# A New Model For Corporate D&I Investing

1 Opinion November 20, 2020 Forbes ![Paolo Gaudiano Headshot](/sites/default/files/styles/246w/public/assets/images/Paolo%20Gaudiano%20Article.jpg?itok=5NdeN6b5) By Paolo Gaudiano >

After several years of gradual increases in corporate awareness about the business value of Diversity & Inclusion (D&I), the turbulent events of the past eight months have led to a dramatic rise in corporate D&I activities, ranging from vague statements of support to substantial monetary investments.

While this sudden increased awareness is welcome, some have questioned whether this is the beginning of a wave of sustainable change, or whether it is just a transient phenomenon. Moreover, an increasing number of D&I supporters are pointing out that the traditional approaches to corporate D&I have failed to demonstrate significant progress – a particularly troubling observation given the billions of dollars poured annually into D&I initiatives, with little progress to show in the past several decades.

While many corporations wax poetic about the value of D&I, there is often an unstated belief that the primary benefits of corporate D&I are reputation management and risk management. Reputation management recognizes that D&I can have a positive or negative impact on a company, especially in today’s social media-driven world, where missteps – and, occasionally, acts of inclusion – are likely to be amplified and have a sudden, material impact on product sales and stock prices.

Read the full [*Forbes* article](https://www.forbes.com/sites/paologaudiano/2020/11/20/a-new-model-for-corporate-di-investing/?sh=4574b3f7269e).
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*Paolo Gaudiano is an Adjunct Associate Professor.*## More from Paolo Gaudiano

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- [These High School Students Are Shaping The Future Of Diversity, Equity And Inclusion](https://www.stern.nyu.edu/index%2ephp/experience-stern/faculty-research/these-high-school-students-are-shaping-future-diversity-equity-and-inclusion)
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