Integrative stakeholder engagement: a review and synthesis of economic, critical, and politico-ethical perspectives

This chapter addresses firms’ stakeholder relationships in the politicised global economy with a focus on the following two questions: what is stakeholder engagement about and what should guide corporations when they engage with their stakeholders. Answers to these questions are provided from three distinct viewpoints, namely the economic, critical, and politico-ethical perspectives, on stakeholder engagement. The main argument of the chapter is that since each of the stakeholder engagement perspectives holds a different conception of society, their definitions of and purpose ascribed to stakeholder engagement are also different. After analysing the strengths and weaknesses of each of three perspectives, the chapter develops an integrative perspective on stakeholder engagement. The chapter ends with the discussion on the implications of the new, more holistic perspective on engaging with stakeholders.