Stockholders and Stakeholders: A New Perspective on Corporate Governance

R. Edward Freeman, David L. Reed

California Management Review · 1983 · 2.6K citations · 8 references

Concepts

Abstract

The purpose of this article is to show how the concept of stakeholders in an organization can be used to understand the tasks of the board of directors. The authors argue that a volunteeristic approach to questions of corporate governance which focuses on effective director behavior is preferable to structural change via legislation.

References

8