputation, fair competition, regulatory integrity, and public trust in governance. A study by Jeong and Siegel (2025) introduces the concept of corporate rechanneling , wherein firms shift from bribery to politically-connected charity as political competition intensifies. We build further on this research by presenting global cases, differentiating among three primary forms of corporate influence – bribery, politically-connected charity contributions, and lobbying – and offering actionable recommendations for policymakers and corporate leaders to enhance transparency, accountability, and oversight worldwide.
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Jeong et al. (2025) studied this question.
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