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Multiple Stakeholder Orientation in UK Companies and the Implications for Company Performance

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  • Gordon E. Greenley
  • Gordon R. Foxall

Abstract

Orientation to the diverse interests of stakeholder groups is central to strategic planning, and failure to address the interests of multiple stakeholder groups may be detrimental to company performance. However, some companies may be unable to address all these interests, owing to a scarcity of resources, and the impact of multiple stakeholder orientation may be influenced by the environment. Despite calls by leading writers in the literature, there is no empirical evidence about the potential association of orientation to multiple stakeholders with company performance. The results of a study of UK companies designed to elucidate this association are reported in this paper. Although the results give some support to the proposition that orientation to multiple stakeholders is positively associated with performance, such associations are contingent on the external environment, as they are moderated by competitive hostility, after controlling for the intervening effects of market growth.

Suggested Citation

  • Gordon E. Greenley & Gordon R. Foxall, 1997. "Multiple Stakeholder Orientation in UK Companies and the Implications for Company Performance," Journal of Management Studies, Wiley Blackwell, vol. 34(2), pages 259-284, March.
    • Handle: RePEc:bla:jomstd:v:34:y:1997:i:2:p:259-284
    DOI: 10.1111/1467-6486.00051
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