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Stakeholder engagement strategies, national institutions, and firm performance: a configurational perspective

Journal

Strategic Management Journal

Subject

Strategy and Entrepreneurship

Publishing details

Strategic Management Journal 2020 Vol 41:10 p 1869-1900

Authors / Editors

Gupta K;Crilly D;Greckhamer T

Biographies

Donal Crilly

Publication Year

2020

Abstract

Research documents the performance effects of attending to shareholders and treating employees well but underplays national differences in the relative power of labor and capital. We advance a configurational perspective that acknowledges the fit between stakeholder engagement, context, firm attributes and performance. As a cornerstone of this perspective, we develop a typology of stakeholder engagement strategies expressing how firms navigate the tension between conforming with local expectations—by prioritizing shareholders or employees, according to context—and being distinctive—by diverging from their peers. Analyzing a cross-national sample of firms from 2004 to 2011, we identify combinations of engagement strategies, firm attributes, and contexts linked to high performance. Our findings highlight the multiple context-dependent paths which link stakeholder engagement to high firm performance.

Available on ECCH

No


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