Stakeholder capitalism: the notion that a firm focuses on meeting the needs of all its stakeholders: customers, employees, partners, the community, and society as a whole
The New Corporation: Creating An Economic System That Works For All – 20.01
- How do we find our way to a society focused on the common good instead of greed and selfishness? Does our “socially responsible” corporation structure allow us to have other values besides profit? Joel Bakan, Jennifer Abbot, Elizabeth Davis and Kevin McGarry will guide us to examine these issues.
- Joel Bakan’s book “the New Corporation” and Jennifer Abbot and Joel’s film by the same name, calls out what they call the corporate takeover of society. From gatherings of corporate elites in Davos, to climate change and spiraling inequality, the rise of authoritarian leaders to COVID and racial injustice, our panel of media activists and academics looks at corporations’ devastating power and the systemic changes required. Countering this is a groundswell of resistance worldwide as people take to the streets in pursuit of justice and the planet’s future.
- The members of our panel examine how a “just recovery” means addressing the three crises: climate, COVID and capitalism. The panel will look beyond the old corporate mentality and guide people toward a reimagining of democracy, collective action, structural equality and how people can get involved.
- Business Can’t Take Democracy for Granted – Rebecca Henderson, HBR, 01.21
- Democracy Is in Trouble. Business Must Help Fix It – Rebecca Henderson, HBR, 07.20
Larry Fink Says Stakeholder Capitalism Is the Way Forward – Bloomberg New Economy Forum 2020, 19.11.20
Financial Times – 12.19
- The FT’s Gillian Tett, Katie Martin and Andrew Hill outline the case for reinventing and reforming the model of free enterprise capitalism to deliver more profit with purpose and examine where opportunities for this change might lie in the year ahead
- The FT New Agenda – The long-term health of free enterprise capitalism will depend on delivering profit with purpose. Companies will come to understand that this combination serves their self-interest as well as their customers and employees. Without change, the prescription risks being far more painful.
- Revisiting the Business Roundtable’s ‘Stakeholder Capitalism,’ one year later – 19.08.20
- A Good Year for Stakeholder Capitalism – 20.08.20
- Why America’s CEOs Are Talking About Stakeholder Capitalism – 21.11.19
Steve Denning, Forbes (01.20): (…) In opting for stakeholder capitalism, Schwab missed a better option: customer capitalism. The most successful firms today are those that pursue what Peter Drucker long ago saw to be “true North” for a corporation: “there is only one valid purpose of a corporation: to create a customer”. Generating fresh value for customers is the foundation the basis for generating benefits for all the stakeholders. To be sure, Drucker also saw that there were many other things firms needed to take care of, including safety, integrity, legality, sustainability, and inspiring workplaces, but the overriding goal, the raison d’etre of the firm, which all its forces of a firm must single-mindedly support, if the firm to survive, is to create customers.
Read part 2: The Triumph Of Customer Capitalism