Genuine stakeholder capitalism
Any good brand strategy recognises the need to address all stakeholders in the benefits analysis
The theme at Davos this year was stakeholder capitalism, which can be defined as a system in which corporations are orientated to serve the interests of all their stakeholders: employees, customers, suppliers, communities and shareholders. The context was a sustainable world and the hypothesis was that, if corporations serve all their stakeholders, this will make a significant contribution to sustainability and, by extension, to a better world for all of us to live in, prosper and enjoy.
The debate immediately becomes competitive rather than collaborative, which undermines creativity. It becomes a stand-off between shareholder capitalism or maximising shareholder value (MSV), as championed by American economist Milton Friedman, who said: “The business of business is business.”..
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.