As President Donald Trump delivers his first address in his second term to Congress tonight, business leaders around the world will watch and listen for insights into his agenda. Retailers will also closely follow his remarks as many prepare for Q1 reporting and begin to implement their own agendas for the next few years.
Retailers should keep their eyes on three under-appreciated policy areas:
Regulatory and Administrative State Reforms
It is no secret at this point that President Trump is making deregulation and the dismantling of the administrative state a key focus of his administration. From various executive orders to the investigations of the Department of Government Efficiency (DOGE), the President is looking to fulfill his campaign promises and pick up where his last term left off by tearing apart many layers of red tape.
While some of this may not necessarily apply to the retail sector, companies should pay special attention to how the federal agencies and rules that regulate their specific businesses are impacted. For example, JP Morgan Chase CEO Jamie Dimon was spotted on Capitol Hill last month with a hand-out showing all the regulators that create rules affecting the company.
The federal government will also undergo radical changes in who has regulatory authority due to the Supreme Court’s 2024 ruling in Loper-Bright v. Raimondo. This ruling matters for federal agency operations—especially for businesses—because it makes it clear that Congress, not agencies, has a constitutional duty to write laws.
Consumer Welfare in Antitrust Policymaking
The Biden administration’s progressive approach to antitrust policy was outlandish by many measures. From changing the focus of the Federal Trade Commission (FTC) away from “protecting consumers” (its mandate from Congress) to “fair competition” (a subjective, unclear standard), to breaking countless agency norms and using foreign competitors to advise on frivolous claims against American companies, Biden’s antitrust enforcers aggressively abused their power to intimidate businesses that are broadly loved and valued by Americans.
Under President Trump, there is already a shift away from Biden’s radical posture. Trump himself has pledged a “return to common sense,” which should certainly apply to antitrust policy. In her confirmation hearing last month, nominee for Justice Department antitrust chief Gail Slater noted that she sees antitrust as a “scalpel” to target existing evidence of consumer harm, rather than as an aggressive hammer that Biden’s enforcers used to chase nails that often didn’t exist.
While there hasn’t been much action on the antitrust front yet under President Trump, retailers have reasons to be cautiously optimistic that his enforcers will have a closer eye on protecting consumer welfare and free markets than Biden’s.
A Shift Back to Embracing American Innovation and Creativity
American freedom has traditionally given creators and entrepreneurs the space to innovate in how they provide goods and services to consumers. This culture of ingenuity has given rise to groundbreaking advancements in retail, enabling businesses—large and small—to better serve consumers through competition, convenience and choice. However, in recent years, this engine of progress has faced growing skepticism from some policymakers who view American entrepreneurial success not as a testament to innovation, but as a problem to be solved. This shift threatened the very foundation that has made the U.S. the global leader in commerce and creativity. Under Trump, attitudes toward American business innovation seem to be shifting back in a positive direction.
When lawmakers unnecessarily restrict the tools businesses rely on, it’s not merely large companies that suffer—it’s the creators, independent artisans, small business owners and consumers who ultimately lose out. Overregulation and hostility toward market-driven solutions undermine the ability of businesses to adapt, expand and meet evolving customer needs. The result? Fewer choices, higher costs and an unnecessary hindrance of the entrepreneurial spirit that has long set America apart.
President Trump and many in his administration seem to recognize this, and retailers should be engaging to ensure the government implements policies that support, rather than hinder, innovation. Embracing technology, competition and consumer-driven growth will ensure the U.S. remains the best place to launch and scale a business.
Retailers and entrepreneurs should remind policymakers that when they support American innovation, they support our nation’s economic prosperity.
Conclusion
As President Trump’s second administration takes shape, retailers must stay engaged. From regulatory reforms that could help decrease costs to antitrust enforcement properly focused on consumers, there are clear opportunities for a pro-growth agenda that benefits consumers and businesses alike. Most importantly, a renewed embrace of American innovation and creativity signals a shift away from heavy-handed government intervention and toward an environment where entrepreneurs and businesses can thrive. This presents a chance for retailers to not only navigate these policy changes but to help shape them in a way that fosters competition, choice and economic growth.
While the new administration rolls out its agenda, those in the retail industry should watch closely because the decisions made today will define America’s prosperity tomorrow.