The Stakeholder Approach to Strategic Management

The Stakeholder Approach to Strategic Management focuses on considering the interests and influences of all parties involved with a business—not just shareholders. This includes employees, customers, suppliers, communities, and others impacted by the company’s actions. By understanding and addressing the needs and concerns of these groups, businesses can create more sustainable strategies that enhance long-term value and foster positive relationships. This approach contrasts with a narrow focus on profits alone, promoting a broader view of success that incorporates social responsibility and ethical practices in decision-making.