This study investigates how adoption of advisory governance policy encourages firms to become more responsive to their shareholders over time. Although shareholder activism is costly and often viewed as unable to drive meaningful change, we identify increasing shareholder voice as an underlying mechanism to explain how advisory policy adoption ultimately reshapes board–shareholder relations. Drawing on signaling theory and behavioral views of board–shareholder dynamics, we test our predictions following the broad shift in corporate board voting policies (...) from plurality to majority vote standards. While prior research shows that majority vote adoption has little to no direct impact on director elections, empirical results from 2,390 firm-year observations provide support for our hypotheses that adoption of this advisory electoral standard signals a willingness to hear shareholder concerns, leading to increased shareholder activism and, in turn, board responsiveness to shareholder proposals. Overall, our results help explain why some firms continue to fight the purely advisory policy and why an era of shareholder empowerment followed the majority vote campaign. (shrink)

Investors concerned about the social and environmental impact of the companies they invest in are increasingly choosing to use voice over exit as a strategy. This article addresses the question of how and why the voice and exit options (Hirschman 1970) are used in social shareholder engagement (SSE) by religious organisations. Using an inductive case study approach, we examine seven engagements by three religious organisations considered to be at the forefront of SSE. We analyse the full engagement (...) process rather than focusing on particular tools or on outcomes. We map the key stages of the engagement processes and the influences on the decisions made at each stage to develop a model of the dynamics of voice and exit in SSE. This study finds that religious organisations divest for political rather than economic motives using exit as a form of voice. The silent exit option is not used by religious organisations in SSE, exit is not always the consequence of unsatisfactory voice outcomes, and voice can continue after exit. We discuss the implications of these dynamics and influences on decisions for further research in engagement. (shrink)

This article surveys arguments for the claim that employees have a right to strong forms of decision-making participation. Itconsiders objections to employee participation based on shareholders' property rights and it claims that those objections are flawed. In particular, it argues the employee participation rights are grounded on the same values as are property rights. The articlesuggests that the conflict between these two competing rights claims is best resolved by limiting the scope of corporate property rightsand by recognizing a strong employee (...) right to co-determine corporate decisions. (shrink)

How is the tension between conflict and deliberation resolved in shareholder engagement? We address this question by studying shareholder engagement as a deliberative process with three stages: establishing dialogue, solution development, and solution implementation. We theorize that two interactionist mechanisms, deliberative interaction and the voicing of disagreement, play different roles at different stages of the process. We test our hypotheses with a proprietary database of 169 environmental, social, and governance engagements with US public companies over 2007–12. We find (...) that while deliberative interaction does not help advance the engagement process, it positively moderates the effect of disagreement in the solution development stage. By contrast, in the solution implementation stage, deliberative interaction amplifies the negative effect of disagreement, thus hindering progress in the engagement. Our article contributes to shareholder engagement, deliberation theory, and interactionist organization theory by establishing that engagement effectiveness is an interactional achievement shaped by both deliberation and disagreement. (shrink)

ABSTRACT:The primacy of shareholder demands in the traditional theory of the firm has typically excluded marginalised stakeholder voices. However, shareholders involved in social shareholder engagement (SSE) purport to bring these voices into corporate decision-making. In response to ethical concerns about the legitimacy of SSE, we use the lens of discourse ethics to provide a normative analysis at both action and constitutional levels. By specifying three normative questions, we extend the analysis of SSE to identify a political role for (...) shareholders in pursuit of the common good. We demonstrate the desirability for SSE to promote regulatory/institutional change to guarantee marginalised stakeholders a voice in corporate decisions that affect them. The theory of SSE we propose thus calls into question the stark separation of the political and economic spheres and reveals an underlying tension, often overlooked, within the responsible investment literature. (shrink)

The 25th anniversary of R. Edward Freeman’s Strategic Management: A Stakeholder Approach provides an opportunity to consider where stakeholder theory has been, where it is going, and how it might influence the behavior of academics conducting stakeholder-oriented research. We propose that Freeman’s early work on the stakeholder concept supports the normative claim that a stakeholder’s contribution to value creation implies a right to stakeholder voice with regard to how a corporation makes decisions. Failure to account for stakeholder voice (...) (especially for non-shareholder stakeholders) works to the detriment of stakeholders. We further propose that business ethicists and stakeholder scholars have a role to play with regard to supporting the interests — including a right to voice — of non-shareholder stakeholders through advocacy, teaching, and scholarship. We use the example of industrial relations teaching and scholarship as a model for future business ethics teaching and scholarship. (shrink)

The 25th anniversary of R. Edward Freeman’s Strategic Management: A Stakeholder Approach provides an opportunity to consider where stakeholder theory has been, where it is going, and how it might influence the behavior of academics conducting stakeholder-oriented research. We propose that Freeman’s early work on the stakeholder concept supports the normative claim that a stakeholder’s contribution to value creation implies a right to stakeholder voice with regard to how a corporation makes decisions. Failure to account for stakeholder voice (...) (especially for non-shareholder stakeholders) works to the detriment of stakeholders. We further propose that business ethicists and stakeholder scholars have a role to play with regard to supporting the interests — including a right to voice — of non-shareholder stakeholders through advocacy, teaching, and scholarship. We use the example of industrial relations teaching and scholarship as a model for future business ethics teaching and scholarship. (shrink)

The 25th anniversary of R. Edward Freeman’s Strategic Management: A Stakeholder Approach provides an opportunity to consider where stakeholder theory has been, where it is going, and how it might influence the behavior of academics conducting stakeholder-oriented research. We propose that Freeman’s early work on the stakeholder concept supports the normative claim that a stakeholder’s contribution to value creation implies a right to stakeholder voice with regard to how a corporation makes decisions. Failure to account for stakeholder voice (...) (especially for non-shareholder stakeholders) works to the detriment of stakeholders. We further propose that business ethicists and stakeholder scholars have a role to play with regard to supporting the interests — including a right to voice — of non-shareholder stakeholders through advocacy, teaching, and scholarship. We use the example of industrial relations teaching and scholarship as a model for future business ethics teaching and scholarship. (shrink)

What do we owe participants in collective pension plans in terms of socially responsible investment (SRI)? This paper draws into question current conventional wisdom on SRI, which considers investor engagement a more effective strategy than divestment to change morally problematic corporate behaviour. More fundamentally, in light of reasonable disagreement about the objective of SRI, the paper argues that participants in collective pension plans are owed some kind of control over their investments. The final section considers four different institutional arrangements to (...) respect this requirement in practice, ranging from democratic decision procedures to the availability of SRI alternatives. (shrink)

IDEAS EXPLAINEDTM Daoism Explained, Hans-Georg Moeller Frege Explained, Joan Weiner Luhmann Explained, Hans-Georg Moeller Heidegger Explained, Graham Harman Atheism Explained, David Ramsay Steele Sartre Explained, ...

What can Hannah Arendt's writings offer to current thinking on the environment? Although there are some obvious connections between her work and current issues in environmental ethics, not very much has been written on the topic. This article argues that Arendt's philosophy is particularly fruitful for environmental thinking because she explicitly links the material and biological conditions of human existence with the political conditions of human freedom. This is articulated in the article as the requirement of both constrained consumption and (...) unconstrained deliberation. The article elaborates these notions before concluding that Arendt's philosophy uniquely combines the existential task of self-understanding with the practical task of confronting our environmental challenges. (shrink)

Is there a principled way to understand what liberal democratic states owe, as a matter of justice, to the victims of disasters? This article shows what is normatively special and distinctive about disasters and argues for the view that there are substantial duties of justice for liberal democratic states. The article rejects both a libertarian and a utilitarian approach to this question and, based on broadly Rawlsian principles, argues for a ‘political definition’ of disasters that is concerned with the restoration (...) of citizens' dignity and their capacities for effective citizenship. (shrink)

The paper is a response to Russell Daylight’s “In the Name of Democracy”. I argue that Daylight’s postmodernist approach to the question of democracy is flawed in several respects. First, he interprets the claim that the meaning of democracy is open to entail that there can be no closure when democratic norms are in dispute. I argue that normative closure is not only essential but also necessary to democratic practice, in particular for democratic legitimacy. I reject the claim that normative (...) closure requires transcendental truths or dubious metaphysical commitments. Second, I critically examine Daylight’s positive proposal for “language-citizens.” I end by offering a sketch of a theory of democratic legitimacy that I believe evades the charges that Daylight and postmodernists offer against normative democratic theory. (shrink)

Drone warfare disrupts the generally understood experience of war, and drone operators’ distance from the battlefield has called into question the authenticity of their experiences as participants in conflict. This article examines the autobiographies of three US military drone operators, analysing how the narration is discursively oriented to particular spatial and ideological perspectives. It argues that the linguistic construction of point of view in each text reflects a dynamic and sometimes paradoxical relationship between drone operators and their distance from the (...) battlefield. Observing the position and shifting of deictic centres, the analysis draws parallels between spatial perspective, ideology, and the social identities of drone operators and victims of drone strikes. It concludes by reflecting on the variety of discursive strategies employed across these texts, and considers this variation itself to be an emerging trend in the discourse of drone warfare. (shrink)

This book argues for moral contractarianism, the view that moral justification rests on the idea of agreement. It critically appraises the views of contemporary contractarians such as John Rawls, David Gauthier, and Thomas Scanlon. It argues for a theory of moral justification that is based on a hypothetical agreement of restricted scope between strangers in the circumstances of justice and that is bound by historical place and circumstance.

The meaning of privacy has been frequently disputed in the philosophical and -/- legal literature since Warren and Brandeis first argued for it as a distinct and -/- important personal and social value. Nevertheless, while the meaning of privacy -/- is held to be vague, there is general agreement that Warren and Brandeis were -/- correct in their assessment of its value. Theorists of democracy, on the other hand, -/- have been ambivalent towards the realm of the private. This paper (...) interrogates the -/- intersection between privacy and democracy, questioning the place of privacy as a -/- distinctly democratic value. (shrink)

In this paper I argue that David Gauthier’s answer to the Why be moral? question fails. My argument concedes the possibility of constrained maximization in all the senses Gauthier intends and does not rely on the claim that it is better to masquerade as a constrained maximizer than to be one. Instead, I argue that once a constrained maximizer in the guise of "economic man" is transformed through an affective commitment to morality into a constrained maximizer in the guise of (...) the "liberal individual," then a purely rational justification for morality must become invisible to the latter. If I can show this, then I can show that rational justification can have no motivational power for the "liberal individual" and that Gauthier fails to answer the problem of moral motivation. (shrink)

This paper argues that the categorical authority of love’s imperatives is derived from a sentimental contract. The problem is defined and the paper argues against two recent attempts to explain the authority of love’s demands by Velleman and Frankfurt. An argument is then set out in which it is shown that a constructivist approach to the problem explains the sources of love’s justifications. The paper distinguishes between the moral and the romantic case but argues that the sources of authority are (...) paralleled in each. The paper ends by asking what we are to say when the demands of morality and the demands of love conflict. (shrink)

In this paper I argue that noise is a significant source of social harm and those harmed by noise often suffer not merely a misfortune but an injustice. I argue that noise is a problem of justice in two ways; firstly, noise is a burden of social cooperation and so the question of the distribution of this burden arises. And, secondly, some noises, although burdensome, are nevertheless just because they arise from practices that are ‘reasonable’. I offer a number of (...) distinctions, between necessary and unnecessary noise, between public and private noise and between reasonable and unreasonable noise. What justice requires will differ according to what kind of noise we consider. My purpose is to give normative urgency to the problem of noise by understanding certain instances of it as not merely annoyances and nuisances but instances of injustice. (shrink)

In this paper I argue that noise is a significant source of social harm and thoseharmed by noise often suffer not merely a misfortune but an injustice. I arguethat noise is a problem of justice in two ways; firstly, noise is a burden of socialcooperation and so the question of the distribution of this burden arises. And,secondly, some noises, although burdensome, are nevertheless just becausethey arise from practices that are ‘reasonable’. I offer a number of distinctions,between necessary and unnecessary noise, (...) between public and private noiseand between reasonable and unreasonable noise. What justice requires willdiffer according to what kind of noise we consider. My purpose is to give normativeurgency to the problem of noise by understanding certain instances ofit as not merely annoyances and nuisances but instances of injustice. (shrink)

Cho and Martinez-Martin (2023) provide a compelling critique of the profound influence that data sourcing for artificial intelligence (AI) has on the healthcare sector. They emphasize the need for...

Research indicates that the integrity demonstrated by a business can have a positive effect on its bottom line. The challenge is to not only embrace and voice ethical principles, but to also practice them in all business transactions. When the world knows that a business can be trusted to act ethically, the results show up not only in higher profits but also in lower employee turnover and better customer relations.This volume of research reinforces our comprehension of marketing as more (...) than a functional area of organisations; marketing spans the boundaries of the enterprise and is the nexus for many of its stakeholders. Therefore, the reader will find chapters relating not only to typical marketing activities such as advertising but also about the importance of communicating ethics in the banking industry and the ethical concerns of promoting tourism. For it is not a matter of simply behaving ethically but of voicing that behaviour and the resulting impact of it on the company, on the consumer, on the shareholder and on society as a whole. (shrink)

Corporate social irresponsibility continues despite institutional pressures for socially responsible behavior, resulting in disasters like the Kalamazoo River Oil Spill and the Exxon Valdez Oil Spill. We conduct an in-depth abductive analysis of the Kalamazoo River Oil Spill to explain factors that enable corporate forgetting work projects. Specifically, we illustrate how a corporation’s political activities allow it to gain the power to suppress its mnemonic community’s voices, thereby attenuating an irresponsible event’s memory from the minds of its stakeholders, protecting its (...) image, and maintaining legitimacy in the shareholder and state’s eyes. We also highlight how the remembrance and forgetting of an irresponsible incident diverges between stakeholders based on their characteristics, future goals, and aspirations and whether they directly suffered from the disaster. Our research makes notable contributions to forgetting work literature by highlighting the importance of corporate political activities and context on the success of corporate forgetting work projects. (shrink)

This article argues that shareholder primacy cannot be defended on the grounds that there is something special about the position of shareholders that grounds a right to preferential treatment on part of management. The notions of property and contract, traditionally thought to ground such a right, are now widely recognized as incapable of playing that role. This leaves shareholder theorists with two options. They can either abandon the project of arguing for their view on broadly deontological grounds and (...) try to advance consequentialist arguments instead, or they can search for other morally relevant properties that could ground shareholder rights. The most sustained argument in the latter vein is Marcoux’s attempt to show that the vulnerability of shareholders mandates that managers are their fiduciaries. I show that this argument leads to the unacceptable conclusion that it would be unethical for corporations to make incomplete contracts with nonshareholding stakeholders. (shrink)