Journal of Business Ethics

, Volume 99, Supplement 1, pp 93–109

Sustainable Stakeholder Capitalism: A Moral Vision of Responsible Global Financial Risk Management

Authors

Article

DOI: 10.1007/s10551-011-1157-6

Cite this article as:
Petrick, J.A. J Bus Ethics (2011) 99: 93. doi:10.1007/s10551-011-1157-6

Abstract

The author identifies the major micro-, meso-, and macro-level financial risk shifting factors that contributed to the Great Global Recession and how the absence of a compelling moral vision of responsible financial risk management perpetuated the economic crisis and undermined the recovery by blind reliance upon insufficiently accountable bailouts. The author offers a new theoretical model of Sustainable Stakeholder Capitalism by exercising moral imagination which inclusively and moderately balances four multi-level factors: types of capitalism, moral theories, human nature drives, and credit risk profiles. Finally, the author recommends micro-, meso-, and macro-level practical reforms to prevent a recurrence of the current economic freefall, to re-create systemic global financial institution integrity, and to promote responsible risk management for sustainable global prosperity for current and future generations.

Keywords

Sustainable Stakeholder Capitalism (SSC)System integrity capacityMoral imaginationResponsible financial risk management

Copyright information

© Springer Science+Business Media B.V. 2012