Founders of Black-owned brands adapt their hopes and business plans for a post-DEI era

Apnews - Mar 26th, 2025
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Small Black-owned businesses like Pound Cake and Puzzles of Color are re-evaluating their strategies as major U.S. retailers scale back diversity, equity, and inclusion (DEI) programs. This retrenchment follows political and social shifts, particularly after Donald Trump's second term, which has caused some businesses to reconsider partnerships with large retail chains. Entrepreneurs are concerned about the sustainability of these collaborations and the potential need to alter product offerings to maintain growth.

The broader implications of this trend are significant as Black-owned brands navigate a post-DEI landscape. Many businesses, previously supported by initiatives like the Fifteen Percent Pledge, face new challenges in maintaining retail partnerships and community support. While some founders seek to adapt by diversifying their product lines or leveraging independent sales, others, like those behind Play Pits and B Condoms, emphasize maintaining community ties and expanding beyond mainstream retail channels. This shift highlights the resilience and adaptability required for Black entrepreneurs in a changing economic and cultural environment.

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RATING

6.4
Moderately Fair
Read with skepticism

The article provides a timely and relevant examination of the challenges faced by Black-owned businesses in the current post-DEI era. It effectively highlights the personal experiences of business founders, offering valuable insights into their strategies and concerns. However, the article could benefit from a broader range of sources and perspectives to enhance its balance and depth. While it presents a clear and engaging narrative, the lack of detailed data or specific examples of legal challenges limits its accuracy and potential impact. Overall, the article serves as a valuable contribution to ongoing discussions about diversity and corporate responsibility, with room for further exploration and analysis.

RATING DETAILS

7
Accuracy

The article presents several factual claims about the impact of reduced DEI (Diversity, Equity, and Inclusion) initiatives on Black-owned businesses. It accurately highlights the concerns of business owners like the founders of Puzzles of Color and Pound Cake regarding the potential withdrawal of support from major retailers like Target. The story also correctly notes the historical context of these DEI initiatives, linking them to the aftermath of George Floyd's death and subsequent protests. However, the article could benefit from providing more specific data or statistics to support claims, such as the exact number of businesses affected or the scale of DEI program reductions across corporations. Additionally, while it mentions legal challenges to DEI programs, it does not provide details on these challenges or their outcomes.

6
Balance

The article primarily focuses on the perspectives of Black-owned business founders, which is crucial given the context. However, it lacks a broader range of viewpoints, such as those from the corporations scaling back DEI initiatives or from legal experts on the implications of such changes. Including perspectives from DEI advocates or critics could provide a more balanced view. The article also briefly mentions the Fifteen Percent Pledge and its supporters, which adds some balance by highlighting ongoing corporate commitments to diversity.

8
Clarity

The article is well-structured and uses clear language to convey the challenges faced by Black-owned businesses. It logically flows from the introduction of the issue to specific examples and broader implications. The tone is neutral, focusing on factual reporting rather than emotional appeal, which aids in comprehension. However, some readers might find the lack of detailed data or specific examples of legal challenges affecting clarity in understanding the full scope of the issue.

5
Source quality

The article relies on direct quotes from business founders like Ericka Chambers, Camille Belle, and Johnny Velazquez, which adds credibility. However, it lacks diverse sources, such as statements from the corporations involved or independent experts on DEI programs. The absence of these additional voices limits the depth of the article's analysis and its overall reliability. Attribution is mostly confined to the business owners, which, while authoritative on their experiences, does not encompass the broader implications of the DEI rollback.

6
Transparency

The article provides a clear narrative on the experiences of Black-owned businesses in the current climate, but it does not fully disclose the methodology behind its claims. It lacks transparency regarding how the information was gathered or whether there were attempts to reach out to corporations for comment. While it mentions the historical context, it does not delve into potential conflicts of interest or biases that might affect the reporting, such as the author's perspective or the publication's stance on DEI issues.

Sources

  1. https://spokesman-recorder.com/2025/02/22/black-owned-brands-economic-power/
  2. https://www.businessoffashion.com/news/retail/black-owned-brands-urge-us-consumers-not-to-boycott-target-over-end-of-diversity-efforts/
  3. https://bglh-marketplace.com/2025/01/being-a-black-owned-business-in-the-anti-dei-age/
  4. https://www.washingtontimes.com/news/2025/mar/26/founders-black-owned-brands-adapt-business-plans-post-dei-era/
  5. https://www.mytotalretail.com/article/black-owned-and-founded-beauty-brands-are-taking-a-stand-on-inclusivity-and-why-the-industry-should-follow-their-lead/