WordValestakeholder capitalism
the idea that companies should serve all affected groups, not only shareholders
In more detail
an economic system in which companies consider the interests of all stakeholders—including employees, customers, suppliers, and communities—not just shareholders and profits
Examples
- The company adopted stakeholder capitalism by investing in employee benefits and environmental sustainability.
How to use stakeholder capitalism
Stakeholder capitalism is a normative economic philosophy and business framework, primarily used in formal, policy-oriented, and corporate contexts since the early 2010s. It contrasts with traditional shareholder primacy and emphasizes balancing profit-seeking with social and environmental responsibility. The term is common in business ethics discourse, corporate governance debates, and management literature, often deployed by proponents advocating for systemic corporate reform.
Common phrases
- embrace stakeholder capitalism
- transition to stakeholder capitalism
- advocate for stakeholder capitalism
- stakeholder capitalism model
- stakeholder capitalism approach
- principles of stakeholder capitalism
Synonyms
inclusive capitalism · conscious capitalism · multi-stakeholder capitalism · responsible capitalism · corporate social responsibility capitalism
Opposites
shareholder capitalism · laissez-faire capitalism
Word family
stakeholder · capitalism · stakeholder capitalist
A common mistake
Learners sometimes confuse stakeholder capitalism with socialism or the complete rejection of profit; in reality, it retains capitalism and profit-seeking but prioritizes additional stakeholder interests alongside shareholder returns.
Save this word in WordVale and it comes back for review right before you'd forget it — with pronunciation, real examples, and optional translations. One purchase, no subscription.
Get WordValeFREE 7-DAY TRIAL · iPHONE & iPAD