Cornell Law Review

The Illusory Promise of Stakeholder Governance

By Lucien Bebchuk and Roberto Tallarita

Abstract Corporate purpose is now the focus of a fundamental and heated debate, with rapidly growing support for the proposition that corporations should move from shareholder value maximization to “stakeholder governance” and “stakeholder capitalism.” This Article critically examines the increasingly influential “stakeholderism” view, according to which corporate leaders should give weight not only to the…

Jul 2020