Stakeholder Management in the News
Here’s a periodic roundup of news and research in the field of stakeholder management and enterprise engagement. Hanyang University in South Korea Launches Asia Center for Economics of Mutuality
Law Journal Article Against “Crony Stakeholder Capitalism” Supports EEA Definition of Stakeholder Capitalism
The FruitGuys: A Case Study in Caring Capitalism
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Hanyang University opens the Asia Center for Economics of Mutuality....Law journal on “crony” stakeholder capitalism supports the Enterprise Engagement Alliance’s definition of stakeholder capitalism...World Economic Forum case study exemplifies stakeholder capitalism in practice.
Hanyang University in South Korea Launches Asia Center for Economics of Mutuality
Un-Chan Chung, Former South Korea Prime Minister, and Kook Hyun Moon, former CEO of Yuhan-Kimberly, widely known for bringing sustainability into the Korean business mainstream, attended the Next Impact Forum in Seoul Korea, Nov. 6, 2025, at Hanyang University, announcing the launch of the new center.
The goal is to serve as a leading hub for innovation and leadership in the Economics of Mutuality, with the goal to advance more sustainable and equitable economic models across Asia. See ESM: Economics of Mutuality Is Out to Change Capitalism.
The program focused on implementing the principles in various aspects of business.
EoM is a not-for-profit founded by the privately held Mars Inc., which decided over a decade ago to share its recipe for success with organizations throughout the world to help make capitalism a force for good.
Law Journal Article Against “Crony Stakeholder Capitalism” Supports EEA Stakeholder Capitalism Definition
This 2022 article in the Kentucky Law Journal by Stefan J. Padfield, Executive Director of the National of the Free Enterprise Project for the National Center for Public Policy Research, and former Professor of Law at the University of Akron, highlights the importance of definitions. Still without a dictionary definition, stakeholder capitalism continues to draw criticism based on ideas the field’s founders and practitioners do not appear to have ever imagined. In his critique of stakeholder capitalism, Padfield correctly identifies the existence of four definitions, one of which focuses on value creation (the definition used by the Enterprise Engagement Alliance based on decades of usage), the others based on variations of “woke” capitalism. These other definitions appear to have resulted from the Business Roundtable August 2019 pronouncement that its members would now focus on creating value for all stakeholders with no clear action plan. This roughly coincided with similar statements made by the World Economic Forum and leading capitalists such as Marc Benioff, CEO of Salesforce, attending the 2020 Davos Conference, and by Blackrock CEO Larry Fink in his annual letter to shareholders that year. None of the organizations clearly defined the commitment and all but the World Economic Forum have have backed off the topic.
Padfield's research paper concludes that only stakeholder capitalism grounded in enhancing financial efficiency, i.e., better long-term net-present-value (NPV) estimation is legitimate. That is precisely the definition used by the Enterprise Engagement Alliance published in Forbes in August 2020: “enhancing returns for investors only by creating value for customers, employees, distribution and supply chain partners, communities, and the environment.”
All other forms, he writes--motivated by politics, ideology, or reputational concerns—should face enhanced judicial scrutiny due to their potential for cronyism, inefficiency, or illegality. Thus, stakeholder capitalism should not replace but rather refine shareholder capitalism, ensuring social goals are pursued only when they align with shareholder value.
Precisely. For those companies that wish to focus on a purpose that could detract from shareholder optimization, the author did not mention that 37 states, half of them deemed “Red,” have public benefits corporation statutes specifically designed to enable for-profit companies to focus on addressing social, environmental, or other issues as part of their missions. Evidence is increasing that a focus on creating value versus extracting value actually enhances long-term returns for investors, because extraction strategies carry greater risks.
The FruitGuys: A Case Study in Caring Capitalism
A recent World Economic Forum article, “How Caring Companies Are Redefining Capitalism,” by Isaac Getz and Laurent Marbacher, highlights The FruitGuys, a California-based fruit-delivery company, as an example of a business integrating care into its operations and culture.
Founded to provide fresh fruit to workplaces and homes, the privately-held FruitGuys has developed its model around what the authors call “unconditional care.” The company’s approach includes a strong focus on customer service and social impact, such as delivering fruit donations to communities in need and supporting small farms. According to its 2024 Impact Report, The FruitGuys delivered 441,360 boxes—about 24.5 million servings of fruit—and donated over 34% of annual profits to charitable causes that address hunger and support sustainable agriculture.
Financial data for The FruitGuys is limited, as it is privately held, but third-party business databases estimate annual revenues at approximately $29 million, with between 80 and 100 employees. Publicly available information also suggests steady operational activity and continuing investments in community programs.
In recognition of its combined business and social impact, The FruitGuys was named one of Real Leaders’ 2025 Top Impact Companies, an annual ranking that honors private enterprises pursuing both profitability and positive societal outcomes.
The World Economic Forum case study positions The FruitGuys within a broader discussion about how companies are redefining capitalism to include relational and social dimensions alongside financial performance. The example illustrates how some privately held businesses are experimenting with care-based principles in their operations, stakeholder relationships, and reporting practices.
Enterprise Engagement Alliance Services
Celebrating our 15th year, the Enterprise Engagement Alliance helps organizations enhance performance through:1. Information and marketing opportunities on stakeholder management and total rewards:
- ESM Weekly on stakeholder management since 2009. Click here to subscribe; click here for media kit.
- RRN Weekly on total rewards since 1996. Click here to subscribe; click here for media kit.
- EEA YouTube channel on enterprise engagement, human capital, and total rewards since 2020
Management Academy to enhance future equity value for your organization.3. Books on implementation: Enterprise Engagement for CEOs and Enterprise Engagement: The Roadmap.
4. Advisory services and research: Strategic guidance, learning and certification on stakeholder management, measurement, metrics, and corporate sustainability reporting.
5. Permission-based targeted business development to identify and build relationships with the people most likely to buy.
Contact: Bruce Bolger at TheICEE.org; 914-591-7600, ext. 230.
