Skip to main content

Towards a Property Rights Foundation for a Stakeholder Theory of the Firm

Abstract

This research paper suggests that due to the changing nature of the firm in today’s business world, viewing shareholders as the sole residual claimants is an increasingly tenuous description of the actual relationships among a firm’s various stakeholders. Thus, a shareholder wealth perspective is increasingly unsatisfactory for the purpose of accurately answering the two fundamental questions concerning the theory of the firm: that of economic value creation, and the distribution of that economic value. The thesis of the current paper is that examining the firm from a property rights perspective of incomplete contracting and implicit contracting provides a solid economic foundation for the revitalization of a stakeholder theory of the firm in strategic management and in expanding the resource-based theory of the firm. In order to make progress in strategic management, a clearer conceptual and empirical understanding of implicit contracting is required. The perspective outlined in this research paper provides for a more accurate direction towards both measuring economic value creation, and analyzing the distribution of that value. It is also submitted that such a perspective has important implications for corporate governance, particularly when managers must balance the legitimate and conflicting claims among stakeholders to achieve the goal of enhancing economic value.

This is a preview of subscription content, access via your institution.

References

  • P. Aghion P. Bolton (1992) ArticleTitleAn ȁ8Incomplete Contracts’ Approach to Financial Contracting Review of Economic Studies 59 473–494

    Google Scholar 

  • B.R. Agle R.K. Mitchell J.A. Sonnenfeld (1999) ArticleTitleWho Matters to CEOs? An Investigation of Stakeholder Attributes and Salience, Corporate Performance, and CEO values Academy of Management Journal 42 507–525

    Google Scholar 

  • R.V. Aguilera A. Cuervo-Cazurra (2004) ArticleTitleCodes of Good Governance Worldwide: What is the Trigger? Organization Studies 25 417–446

    Google Scholar 

  • R.V. Aguilera G. Jackson (2003) ArticleTitleThe Cross-National Diversity of Corporate Governance: Dimensions and Determinants Academy of Management Review 28 IssueID3 447–465

    Google Scholar 

  • A. Alchian H. Demsetz (1972) ArticleTitleProduction, Information Costs and Economic Organization American Economic Review 62 777–795

    Google Scholar 

  • K. Andrews (1971, 1980) The Concept of the Corporation Irwin Homewood, IL

    Google Scholar 

  • I. Ansoff (1965) Corporate Strategy McGraw Hill New York, NY

    Google Scholar 

  • M. Aoki (1984) The Cooperative Game Theory of the Firm Clarendon Press Oxford, UK

    Google Scholar 

  • M. Aoki (2001) Towards a Comparative Institutional Analysis MIT Press Cambridge, MA

    Google Scholar 

  • N. Argyres J.P. Liebeskind (1998) ArticleTitlePrivatizing the Intellectual Commons: Universities and the Commercialization of Biotechnology Journal of Economic Behavior and Organization 35 427–454

    Google Scholar 

  • K.J. Arrow (1974) The Limits of Organization W.W. Norton New York, NY

    Google Scholar 

  • I. Ayres R. Gertner (1989) ArticleTitleFilling Gaps in Incomplete Contracts: An Economic Theory of Default Rules Yale Law Journal 99 87–130

    Google Scholar 

  • C.W.F. Baden-Fuller (1989) ArticleTitleExit from Declining Industries and the Case of Steel Castings Economic Journal 99 IssueIDDecember 949–961

    Google Scholar 

  • G. Baker R. Gibbons K.J. Murphy (2001) ArticleTitleBringing the Market Inside the Firm? American Economic Review 91 IssueID2 212–218

    Google Scholar 

  • G. Baker R. Gibbons K.J. Murphy (2002) ArticleTitleRelational Contracts and the Theory of the Firm Quarterly Journal of Economics 117 39–83

    Google Scholar 

  • C.I. Barnard (1938) The Functions of the Executive Harvard University Press Cambridge, MA

    Google Scholar 

  • J. Barney (1991) ArticleTitleFirm Resources and Sustained Competitive Advantage Journal of Management 17 99–120

    Google Scholar 

  • J. Barney (2002) Gaining and Sustaining Competitive Advantage EditionNumber2 NJ: Prentice-Hall Upper Saddle River

    Google Scholar 

  • M.E. Barth M. McNichols (1994) ArticleTitleEstimation and Market Valuation of Environmental Liabilities Relating to Superfund Sites Journal of Accounting Research 32 IssueIDSupplement 177–209

    Google Scholar 

  • Y. Barzel (1997) Economic Analysis of Property Rights Cambridge University Press Cambridge, MA

    Google Scholar 

  • A.A Berle (1931) ArticleTitleCorporate Powers as Powers in Trust Harvard Law Review 44 1049–1074

    Google Scholar 

  • A.A. Berle G.C. Means (1932) The Modern Corporation and Private Property Macmillan New York, NY

    Google Scholar 

  • A.A. Berle ((1954)) The 20th Century Capitalist Revolution Harcourt, Brace & World New York, NY

    Google Scholar 

  • S.L. Berman A.C. Wicks S.L. Kotha T.M. Jones (1999) ArticleTitleDoes Stakeholder Orientation Matter? The Relationship Between Stakeholder Management Models and Firm Financial Performance Academy of Management Journal 42 IssueID5 488–506

    Google Scholar 

  • F. Black M. Scholes (1973) ArticleTitleThe Pricing of Options and Corporate Liabilities Journal of Political Economy 81 637–659

    Google Scholar 

  • M.M. Blair (1995) Ownership and Control Brookings Institution Washington, D.C.

    Google Scholar 

  • M.M. Blair (1996) Wealth Creation and Wealth Sharing Brookings Institution Washington, D.C

    Google Scholar 

  • M.M. Blair (1998) ArticleTitleFor Whom Should Corporations be Run?: An Economic Rationale for Stakeholder Management Long Range Planning 31 IssueID2 195–200

    Google Scholar 

  • M.M. Blair L. Stout (1999) ArticleTitleA Team Production Theory of Corporate Law Virginia Law Review 85 IssueID2 247–328

    Google Scholar 

  • J.R. Boatright (2002) ArticleTitleContractors as Shareholders: Reconciling Stakeholder Theory with the Nexus-of-Contracts Firm Journal of Banking and Finance 26 1837–1852

    Google Scholar 

  • A.W.A. Boot S.I. Greenbaum A.V. Thakor (1993) ArticleTitleReputation and Discretion in Financial Contracting American Economic Review 83 IssueID5 1165–1183

    Google Scholar 

  • R.M. Bowen L. DuCharme D. Shores (1995) ArticleTitleStakeholders’ Implicit Claims and Accounting Method Choice Journal of Accounting and Economics 20 255–295

    Google Scholar 

  • Bowman, E.H. and M. Useem: 1995. ‘‘The anomalies of corporate governance’’, in E.H. Bowman and B. Kogut (eds.), (New York: NY: Oxford University Press), pp. 21–48).

  • S. Brammer A. Millington (2004) ArticleTitleThe Development of Corporate Charitable Contributions in the U.K.: A Stakeholder Analysis Journal of Management Studies 41 IssueID8 1411–1434

    Google Scholar 

  • K.D. Brouthers G.J. Bamossy (1997) ArticleTitleThe Role of Key Stakeholders in International Joint Venture Negotiations: Case Studies from Eastern Europe Journal of International Business Studies 28 IssueID2 285–308

    Google Scholar 

  • R.A. Buchholz S.B. Rosenthal (2004) ArticleTitleStakeholder Theory and Public Policy: How Governments Matter Journal of Business Ethics 51 IssueID2 143–153

    Google Scholar 

  • K. Buysse A. Verbeke (2003) ArticleTitleProactive Environmental Strategies: A Stakeholder Management Perspective Strategic Management Journal 24 IssueID5 453–470

    Google Scholar 

  • A.B. Carroll (1989) Business and Society: Ethics and Stakeholder Management South-western Cincinnati, OH

    Google Scholar 

  • A.A. Chandler (1962) Strategy and Structure MIT Press Cambridge, MA

    Google Scholar 

  • A.A. Chandler (1977) The Visible Hand Belknap Press Cambridge, MA

    Google Scholar 

  • A.A. Chandler (1990) Scale and Scope Belknap Press Cambridge, MA

    Google Scholar 

  • G. Charreaux P. Desbrieres (2001) ArticleTitleCorporate Governance: Stakeholder Versus Shareholder Value Journal of Management and Governance 5 107–128

    Google Scholar 

  • T. Chi (1994) ArticleTitleTrading in Strategic Resources: Necessary Conditions, Transaction Cost Problems, and Choice of Exchange Structure Strategic Management Journal 15 271–290

    Google Scholar 

  • J. Child S.B. Rodrigues (2004) ArticleTitleRepairing the Breach of Trust in Corporate Governance Corporate Governance 12 IssueID2 143–152

    Google Scholar 

  • T. Clarke (1998) ArticleTitleThe Stakeholder Corporation: A Business Philosophy for the Information Age Long Range Planning 31 IssueID2 182–194

    Google Scholar 

  • M. Clarkson (1995) ArticleTitleA Stakeholder Framework for Analyzing and Evaluating Corporate Social Performance Academy of Management Review 20 IssueID1 92–117

    Google Scholar 

  • R.H. Coase (1937) ArticleTitleThe Nature of the Firm Economica 4 386–405

    Google Scholar 

  • R.H. Coase (1960) ArticleTitleThe Problem of Social Cost Journal of Law and Economics 3 1–44

    Google Scholar 

  • R.W. Coff (1999) ArticleTitleWhen Competitive Advantage doesn’t Lead to Performance: Resource-Based Theory and Stakeholder Bargaining Power Organization Science 10 119–133

    Google Scholar 

  • B. Cornell A.C. Shapiro (1987) ArticleTitleCorporate Stakeholders and Corporate Finance Financial Management Spring 5–14

    Google Scholar 

  • R.M. Cyert J.G. March (1963) A Behavioral Theory of the Firm Prentice-Hall Englewood Cliffs, NJ

    Google Scholar 

  • W.N. Davidson D.L. Worrell (1992) ArticleTitleThe Effects of Product Recall Announcements on Shareholder Wealth Strategic Management Journal 13 467–473

    Google Scholar 

  • L.E. DeAngelo (1982) ArticleTitleUnrecorded Human Assets and the “Hold-Up” Problem Journal of Accounting Research 20 272–274

    Google Scholar 

  • H. Demsetz (1967) ArticleTitleToward a Theory of Property Rights American Economic Review 57 347–359

    Google Scholar 

  • J.S. Demski (2003) ArticleTitleCorporate Conflicts of Interest Journal of Economic Perspectives 17 IssueID2 51–72

    Google Scholar 

  • I. Dierickx K. Cool (1989) ArticleTitleAsset Stock Accumulation and Sustainability of Competitive Advantage Management Science 35 1504–1514

    Google Scholar 

  • E.M. Dodd (1932) ArticleTitleFor Whom are Corporate Managers Trustees? Harvard Law Review 45 1145–1163

    Google Scholar 

  • T. Donaldson (1999) ArticleTitleMaking Stakeholder Theory Whole Academy of Management Review 24 237–241

    Google Scholar 

  • T. Donaldson T.W. Dunfee (1994) ArticleTitleToward a Unified Concept of Business Ethics: Integrative Social Contracts Theory Academy of Management Review 19 252–284

    Google Scholar 

  • T. Donaldson L.E. Preston (1995) ArticleTitleThe Stakeholder Theory of the Corporation: Concepts, Evidence and Implications Academy of Management Review 20 IssueID1 85–91

    Google Scholar 

  • C. Driscoll M. Starik (2004) ArticleTitleThe Primordial Stakeholder: Advancing the Conceptual Consideration of Stakeholder Status for Natural Environment Journal of Business Ethics 49 IssueID1 55–73

    Google Scholar 

  • K. Foss N. Foss (2001) ArticleTitleAssets, Attributes, and Ownership International Journal of the Economics of Business 8 19–37

    Google Scholar 

  • R.E. Freeman (1984) Strategic Management: A Stakeholder Approach Prentice Hall Englewood Cliffs, NJ

    Google Scholar 

  • R.E. Freeman W.M. Evan (1990) ArticleTitleCorporate Governance: A Stakeholder Interpretation Journal of Behavioral Economics 19 IssueID4 337–359

    Google Scholar 

  • R.E. Freeman J. Liedtka (1997) ArticleTitleStakeholder Capitalism and the Value Chain European Management Journal 15 IssueID3 286–296

    Google Scholar 

  • R.E. Freeman D.L. Reed (1983) ArticleTitleStockholders and Stakeholders: A New Perspective on Corporate Governance California Management Review 25 IssueID3 88–106

    Google Scholar 

  • A.L. Friedman S. Miles (2002) ArticleTitleDeveloping Stakeholder Theory Journal of Management Studies 39 IssueID1 1–21

    Google Scholar 

  • J. Frooman (1999) ArticleTitleStakeholder Influence Strategies Academy of Management Review 24 191–205

    Google Scholar 

  • D. Gioia (1999) ArticleTitlePracticability, Paradigms and Problems in Stakeholder Theorizing Academy of Management Review 24 228–232

    Google Scholar 

  • A. Grandori (2004) Corporate Governance and Firm Organization Oxford University Press New York, NY

    Google Scholar 

  • G.E. Greenley G.R. Foxall (1997) ArticleTitleMultiple Stakeholder Orientation in UK Companies and the Implications for Company Performance Journal of Management Studies 34 IssueID2 259–284

    Google Scholar 

  • S. Grossman O. Hart (1986) ArticleTitleThe Costs and the Benefits of Ownership: A Theory of Vertical and Lateral Integration Journal of Political Economy 94 691–719

    Google Scholar 

  • H.B. Hansmann (1996) The Ownership of Enterprise Harvard University Press Cambridge, MA

    Google Scholar 

  • J.S. Harrison R.E. Freeman (1999) ArticleTitleStakeholders, Social Responsibility and Performance: Empirical Evidence and Theoretical Perspectives Academy of Management Journal 42 IssueID5 479–487

    Google Scholar 

  • O. Hart (1995) Firms, Contracts, and Financial Structure Clarendon Press Oxford

    Google Scholar 

  • O. Hart J. Moore (1990) ArticleTitleProperty Rights and the Nature of the Firm Journal of Political Economy 98 1119–1158

    Google Scholar 

  • C.E. Helfat (1997) ArticleTitleKnow-How and Asset Complementarity and Dynamic Capability Accumulation: The Case of R&D Strategic Management Journal 18 339–360

    Google Scholar 

  • I. Henriques P. Sadorsky (1999) ArticleTitleThe Relationship Between Environmental Commitment and Managerial Perception of Stakeholder Importance Academy of Management Journal 42 IssueID1 89–99

    Google Scholar 

  • C.W.L. Hill T.M. Jones (1992) ArticleTitleStakeholder-Agency Theory Journal of Management Studies 29 IssueID2 131–154

    Google Scholar 

  • A. Hillman G.D. Keim (2001) ArticleTitleShareholder Value, Stakeholder Management and Social Issues What’s the Bottom Line? Strategic Management Journal 22 125–139

    Google Scholar 

  • A. Hillman G.D. Keim R.A. Luce (2001) ArticleTitleBoard Composition and Stakeholder Performance: Do Stakeholder Directors Make a Difference? Business and Society 40 IssueID3 295–314

    Google Scholar 

  • B. Holmstrom (1982) ArticleTitleMoral Hazard in Teams Bell Journal of Economics 13 IssueID2 324–340

    Google Scholar 

  • B. Holmstrom (1999) ArticleTitleThe Firm as a Subeconomy Journal of Law, Economics, and Organization 15 IssueID1 74–102

    Google Scholar 

  • J. Hosseni S. Brenner (1992) ArticleTitleThe Stakeholder Theory of the Firm: A Methodology to Generate Value Matrix Weights Business Ethics Quarterly 2 IssueID2 99–120

    Google Scholar 

  • M. Huse V.P. Rindova (2001) ArticleTitleStakeholders’ Expectations of Board Roles: The Case of Subsidiary Boards Journal of Management and Governance 5 153–178

    Google Scholar 

  • R.A. Ippolito W.H. James (1992) ArticleTitleLBOs, Reversions, and Implicit Contracts Journal of Finance 47 IssueID1 139–167

    Google Scholar 

  • H. Itami T.W. Roehl (1987) Mobilizing Invisible Assets Harvard University Press Cambridge, MA

    Google Scholar 

  • C.D. Ittner D.L. Larcker (1997) ArticleTitleAre non-Financial Measures Leading Indicators for Financial Performance? An Analysis of Customer Satisfaction Journal of Accounting Research 35 1–35

    Google Scholar 

  • I.M. Jawahar G.L. McLaughlin (2001) ArticleTitleToward a Descriptive Stakeholder Theory: An Organizational Life-Cycle Approach Academy of Management Review 26 397–414

    Google Scholar 

  • M.C. Jensen (2001) ArticleTitleValue Maximization, Stakeholder Theory, and the Corporate Objective Function Journal of Applied Corporate Finance 14 IssueID3 8–21

    Google Scholar 

  • M.C. Jensen W. Meckling (1976) ArticleTitleTheory of the Firm: Managerial Behavior, Agency Costs and Capital Structure Journal of Financial Economics 3 305–380 Occurrence Handle10.1016/0304-405X(76)90026-X

    Article  Google Scholar 

  • V.M. Jog I. Kotlyar D.G. Tate (1993) ArticleTitleStakeholder Losses in Corporate Restructuring: Evidence from Four Cases in the North American Steel Industry Financial Management Autumn 185–201

    Google Scholar 

  • T.M. Jones (1995) ArticleTitleInstrumental Stakeholder Theory: A Synthesis of Ethics and Economics: A Survey Academy of Management Review 20 IssueID2 404–437

    Google Scholar 

  • T.M. Jones A.C. Wicks (1999) ArticleTitleConvergent Stakeholder Theory Academy of Management Review 24 IssueID2 206–221

    Google Scholar 

  • J. Kaler (2003) ArticleTitleDifferentiating Stakeholder Theories Journal of Business Ethics 46 IssueID1 71–83

    Google Scholar 

  • G. Kassinis N. Vafeas (2002) ArticleTitleCorporate Boards and Outside Stakeholders as Determinants of Environmental Litigation Strategic Management Journal 23 IssueID5 399–415

    Google Scholar 

  • J. Kim J.T. Mahoney (2002) ArticleTitleResource-Based and Property Rights Perspectives on Value Creation: The Case of Oil Field Unitization Managerial and Decision Economics 23 IssueID4 225–245

    Google Scholar 

  • Kim, J. and J.T. Mahoney: 2005, Property Rights Theory, Transaction Costs Theory, and Agency Theory: An Organizational Economics Approach to Strategic Management. Managerial and Decision Economics, forthcoming

  • R. Klein V. Crawford A. Alchian (1978) ArticleTitleVertical Integration, Appropriable Rents and the Competitive Contracting Process Journal of Law and Economics 21 297–326

    Google Scholar 

  • T.A. Kochan S.A. Rubinstein (2000) ArticleTitleToward a Stakeholder Theory of the Firm: The Saturn Partnership Organization Science 11 IssueID4 367–386

    Google Scholar 

  • A.A. Lado M.C. Wilson (1994) ArticleTitleHuman Resource Systems and Sustained Competitive Advantage: A Competence-Based Perspective Academy of Management Review 19 699–727

    Google Scholar 

  • M.J. Leiblein D.J. Miller (2003) ArticleTitleAn Empirical Examination of Transaction- and Firm-Level Influences on the Vertical Boundaries of the Firm Strategic Management Journal 24 839–859

    Google Scholar 

  • G.D. Libecap (1989) Contracting for Property Rights Cambridge University Press New York, NY

    Google Scholar 

  • J.P. Liebeskind (1996) ArticleTitleKnowledge, Strategy, and the Theory of the Firm Strategic Management Journal (Winter Special Issue) 17 93–107

    Google Scholar 

  • J.M. Logsdon K. Yuthas (1997) ArticleTitleCorporate Social Performance, Stakeholder Orientation, and Organizational Moral Development Journal of Business Ethics 16 1213–1226

    Google Scholar 

  • B. Lowendahl O. Revang (1998) ArticleTitleChallenges to Existing Theory in a Postindustrial Society Strategic Management Journal 19 IssueID8 755–773

    Google Scholar 

  • P. Luoma J. Goodstein (1997) ArticleTitleStakeholders and Corporate Boards Institutional Influence on Board Composition and Structure Academy of Management Journal 42 IssueID5 53–563

    Google Scholar 

  • T.L. Madsen E. Mosakowski S. Zaheer (2003) ArticleTitleKnowledge Retention and Personnel Mobility: The Nondisruptive Effects of Inflows of Experience Organization Science 14 173–191

    Google Scholar 

  • J.F. Mahon (2002) ArticleTitleCorporate Reputation: A Research Agenda Using Strategy and Stakeholder Literature Business and Society 41 IssueID4 415–445

    Google Scholar 

  • J.M. Mahoney J.T. Mahoney (1993) ArticleTitleAn Empirical Investigation of the Effect of Corporate Antitakeover Amendments on Stockholder Wealth Strategic Management Journal 14 IssueID1 17–31

    Google Scholar 

  • Mahoney, J.T.: 1992. ‘‘Organizational Economics Within the Conversation of Strategic Management’’, in P. Shrivastava, A. Huff and J. Dutton (eds.), Advances in strategic Management, pp. 103––155.

  • J.T. Mahoney (2001) ArticleTitleA Resource-Based Theory of Sustainable Rents Journal of Management 27 651–660

    Google Scholar 

  • J.T. Mahoney (2005) Economic Foundations of Strategy Sage Publications Thousand Oaks, CA

    Google Scholar 

  • J.T. Mahoney J.R. Pandian (1992) ArticleTitleThe Resource-Based View Within the Conversation of Strategic Management Strategic Management Journal 13 363–380

    Google Scholar 

  • J.G. March H.A. Simon (1958) Organizations John Wiley and Sons New York, NY

    Google Scholar 

  • J.G. March (1991) ArticleTitleExploration and Exploitation in Organizational Learning Organization Science 1 71–87

    Google Scholar 

  • S.K. McEvily B. Chakravarthy (2002) ArticleTitleThe Persistence of Knowledge-Based Advantage: An Empirical Test for Product Performance and Technological Knowledge Strategic Management Journal 23 285–305

    Google Scholar 

  • J.B. McGuire A. Sundgren T. Schneeweis (1988) ArticleTitleCorporate Social Responsibility and Firm Financial Performance Academy of Management Journal 31 IssueID4 854–877

    Google Scholar 

  • D. McLaren (2004) ArticleTitleGlobal Stakeholders: Corporate Accountability and Investor Engagement Corporate Governance 12 IssueID2 191–201

    Google Scholar 

  • A. McWilliams D. Siegel (2001) ArticleTitleCorporate Social Responsibility: A Theory of the Firm Perspective Academy of Management Review 26 IssueID1 117–127

    Google Scholar 

  • M., D. Nigh Meznar C.C.Y. Kwok (1994) ArticleTitleEffects of Announcements of Withdrawal From South Africa on Stockholder Wealth Academy of Management Journal 37 IssueID6 1633–1648

    Google Scholar 

  • G.J. Miller (1992) Managerial Dilemmas: The Political Economy of Hierarchy Cambridge University Press New York, NY

    Google Scholar 

  • D. Miller J. Shamsie (1996) ArticleTitleThe Resource-Based View of the Firm in Two Environments: The Hollywood Film Studios from 1936 to 1965 Academy of Management Journal 39 519–543

    Google Scholar 

  • R.K. Mitchell B.R. Agle D.J. Wood (1997) ArticleTitleToward a Theory of Stakeholder Identification and Salience: Defining the Principle of Who and What Really Counts Academy of Management Review 22 853–896

    Google Scholar 

  • Morris, S.A., K.A. Rehbein, J.C. Hosseni and R.A. Armacost: 1990, ‘‘Building a Current Profile of Socially Responsive Firms’’, IAB Proceedings : 297–303.

  • R.R. Nelson S.G. Winter (1982) An Evolutionary Theory of Economic Change Harvard University Press Cambridge, MA

    Google Scholar 

  • D.C. North (1990) Institutions, Institutional Change and Economic Performance Harvard University Press Cambridge, MA

    Google Scholar 

  • O’Connor, M.A.: 1993, ‘‘The Human Capital Era: Reconceptualizing Corporate Law to Facilitate Labor-Management Co-operation’’, Cornell Law Review : 899–965.

  • S. Ogden R. Watson (1999) ArticleTitleCorporate Performance and Stakeholder Management: Balancing Shareholder and Customer Interests in the UK Privatized Water Industry Academy of Management Journal 42 IssueID5 526–538

    Google Scholar 

  • T.C. Opler S. Titman (1994) ArticleTitleFinancial Distress and Corporate Performance Journal of Finance 49 IssueID3 1015–1040

    Google Scholar 

  • E.W. Orts A. Strudler (2002) ArticleTitleThe Ethical and Environmental Limits of Stakeholder Theory Business Ethics Quarterly 12 215–233

    Google Scholar 

  • L.J. Oswald (1998) ArticleTitleShareholders vs. Stakeholders: Evaluating Corporate Constituency Statutes Under the Takings Clause Journal of Corporation Law Fall 1–28

    Google Scholar 

  • J.E. Oxley (1999) ArticleTitleInstitutional Environment and the Mechanism of Governance: The Impact of Intellectual Property Protection on the Structure of Inter-Firm Alliances Journal of Economic Behavior and Organization 38 283–309

    Google Scholar 

  • R. Parrino M.S. Weisbach (1999) ArticleTitleMeasuring Investment Distortions Arising from Stockholder-Bondholder Conflicts Journal of Financial Economics 53 3–42

    Google Scholar 

  • E.T. Penrose (1959) The Theory of the Growth of the Firm John Wiley New York, NY

    Google Scholar 

  • M. Peteraf (1993) ArticleTitleThe Cornerstones of Competitive Advantage: A Resource-Based View Strategic Management Journal 14 179–191

    Google Scholar 

  • R.A. Phillips R.E. Freeman A.C Wicks (2003) ArticleTitleWhat Stakeholder Theory is Not Business Ethics Quarterly 13 IssueID4 479–502

    Google Scholar 

  • R.A. Phillips J. Reichart (2000) ArticleTitleThe Environment as a Stakeholder? A Fairness-Based Approach Journal of Business Ethics 23 IssueID2 185–197

    Google Scholar 

  • C.N. Pitelis (2004) ArticleTitle(Corporate) Governance, (Shareholder) Value and (Sustainable) Economic Performance Corporate Governance 12 IssueID2 210–223

    Google Scholar 

  • J. Pontiff A. Shleifer M.S. Weisbach (1990) ArticleTitleReversions of Pension Assets After Takeovers Rand Journal of Economics 21 600–613

    Google Scholar 

  • L.E. Preston (1990) ArticleTitleStakeholder Management and Corporate Performance Journal of Behavioral Economics 19 IssueID4 361–375

    Google Scholar 

  • R.G. Rajan L. Zingales (2001) ArticleTitleThe Firm as a Dedicated Hierarchy: A Theory of the Origins and Growth of Firms Quarterly Journal of Economics 116 IssueID3 805–51

    Google Scholar 

  • J. Rawls (1971) A Theory of Justice Belknap Press of Harvard University Press. Cambridge, MA

    Google Scholar 

  • M. J Roe (2001) ArticleTitleThe Shareholder Wealth Maximization Norm and Industrial Organization University of Pennsylvania Law Review 149 IssueID6 2063–2082

    Google Scholar 

  • T Rowley (1997) ArticleTitleMoving Beyond Dyadic Ties: A Network Theory of Stakeholder Influences Academy of Management Review 22 125–139

    Google Scholar 

  • Rumelt, R.P.: 1984. ‘‘Toward a Strategic Theory of the Firm’’, in R. Lamb (eds.), (Englewood Cliffs, NJ: Prentice Hall), pp. 556–570.

  • L.V. Ryan M. Schneider (2003) ArticleTitleInstitutional Investor Power and Heterogeneity: Implications for Agency and Stakeholder Theories Business and Society 42 IssueID4 388–429

    Google Scholar 

  • E. Scholes D. Clutterback (1998) ArticleTitleCommunication with Stakeholders: An Integrated Approach Long Range Planning 31 IssueID2 227–238

    Google Scholar 

  • J. Schumpeter (1954) History of Economic Analysis Oxford University Press New York, NY

    Google Scholar 

  • S. Scott V. Lane (2000) ArticleTitleStakeholder Approach to Organizational Identity Academy of Management Review 25 IssueID1 43–62

    Google Scholar 

  • P. Selznick (1957) Leadership in Administration: A Sociological Interpretation University of California Press Berkeley, CA

    Google Scholar 

  • N.A. Shankman (1999) ArticleTitleReframing the Debate Between Agency and Stakeholder Theories of the Firm Journal of Business Ethics 19 IssueID4 319–334

    Google Scholar 

  • Shleifer, A. and L.H. Summers: 1988. ‘‘Breach of Trust in Hostile Takeovers’’, in A.J. Auerbach (eds.), (Chicago: University of Chicago Press), pp. 33–56.

  • A. Shleifer R. Vishny (1997) ArticleTitleA Survey of Corporate Governance Journal of Finance 52 737–783

    Google Scholar 

  • H.A. Simon (1947) Administrative Behavior Macmillan New York, NY

    Google Scholar 

  • H.A. Simon (1952) ArticleTitleA Comparison of Organization Theories Review of Economic Studies 20 IssueID1 40–48

    Google Scholar 

  • H.A. Simon (1978) ArticleTitleRationality as Process and as Product of Thought American Economic Review 68 IssueIDMay 1–16

    Google Scholar 

  • M.B. Slovin M.E. Sushka J.A. Polonchek (1993) ArticleTitleThe Value of Bank Durability: Borrowers as Bank Stakeholders Journal of Finance 48 IssueID11 247–266

    Google Scholar 

  • T. Sougiannis (1994) ArticleTitleThe Accounting-Based Valuation of Corporate R&D The Accounting Review 69 44–68

    Google Scholar 

  • E. Sternberg (1996) ArticleTitleStakeholder Theory Exposed Corporate Governance Quarterly 2 IssueID1 4–18

    Google Scholar 

  • E. Sternberg (2000) ArticleTitleThe Defects of Stakeholder Theory Corporate Governance 5 IssueID1 3–10

    Google Scholar 

  • L.A. Stout (2002) ArticleTitleBad and Not-So-Bad Arguments for Shareholder Primacy Southern California Law Review 75 IssueID5 1189–1209

    Google Scholar 

  • L.N. Takeyama (1997) ArticleTitleThe Intertemporal Consequences of Unauthorized Reproduction of Intellectual Property Journal of Law and Economics 40 511–522

    Google Scholar 

  • D.J. Teece (1986) ArticleTitleProfiting from Technological Innovation: Implications for Integration, Collaboration, Licensing, and Public Policy Research Policy 15 285–305

    Google Scholar 

  • D.J. Teece G. Pisano A. Shuen (1997) ArticleTitleDynamic Capabilities and Strategic Management Strategic Management Journal 17 IssueIDWinter 11–25

    Google Scholar 

  • G. Thompson C. Driver (2002) ArticleTitleCorporate Governance and Democracy: The Stakeholder Debate Revisited Journal of Management and Governance 6 IssueID4 111–130

    Google Scholar 

  • L.K. Trevino G.R. Weaver (1999) ArticleTitleThe Stakeholder Research Tradition: Converging Theorists – Not Convergent Theory Academy of Management Review 24 IssueID2 222–228

    Google Scholar 

  • S.A. Waddock S. Graves (1997) ArticleTitleThe Corporate Social Performance-Financial Performance Link Strategic Management Journal 19 303–317

    Google Scholar 

  • S. Weintraub (1977) Modern Economic Thought University of Pennsylvania Press Philadelphia, PA:

    Google Scholar 

  • B. Wernerfelt (1984) ArticleTitleA Resource-Based View of the Firm Strategic Management Journal 5 171–180

    Google Scholar 

  • D. Wheeler M. Sillanpea (1998) ArticleTitleIncluding Stakeholders: The Business Case Long Range Planning 31 IssueID2 201–210

    Google Scholar 

  • O.E. Williamson (1985) The Economics Institutions of Capitalism Free Press New York, NY

    Google Scholar 

  • O.E. Williamson (1996) The Mechanisms of Governance Oxford University Press Oxford

    Google Scholar 

  • D. Windsor (2002) ArticleTitleStakeholder Responsibilities: Lessons for Managers Journal of Corporate Citizenship 6 IssueIDSummer 19–35

    Google Scholar 

  • M.I. Winn L.R. Keller (2001) ArticleTitleA Modeling Methodology for Multi-Objective Multi-Stakeholder Decisions: Implications for Research Journal of Management Inquiry 10 IssueID2 166–181

    Google Scholar 

  • C. Woo G. Willard U Daellenbach (1992) ArticleTitleSpin-Off Performance: A case of Overstated Expectations? Strategic Management Journal 13 IssueID5 433–447

    Google Scholar 

  • L. Zingales (2000) ArticleTitleIn Search of New Foundations Journal of Finance 55 IssueID4 1623–1653

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and Permissions

About this article

Cite this article

Asher, C.C., Mahoney, J.M. & Mahoney, J.T. Towards a Property Rights Foundation for a Stakeholder Theory of the Firm. J Manage Governance 9, 5–32 (2005). https://doi.org/10.1007/s10997-005-1570-2

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10997-005-1570-2

Keywords

  • Corporate Governance
  • Research Paper
  • Current Paper
  • Actual Relationship
  • Industrial Organization