DOI
10.5840/beq20132314
Abstract
This paper argues that the notion of value has been overly simplified and narrowed to focus on economic returns. Stakeholder theory provides an appropriate lens for considering a more complex perspective of the value that stakeholders seek as well as new ways to measure it. We develop a four-factor perspective for defining value that includes, but extends beyond, the economic value stakeholders seek. To highlight its distinctiveness, we compare this perspective to three other popular performance perspectives. Recommendations are made regarding performance measurement for both academic researchers and practitioners. The stakeholder perspective on value offered in this paper draws attention to those factors that are most closely associated with building more value for stakeholders, and in so doing, allows academics to better measure it and enhances managerial ability to create it.
Document Type
Post-print Article
Publication Date
2013
Publisher Statement
Copyright © 2013 Cambridge University Press. Article first published online: January 2015.
DOI: 10.5840/beq20132314.
The definitive version is available at: https://www.cambridge.org/core/journals/business-ethics-quarterly/article/stakeholder-theory-value-and-firm-performance/B84D07B5B6241F83EC7D904E28B21015.
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Full Citation:
Harrison, Jeffrey S. and Andrew C. Wicks. "Stakeholder Theory, Value, and Firm Performance." Business Ethics Quarterly 23, no. 1 (2013): 97-124. https://doi.org/10.5840/beq20132314.
Recommended Citation
Harrison, Jeffrey S. and Andrew C. Wicks. "Stakeholder Theory, Value, and Firm Performance." Business Ethics Quarterly 23, no. 1 (2013): 97-124. https://doi.org/10.5840/beq20132314.