affirmative action policies

The Supreme Court Ruling and its Implications for MWBEs

In August 2023, a seismic shift occurred when the Supreme Court ruled out affirmative action policies in college admissions. This decision reverberated across the corporate landscape, especially within Minority and Women-Owned Business Enterprises (MWBEs), which have long relied on corporate commitments to diversity for their growth and viability.

Even before the ruling, companies like Apple, General Electric, Google, Salesforce, and Starbucks had emphasized that “racial and ethnic diversity enhance business performance.” These Fortune 500 giants depended on diverse university talent pools to foster future leaders. However, the ruling has thrown a potential wrench in the trajectory of diversity within these major companies.

The Ripple Effect on MWBEs

Historically, MWBEs have faced significant challenges in securing contracts with Fortune 500 companies. While exact statistics vary, it’s clear that only a fraction of Fortune 500 contracts are awarded to MWBEs, despite many of these businesses meeting or even exceeding the requirements set forth by these corporations. With the new ruling, one can’t help but wonder: will MWBEs face even stiffer competition and higher barriers?

MWBEs already grapple with numerous challenges: access to capital, visibility to major contracts, and the perennial issue of proving their mettle in a competitive marketplace. Now, as universities potentially become less diverse, there’s a real concern that the larger corporate emphasis on diversity may wane, indirectly affecting MWBEs. If the talent pool shrinks and becomes less diverse, will Fortune 500 companies still prioritize diversity in their vendor and contractor relationships?

Adapting to the New Landscape

The ruling doesn’t signify the end for MWBEs, but it does suggest a need for evolution. MWBEs must become even more exceptional in their services and offerings. They have to be assertive, ensuring that their business value proposition is undeniably compelling.

For MWBEs, this means:

  • Flawless Execution: There’s little room for error. MWBEs must offer unparalleled quality in their services and products, ensuring that their corporate clients see beyond the diversity label to the intrinsic value they bring.
  • Networking and Building Relationships: With potential changes in how corporations view diversity, MWBEs must invest in building strong relationships within these organizations. This involves regular communication, attending industry events, and possibly even seeking mentorship from key stakeholders.
  • Diversifying Client Base: While Fortune 500 contracts are lucrative, MWBEs should also look at diversifying their client base. This might involve seeking contracts with smaller companies, public sector organizations, or even expanding to international markets.
  • Continuous Learning and Training: MWBEs should prioritize continuous improvement, keeping abreast of industry changes, and ensuring that their teams have the necessary skills and knowledge to outpace competitors.

The Role of Fortune 500 Companies

While MWBEs must adapt, Fortune 500 companies also bear some responsibility. Despite the potential legal challenges and changing landscape, these corporations must stand firm in their commitment to diversity, not just in hiring but also in their business relationships. Collaborative initiatives with MWBEs, internship programs, and mentoring opportunities can pave the way for a more inclusive business world.


The Supreme Court’s decision may have changed the playing field, but the game isn’t over. MWBEs have always shown resilience, innovation, and the ability to thrive even in challenging environments. With determination, adaptability, and a relentless focus on excellence, MWBEs can continue to flourish, ensuring that the corporate landscape remains diverse and vibrant.


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