A firm that manages for stakeholders allocates more resources to satisfy the needs and demands of its legitimate stakeholders than would be necessary to simply retain their willful participation in the firm's productive activities. We explain why this sort of behavior unlocks additional...

Despite its remarkable rise in popularity, stakeholder theory continues to be criticized for a dearth of empirical studies as well as ambiguity in the underlying theory. Several scholars have argued that resource dependence theory provides a useful lens through which to view firm-stakeholder...