Search results

Stakeholders often engage in actions aimed at either benefitting or punishing firms for their behaviour. Such behaviours can have very serious implications for various types of firm performance, including financial performance. Though one might expect that the investigation of possible precursors of such “stakeholder action” would be a priority of researchers in stakeholder theory, to date research within the stakeholder literature directed towards understanding stakeholder behaviour has been somewhat scarce. In this chapter, I present common themes and assumptions that prevail in the existing research on stakeholder action, identify certain important questions concerning such assumptions and suggest avenues for future research on stakeholder behaviour.

The purpose of this paper is to explore the role of inscriptions on social media in enabling action at a distance. The purpose is addressed by investigating how and by what mechanisms inscriptions on social media can shape action at a distance.

We conduct a qualitative analysis of the Facebook page of a crowdfunded grassroots initiative, where the founders and their stakeholders interact.

We identify two mechanisms by which inscriptions on social media can shape action at a distance: a flow of micro-level inscriptions and a joint stabilisation of inscriptions. By signalling achievement, creating a sense of closeness and highlighting powerful explanations, these mechanisms guide what action at a distance is taken and by whom. Action thereby becomes a mutual exercise between centres of calculation and distant peripheries, highly intertwined with the stability of inscriptions. The two mechanisms indicate the importance of the boundaryless nature of the inscriptions in shaping action at a distance.

Our findings indicate new forms of inscriptions and, consequently, of novel conditions for action at a distance. These insights add to the literature on Web 2.0 and accounting, which has mainly revolved around the relationship between centres of calculation and distant peripheries that act upon each other rather than around the inscriptions that enable such action.

The purpose of this paper is to examine how legitimacy is gained, maintained or repaired through direct action with salient stakeholders and/or through external reporting, by using a number of empirical case vignettes within a single case study organisation.

The study investigates a foreign affiliate of a large multinational organisation involved in an environmentally sensitive industry. Data collection included semi-structured interviews with 26 participants, organisational reports and participation in the organisation’s annual environmental management seminar and a stakeholder engagement meeting.

Four vignettes featuring environmental issues illustrate the complexity of organisational responses. Issue visibility, stakeholder salience and stakeholder interconnectedness influence a company’s action to manage legitimacy. In the short-term, environmental issues which affected salient stakeholders resulted in swift and direct action to protect pragmatic legitimacy, but external reporting did not feature in legitimacy management efforts. Highly visible issues to the public, regulators and the media, however, resulted in direct action together with external reporting to manage wider stakeholder perceptions. External reporting was used superficially, along with a broad suite of communication strategies, to gain legitimacy in the long-term decision about the company’s future in New Zealand.

This paper outlines how episodic encounters to manage strategic legitimacy with salient stakeholders in the short-term are theoretically distinct, but nonetheless linked to continual efforts to maintain institutional legitimacy. Case vignettes highlight how pragmatic legitimacy via dispositional legitimacy can be managed with direct action in the short-term to influence a limited range of salient stakeholders. The way external reporting features in legitimacy management is limited, although this has predominantly been the focus of prior research. Only where an environmental incident damages legitimacy to a larger number of stakeholders is external reporting also used to buttress community support.

The concept of legitimacy is comprehensively applied, linking the strategic and institutional arms of legitimacy and illustrating how episodic actions are taken to manage legitimacy in the short-term with continual efforts to manage legitimacy in the long-term. Stakeholder salience and networks are brought in as novel theoretical extensions to provide a deeper understanding of the interrelationships between these key concepts with a unique case study.

The objective of this study is to investigate how country risk, different political actions from the government and bureaucratic behavior influence the activities in industry supply chains (SCs) in emerging markets. The main objective of this study is to investigate the influence of these external stakeholders’ elements to the demand-side and supply-side drivers and barriers for improving competitiveness of Ready-Made Garment (RMG) industry in the way of analyzing supply chain. Considering the phenomenon of recent change in the RMG business environment and the competitiveness issues this study uses the principles of stakeholder and resource dependence theory and aims to find out some factors which influence to make an efficient supply chain for improving competitiveness. The RMG industry of Bangladesh is the case application of this study. Following a positivist paradigm, this study adopts a two phase sequential mixed-method research design consisting of qualitative and quantitative approaches. A tentative research model is developed first based on extensive literature review. Qualitative field study is then carried out to fine tune the initial research model. Findings from the qualitative method are also used to develop measures and instruments for the next phase of quantitative method. A survey is carried out with sample of top and middle level executives of different garment companies of Dhaka city in Bangladesh and the collected quantitative data are analyzed by partial least square-based structural equation modeling. The findings support eight hypotheses. From the analysis the external stakeholders’ elements like bureaucratic behavior and country risk have significant influence to the barriers. From the internal stakeholders’ point of view the manufacturers’ and buyers’ drivers have significant influence on the competitiveness. Therefore, stakeholders need to take proper action to reduce the barriers and increase the drivers, as the drivers have positive influence to improve competitiveness.

This study has both theoretical and practical contributions. This study represents an important contribution to the theory by integrating two theoretical perceptions to identify factors of the RMG industry’s SC that affect the competitiveness of the RMG industry. This research study contributes to the understanding of both external and internal stakeholders of national and international perspectives in the RMG (textile and clothing) business. It combines the insights of stakeholder and resource dependence theories along with the concept of the SC in improving effectiveness. In a practical sense, this study certainly contributes to the Bangladeshi RMG industry. In accordance with the desire of the RMG manufacturers, the research has shown that some influential constructs of the RMG industry’s SC affect the competitiveness of the RMG industry. The outcome of the study is useful for various stakeholders of the Bangladeshi RMG industry sector ranging from the government to various private organizations. The applications of this study are extendable through further adaptation in other industries and various geographic contexts.

As a rule, common courts are hermetic organizations, separated from their stakeholders by procedures based on legal provisions. For these reasons, they are often perceived as unreliable and non-transparent, and as such, they do not inspire trust among stakeholders. The authors posit that the court’s community involvement may lead to the increased accountability and legitimacy of courts, which should in turn result in jurisprudence benefits. This paper discusses the concept of community involvement of courts, demonstrates how this idea may be implemented and explains its benefits for courts.

The results of an action research study undertaken between June 2013 and March 2018 at the Regional Court in Gdansk (Poland) are discussed.

The results highlight factors underlying the implementation of the idea of community involvement, as well as the areas in which courts take these actions, and explain how it influences their accountability and legitimacy. This research describes the interests of different stakeholders and proposes a range of actions that may be taken by courts while cooperating with stakeholders to achieve the aims of community involvement. It also proposes a set of steps that enable courts to implement the idea of community involvement.

This paper develops the idea of the community involvement of courts, which may be used as an operating rule for public institutions to increase their legitimacy and accountability and explain its introduction in the context of courts. It offers a universal framework for the community involvement of courts that can be used in the context of any court in both the continental and Anglo-Saxon systems.

The purpose of this paper is to introduce and test a portfolio view of a firm’s corporate social responsibility (CSR) activities. Drawing from stakeholder theory and the dynamic capabilities literature, the authors introduce CSR portfolio diversity and dynamism as key portfolio characteristics that have differential impacts across short- and long-term performance contexts.

The study draws from the Kinder, Lydenberg and Domini database to examine CSR portfolio diversity and dynamism across seven dimensions of CSR activities. The authors test the direct and indirect relationships between CSR portfolio characteristics and both short- and long-term performance outcomes to assess the opportunities and challenges associated with managing a diverse and dynamic CSR portfolio.

The findings suggest that a diverse portfolio of CSR activities positively impacts long-term performance; however, CSR portfolio diversity yields negative performance outcomes in the short-term. The authors also find that CSR portfolio dynamism moderates the relationship between CSR level and firm performance, such that a dynamic portfolio of CSR positively moderates the relationship between a firm’s CSR level and long-term performance; however, it negatively moderates the relationship between CSR level and short-term performance.

This study integrates insights from the literature that examine the independent effects of individual CSR activities and the broader perspective that assesses the aggregated summation of CSR activities in relation to firm performance. By taking a portfolio perspective, the present study provides a unique integration of these two research streams to examine the performance implications of engaging in a diverse and dynamic range of CSR activities.

The purpose of this study is to examine corporate disclosure of stakeholder-oriented actions on Twitter in response to COVID-19 during the pandemic outbreak and to empirically investigate whetherfirms’ social performance and their financial resilience impact on their engagement in, and communication of, stakeholder-oriented COVID-19 actions.

This study scrapes a sample of tweets communicated by major global listed firms between March 1, 2020 and April 30, 2020 and identifies disclosures that mention firm engagement in stakeholder-oriented actions in response to the COVID-19 pandemic. Cross-sectional regression analysis is used to examine the relationship between firms’ social performance and the number of tweets they post about stakeholder-oriented COVID-19 actions. Further, firms’ financial resilience is examined as a moderating factor of this relationship.

The results show that firms with better social performance are more likely to engage in and, hence, communicate stakeholder-oriented actions for the COVID-19 pandemic on Twitter. Moreover, it is evident that firms with better social performance communicate more stakeholder-oriented actions only when they belong to industries that have not been severely impacted by the pandemic.

This study has two important contributions. First, this study provides contemporary evidence of corporate disclosure of firms and their stakeholder-oriented actions on Twitter in response to the COVID-19 pandemic during the initial outbreak period. Second, it reveals insights into what characteristics drive firms to engage in costly corporate social responsibility (CSR) activities, and promote them on social media, in a period characterized by high economic uncertainty.

The purpose of the current study is to revisit the relationship between CSR and firm market performance. The authors examine whether a gap between the firm's internal and external CSR moderates the CSR-firm market performance relationship. Additionally, the authors propose that the moderating effect of the CSR gap on this relationship is mediated by firm visibility.

The initial sample is the Fortune 500 firms during the years 2004–2013. The final panel data sample consisted of 1,300 firms and 6,128 observations from 2004 to 2013. The authors obtained data from five different sources: Compustat North America Fundamental Annual, GMI Ratings, Execucomp, IBES and KLD Stats.

The results of this research find evidence that both internal CSR and external CSR were positively related to firm market performance, but that the relationship was stronger for firms with equal emphasis on external and internal CSR activities. Furthermore, the negative moderating effect of the CSR gap was mediated by the firm visibility.

The findings of the study advance our understanding of the CSR-FP relationship. First, the theoretical arguments and the empirical evidence highlight that the CSR-FP relationship exists and that its magnitude is contingent upon the gap between internal and external CSR investments. Second, the authors enhanced theoretical understanding of how and why CSR relates to firm performance by exploring firm visibility as a mediator. Specifically, the authors introduced firm visibility as a mechanism which explains the effect of the interaction of overall CSR with the CSR gap on firm performance.

Implementing climate change adaptation measures immediately is considered both to minimize considerably negative impacts on biodiversity as well as on outdoor recreation in protected area management. This study aims to give answers, why, however, climate change issues receive very limited implementation by practitioners in day-to-day-management.

Using a motivation model by Rheinberg (2006), a more differentiated understanding was gained why stakeholders took almost no action regarding climate change adaptation. A participatory spatial scenario method including a map exercise was used to motivate stakeholders to develop, discuss, exchange and negotiate strategies under different possible future developments and their implementation in protected area management.

According to the motivation model, taking action is dependent on a number of factors and will only happen when all correlations are positive. It can be shown that for adaptation to climate change, concerning almost all of the various factors, no stimuli existed or actors expected a positive outcome when taking action. More motivation was generated for halting the loss of biodiversity and visitor management. In the participatory spatial scenario planning work, stakeholders from different sectors and decision-makers found consensus to implement integrated strategies, considering adaptation to climate change, reduction of greenhouse gases, better protection of biodiversity and different future developments in outdoor recreation activities.

The paper demonstrates the importance of single motivation factors such as perceived competence, abilities to act and perceived positive outcomes including rewards for taking action. Using participatory spatial scenario planning methods can be powerful tools to stimulate joint action, though implementing organizations must be willing to make real use of the outcome of such work.

Food supply chains (FSCs) are becoming increasingly complex and vulnerable to recall risks due to quality failures. Measures for supply chain risk management can minimize these recall risks. However, this responsibility must be shared by all stakeholders in the chain. This study aims to analyze the roles of different stakeholders in managing risks in the events of food recalls.

A systematic literature review was carried out, and 110 articles were explored to identify risk management actions and to link them to the role of stakeholders involved in FSC recall.

The study found that nine stakeholders were responsible for 25 hazard management actions related to food safety and traceability systems, regulatory and preventive measures, and control and response mechanisms for food recalls in the FSC.

This article contributes to the literature by proposing an explanatory map associating risk management actions to different stakeholders in food recall. The actions were grouped according to whether they were prevention actions to avoid a food recall or contention actions to limit the negative economic effects and maintain the health of the population.