If you need an accessible version of this item please contact JSTOR User Support

Participation and Property Rights

Sheldon Leader
Journal of Business Ethics
Vol. 21, No. 2/3, The Ethics of Participation (Sep., 1999), pp. 97-109
Published by: Springer
Stable URL: http://www.jstor.org/stable/25074159
Page Count: 13
  • Download PDF
  • Cite this Item

You are not currently logged in.

Access your personal account or get JSTOR access through your library or other institution:

login

Log in to your personal account or through your institution.

If you need an accessible version of this item please contact JSTOR User Support
Participation and Property Rights
Preview not available

Abstract

This paper puts forward an argument for stakeholder rights. It begins by exploring two major answers to the question, 'in whose interests should the commercial company function?'. One claims parity for other stakeholders alongside the shareholder on the basis of a theory of property rights, and another on a theory of citizenship. Each of these answers, it is argued, fail to convince. The way forward is to recast the initial question, not asking in whose interest the company should function, but which type of interest, potentially located in any sort of person, might the company serve. That interest is identified and distinguished from others that people affected by corporations might have. These distinctions then provide the basis for an argument in favour of enfranchising two sorts of individual: sovereign stakeholders, in charge of participating in the formulation and revision of company objectives; and secondary stakeholders, who along with those in the first category monitor the means used to achieve those objectives. The paper concludes that these distinctions should lead us to reconsider other elements in the corporate governance debate, such as the nature of a director's fiduciary duty; and the difference between democracy in corporations and democracy in the wider society.

Page Thumbnails

  • Thumbnail: Page 
[97]
    [97]
  • Thumbnail: Page 
98
    98
  • Thumbnail: Page 
99
    99
  • Thumbnail: Page 
100
    100
  • Thumbnail: Page 
101
    101
  • Thumbnail: Page 
102
    102
  • Thumbnail: Page 
103
    103
  • Thumbnail: Page 
104
    104
  • Thumbnail: Page 
105
    105
  • Thumbnail: Page 
106
    106
  • Thumbnail: Page 
107
    107
  • Thumbnail: Page 
108
    108
  • Thumbnail: Page 
109
    109