Scarlet Letter By Nathaniel Hawthorne Essays -

Scarlet Letter by Nathaniel Hawthorne The Scarlet Letter by Nathaniel Hawthorne is, on many levels, a struggle between good and evil. Each character falls on the spectrum of good and evi. Arthur Dimmesdale, an agent of God, is the town's most respected reverend. He is a deeply moral man who regrets the sins he has committed. He practices self-mutilation to punish himself for an affair with a married woman, Hester Prynne. Hester wears the Scarlet Letter, said to be the mark of the Black Man, as a punishment for her sin. Pearl, her daughter, asks her mother, IS there such a Black Man? And didst thou ever meet him? And is this his mark? (170) Book Reports

Free Essays on The Deliverance From Traditional Black Writings

Oxherding Tale is a slave narrative that is unlike conventional black novels. Charles Johnson transforms the traditional black writings into a form of literature that provides meaning, existence, and freedom to blacks in literature. These traditional writings are what Johnson calls â€Å"protest novels† that relate to the hardships, racism, and the oppression placed on blacks (Johnson IX). Johnson feels that these novels are not focusing on significant points and should focus more on blacks experiencing spiritual and mental freedom regardless of enslavement. The characters who obtain freedom are adaptive and submissive, being able to give up their present notions of the self to gain a more purified form of the self, which serves as their source of existence. The static, fixed characters are consumed with their personal beliefs and unresponsive to others in their surroundings. This self-absorbed demeanor prevents them from being adaptive to their experiences. The self i s not found, and therefore, existence will never occur. History is presented in the novel indirectly through the lives of the characters, and the experiences they undergo mark historical events. The mindset of the characters also makes up experiences, which construct history. The uprising of the slaves at Cripplegate is an example of how experiences can yield historical events. George was one of the slaves that escaped after the rebellion, and after his escape, the Soulcatcher captured and killed him (Johnson 174). The uprising of the slaves is a historical event that determined the fate of George and other slaves (Johnson 65). History is also presented in the form of slave narratives, which provides a first-person account of life as a slave. Slave narratives allow slaves to convey their feelings about living in enslavement. These narratives are valuable resources in understanding the experiences and the state of mind of slaves. History is presented ... Free Essays on The Deliverance From Traditional Black Writings Free Essays on The Deliverance From Traditional Black Writings Oxherding Tale is a slave narrative that is unlike conventional black novels. Charles Johnson transforms the traditional black writings into a form of literature that provides meaning, existence, and freedom to blacks in literature. These traditional writings are what Johnson calls â€Å"protest novels† that relate to the hardships, racism, and the oppression placed on blacks (Johnson IX). Johnson feels that these novels are not focusing on significant points and should focus more on blacks experiencing spiritual and mental freedom regardless of enslavement. The characters who obtain freedom are adaptive and submissive, being able to give up their present notions of the self to gain a more purified form of the self, which serves as their source of existence. The static, fixed characters are consumed with their personal beliefs and unresponsive to others in their surroundings. This self-absorbed demeanor prevents them from being adaptive to their experiences. The self i s not found, and therefore, existence will never occur. History is presented in the novel indirectly through the lives of the characters, and the experiences they undergo mark historical events. The mindset of the characters also makes up experiences, which construct history. The uprising of the slaves at Cripplegate is an example of how experiences can yield historical events. George was one of the slaves that escaped after the rebellion, and after his escape, the Soulcatcher captured and killed him (Johnson 174). The uprising of the slaves is a historical event that determined the fate of George and other slaves (Johnson 65). History is also presented in the form of slave narratives, which provides a first-person account of life as a slave. Slave narratives allow slaves to convey their feelings about living in enslavement. These narratives are valuable resources in understanding the experiences and the state of mind of slaves. History is presented ...

The Business Case for Diversity Literature Review

The Business Case for Diversity - Literature review Example The different theories and approaches of diversity management have been developed to understand the concept of business diversity in a better manner. These theories and approaches have been widely appreciated and supported by academics, managers and diversity consultants. Business Diversity Defined The business case for diversity management can be better understood if it is divided in three sections (Nicholas, Sammartino & Lau, 2007): 1. The HRM Business Case for Diversity Management According to the HRM business case of diversity management, unmanaged diverse human resource only results in increasing the business costs by reducing the job satisfaction, increasing turnover and absenteeism rate and creating conflicts in team members. The sound management of diverse human resource results in creating a competitive edge for the organization. 2. The Knowledge Case for Diversity Management The knowledge case for diversity management basically takes in to account the system of information and knowledge flow. It finds ways and strategies to facilitate knowledge creation and transmission. 3. The International Business Case for Diversity Management This business case works to determine how to exploit cross cultural capabilities in favor of the organization and business success. This business case illustrates that effective management of diversity has the potential to result in positive international orientation of a firm by strengthening international networks and improving mutual business decision making. Initially the diversity management was regarded as a tool to legally safeguard an organization that it is complying with the legal requirements of equality and not discriminating against any class (Ongori & Evans, 2007). However the recent years have seen a change in the perception of diversity by managers and recruitment agencies. It has evolved to become a more proactive concept with significant bottom line advantages. Many corporation and organization are making a point to make sure that their workforce is well diversified to facilitate unique, innovative and creative ideas for problem solving which translate in better overall performance of the organization (Allen et al., 2004). A case study of Botswana emphasized the need of business diversity. The society of Botswana is multicultural with a large number of immigrants coming from all across the world. It means that the organizations operating in Botswana does not have choice but to be work force diversified. Their competitiveness, level of innovations, profits and business success are all dependent on how well it manages its diverse workforce both within and across the organizational boundaries (Barker and Hartel, 2004). The issue of business diversity is gaining more interest of the researchers and politics because of the slow shifting of trend of economies from manufacturing to services. There is a greater need in the services market to communicate and network with different organization and people which have further emphasized the need of today to manage business diversity well (Wentling and Palma-Rivas, 2000). Advantages of Business Case of Diversity The business case for diversity works to provide a competitive edge for any organization (Karsten, 2006). The question that might be raised now is

Romeo and Juliet Coursework Example | Topics and Well Written Essays - 1000 words

Romeo and Juliet - Coursework Example Dramatic Devices in Shakespeare’s Romeo and Juliet Formal patterning is the meticulous arrangements of events, characters and scenes that help shape and form a play’s storyline. This is an important dramatic device because it allows the audience to discern and anticipate the flow of the story enough to gain interest and pay close attention to it. To achieve this in Romeo and Juliet, Shakespeare constructed parallel scenes where characters that are about to play important roles in the tragic end are constantly present and developed, helping build the momentum and anticipation of the tragic end. Formal patterning is also employed to build a close synergy between opposing ideas such as â€Å"comedy and tragedy, triviality and seriousness, laughter and tears, minuteness and vastness, youth and age, and of course, love and death.†2 The use of this device keeps the audience’s interest from straying away because of the conflicting nuances of the play. Dramatic ir ony, on the other hand, is another device that keeps the audience’s attention because it grants important knowledge to the former that is not shared by some of the important characters. The tension that this knowledge creates, especially when the characters’ lack of knowledge threatens the turn of events, necessarily gets the involvement of the audience, and hence, keeps it focused on the play. The employment of dramatic irony in Romeo and Juliet does not only happen in the course of the later scenes, but is strewn throughout the play in small doses so as not to detract its impact in the last act. Foreshadowing is another dramatic device and it means the employment of suggestive words or images that indicate to the audience what will happen next in the course of the play.3 The purpose of foreshadowing is to build suspense because it allows the audience to anticipate the next scenes, engage in guesswork and validate them by closely following the story. This motivates th em not to keep their attention off the play. Shakespeare employs this technique abundantly in Romeo and Juliet, largely through the chorus and the dialogues of various characters. The prologue, for example, speaks of a â€Å"pair of star-crossed lovers take their life† that hints to the audience a tragedy about to happen in the course of the play. Two Scenes as Concrete Examples: Formal Patterning In Act 1, Scene 1, the characters of Tybalt, Mercutio and Paris, among others, are introduced. Tybalt plays a pivotal role as his death serves as a catalyst in Capulet’s decision to marry off Juliet to Paris and Romeo’s banishment from Verona. He is introduced early on in Act 1, scene 1 as a vain, proud and aggressive cousin of Juliet. He is likewise made to appear in subsequent scenes where his aggressiveness and hatred for the Montagues become more and more evident. The early introduction of such characters as Tybalt, Mercutio and Paris, among others, and their recur ring presence in subsequent acts and scenes allow their respective

Art History Term Paper Essay Example | Topics and Well Written Essays - 1000 words

Art History Term Paper - Essay Example These two paintings i.e. Picasso`s ‘Woman with a Mandolin’ and Modigliani’s ‘Portrait of artist`s Wife’ there is an inherent theme which implies that each person is subject to their own perception and same is the case with the artists; i.e. they paint their subjects not as an objective reality rather as how they perceive them to be. For this reason, both these paintings diverge from the standard paintings of their times which focus more on the sitter and less on their own sense of perception on these paintings. Thus, the paper will aim at exploring various dimensions to add depth to the thesis predicated here. Firstly, the point of concern with reference to these two paintings is the composition style which depicts their sense of perception. The painting by Picasso i.e. Girl with a Mandolin is composed in his classic cubist style which he was employing vehemently during the era. The paintings depict the subject via successive squares used as silhouette to give a distinctive touch to the painting. Though the composition style is simplistic, yet perspective is added by using minimalistic elements yet keeping a balance between the colors, shape and even the form of the painting. Similarly, the painting of Modigliani`s wife expresses modernity in modern style which is different from that of Picasso`s cubist one. He gives a sense of his own perception to him painting which may be characterized by elongated face and figures, also simple composition of his wife`s persona with little details in posture or expression. Therefore, a distinct character of the painter may be felt in these painters, ev en more than the character of the sitters. Picasso`s painting shows depth and simplicity, while Modigliani`s painting shows devotion and bohemianism, both being divergent from the composition styles of the popular artists. Both the paintings are similar in terms of composition when it comes to a thorough focus on shapes;

Gate Control Theory Of Pain Health And Social Care Essay

Gate Control Theory Of Pain Health And Social Care Essay OA knee pain prevalence, cost to NHS etc. Physio treatment of neck painà ¢Ã¢â‚¬  Ã¢â‚¬â„¢ electro modalities, esp TENS Pain is something that everyone suffers with at one time or another. Pain can be a huge burden on employers due to absenteeism (White et al, 2005). There are many methods used to relive pain with TENS being one method. Having completed a review of current literature, it is clear that the application of tens has a significant effect on the pressure pain threshold of a subject, however no study to date has researched the effects the positioning of the TENS being applied has on the pressure pain threshold. Therefore this study has the aim of investigating whether the positioning of the electrodes at the nerve root level will affect the pressure pain threshold of the relevant dermatomal area giving rationale for the use of TENS as a pain reliving modality for injuries to the extremities. Literature Review 4k Literature Search This research is investigating the effect of transcutaneous electrical nerve stimulation at a nerve root has on the pressure pain threshold at the periphery in relation to osteoarthritis of the knee. A review of the current literature was conducted using the following databases: PubMed, ScienceDirect, MetaLib (Cardiff Universitys Electronic Resources) and Google Scholar for journals dated 1982-2012. The main key words used in the search included, transcutaneous electrical nerve stimulation, pain, osteoarthritis, knee, and periphery. Backchaining was also used to ensure all relevant literature was obtained. Introduction Osteoarthritis a very common joint disorder occurring in any joint but most commonly in the hip, knee, the joints of the hand and foot, and spine (Symmons et al. 2003). It mostly affects those aged 60 and over with approximately 40% of people over the age of 65 suffering symptoms associated with knee OA (Zhang et al., 2008) resulting in globally nearly 250 million people having osteoarthritis of the knee, 3.6% of the population (Vos et al. 2012). This resulted in osteoarthritis becoming the fourth leading cause of disability in the year 2000 (Symmons et al. 2003) and costing the NHS a total of 25 million pounds in 2008 (NICE 2008) Arthritis knee Osteoarthritis of the knee is a chronic degenerative disorder with a multifactorial aetiology (Felson, 2000). This includes general factors; such as age, sex and obesity, mechanical factors; such as alignment and trauma (cooper et al. 2000) and genetic factors (Reginato et al. 2002). Osteoarthritis of the knee is characterised by both loss of articular cartilage and by central and marginal new bone formation (subchondral sclerosis, osteophytes) (Woolf and Pfleger, 2003). There is also often thickening of the capsule and low grade synovitis resulting in alterations in biomechanics of the joint. Osteoarthritis affects the whole joint with secondary changes including ligament laxity due to articular cartilage loss and muscle weakness around the joint due to disuse respectively (Felson 2000). Osteoarthritis of the knee is associated with pain, joint stiffness and deformity, which in turn lead to limitations of daily activities for sufferers. Although there is currently no cure available, there are a number of treatment options open to sufferers to provide symptomatic relief, as well as joint function improvements. There are many non- pharmacological treatment options available such as education, rehabilitation exercises, manual therapies, acupuncture and electro-modalities such as TENS. There is also a wide range of pharmacological measures available, non-steroidal anti-inflammatory drugs, oral analgesia and topical treatments. Pharmacological treatments also include intra-articular modalities such as injections of corticosteroid and hyaluronic acid and tidal irrigation to reduce symptoms. In severe cases, where nonsurgical interventions have failed, more invasive approaches may be needed (Cooper et al 2000) including therapeutic arthroscopy and joint replacement. Models of Pain Pain something that the medical profession aims to alleviate in all patients suffering from it. In order to do this an understanding of the function of pain is needed as well as knowledge of the physiological processes the cause pain. Pain is an unpleasant sensory and emotional experience associated with actual or potential tissue damage (Bonica 1979). It serves as a stimulus to motivate an individual to cease or withdraw form damaging or potential damaging situations, or to protect a damaged body part during the healing process (Winlow et al. 1984). There are three main models of pain, the cognitive-behavioral model of pain, the gate control theory of pain and the neuromatrix theory of pain. Gate control theory of pain The gate control theory suggests there is a neurological gate in the dorsal horn of the spinal cord (Melzack and Wall 1967). This gate either blocks pain signals or allows them to continue to the brain. This gate in the spinal cord differentiates between the types of fibers carrying pain signals. Pain signals travelling down the larger C nerve fibers are blocked whereas pain signals travelling done the smaller a-delta nerve fibers are allowed to pass through and therefore continue up to the brain where the pain can be perceived (cord (Melzack and Wall 1967). This gating mechanism is influenced by descending nerve impulses from the brain in response to ascending pain stimuli. Cognitive behavioral theory of pain The cognitive behavioural pain theory explores the perception of pain by relating it to more than just the physical and physiological attributes of the pain mechanism, and explores the predisposing and perpetuating factors as well as the psycho-social aspects involved in pain perception (Letham et al. 1983). This model explains why some individuals continue to experience pain after trauma has healed, or display a pain response disproportionate to the original condition. The theory states that the perception of pain is influenced by predisposing factors such as personality, coping style and previous history of illness, as well as perpetuating factors such as behaviour, emotions, and physical symptoms (Letham et al. 1983). This explains why some individuals suffer with continued pain after the original injury has resolved and are driven by fear of further pain leading to increasingly restricted activities despite the original injury being resolved, exhibit a maladaptive avoidance response. While other will experience very little pain in situations that would otherwise be excruciating, for example soldiers in battle (Letham et al. 1983) Neuromatrix theory of pain The pain neuromatrix theory is a development of the gate control theory of pain. A widespread distribution of neurons imprint a neurosignature upon nerve impulse patterns that pass through the sensory matrix (Melzack 2001). This neurosignature creates the experience of self and gives subsets of patterns that give unique experiences such as pain. The perception of pain in the brain would be as the end result of an activation of the pain neuromatrix with a characteristic pattern relating to the pain signature (Melzack 2001). This is part of a multi system response to a perceived threat. However there are many other inputs that can trigger the pain neuromatrix in the brain including movement, touch, fear and visual stimuli (Melzack 2001). This is due to the fact that the widespread neurons which make up the neuromatrix for pain perception are involved in many other activities so the pattern for pain perception can be triggered by other groups of neuromatirx being active during other activities not purely the pain neuromatrix Pain and pathways There are four basic processes involved in nociception(processing of pain), Transduction, transmission, perception and modulation (McCaffery and Pasero, 1999). Transduction begins when nociceptors (free nerve endings) of either the A-delta fibres or C fibres of the primary afferent neurones respond to noxious stimuli. A noxious stimulai occurs when tissue is damaged and inflation occurs. The nociceptors are found in the somatic structures (skin, muscles, and joints) as well as the visceral structures (organs such as gastro-intestinal tract or the liver). (Wood 2008) Although both the C fibre and A-delta fibres are Primary afferent fibres they have different cell structures and are associated with different pain qualities (table 1). Table 1: Characteristics and functions of C fibres and A-delta fibres (Farquhar-Smith 2007) C fibres A-delta fibres Characteristics: Small diameter Unmyelinated Slow conducting Receptor type: Polymodal: respond to more than one type of noxious stimuli: Mechanical Thermal Chemical Pain quality: Diffuse Dull Burning Aching Referred to as slow or second pain Characteristics: Large diameter Myelinated Fast conducting Receptor type: High-threshold mechanoreceptors: respond to mechanical stimuli over a certain intensity. Pain quality: Well-localised Sharp Stinging Pricking Referred to as fast or first pain There are three stages to the transmission of pain; first the impulse is transmitted from the site of transduction along the nociceptor fibres (first order neurons) to the dorsal horn, in the spinal cord, where both C fibre and A delta fibres terminate. In the dorsal horn they synapse with the second order neurons and which then cross the spinal cord via the anterior white commissure and ascend to the thalamus via the two main nociceptive ascending pathways. These are the spinoparabrachial pathway and the spinothalamic pathway. The thalamus then directs the nervous impulse to multiple areas of the cortex and higher brain for processing as there is not a discrete pain centre (Wood 2008). The end result of the pain transmission is the perception of pain. This is where pain becomes a conscious and multidimensional experience with affective-motivational, sensory-discriminative, emotional and behavioural components. When painful stimuli are transmitted to the brain stem and thalamus, three main cortical areas are activated, the reticular system, the somatosensory cortex, and the limbic system, each one is responsible for a different response to the pain stimuli. (McCaffery and Pasero, 1999) The reticular system is responsible for the autonomic and motor response to pain, for example, automatically withdrawing from a painful stimulus. It also plays a role in the affective-motivational response to pain, such as assessing an injury after pain has occurred. The somatosensory cortex is involved with the interpretation and perception of sensations. It identifies the location, type and intensity of the pain sensation and relates this sensation to past experiences before triggering a response. The limbic system is responsible for the behavioural and emotional response to pain as well as past experiences of pain. The modulation of pain involves altering or inhibiting the transmission of pain impulses in the dorsal horn of the spinal cord. The complex pathways involved in the modulation of pain are called the descending modulatory pain pathways (Ossipov et al. 2010). These pathways can lead to either an excitatory response (an increase in the transmission of pain impulses) or an inhibitory response (a decrease in transmission of pain impulses). Descending inhibition produces an analgesic effect by causing the release of inhibitory neurotransmitters which partially or completely block the transmission of pain impulses in the spinal cord (Ossipov et al. 2010). Endogenous pain modulation helps to explain the wide variations in the perception of pain in different people as individuals produce different amounts of inhibitory neurotransmitters. Endogenous opioids are found throughout the central nervous system (CNS) and prevent the release of some excitatory neurotransmitters, for example, substance P, therefore, inhibiting the transmission of pain impulses. Physiotherapy and treatment of Pain Transcutaneous electrical nerve stimulation (TENS) papers on TENS and Pain (critical review of the literature) Transcutaneous electrical nerve stimulation (TENS) is an electro therapy procedure the aim of which is pain relief. During treatment a low amplitude and frequency alternating electric current is passed between two electrodes placed on the body resulting in stimulation of the nervous system. Research will be reviewed examining the theory that TENS is an effective pain reliving modality. Previous studies by Chesterton et al (2002, 2003) Vance et al (2012) and Chen et al (2010) have all shown TENS to be an effective form of pain relief against blunt pressure pain with. All however have used different parameters for both the TENS settings and application sites. All of the previous studies looked at found TENS to be an effective method of pain relief based on pressure pain threshold measurement. Both of Chestertons and Vances studies found a statistically significant increase in pressure pain threshold after a twenty minute application of TENS (p=0.005, p=0.01, and p=0.002 respectively). Chen also found a significant difference in post TENS of p= Vance was the only study to look at other forms of pain measurement s outcome measures, as well as the use of a pressure pin threshold measure similar to the other studies a cutaneous mechanical pain threshold measure using Von Frey filaments and heat pain threshold measure were also used. Although using these additional outcome measures to assess the effectiveness of TEN as a pain reliving modality it was only the pressure pain threshold measure that yielded a significantly change. Therefore the results of the study can still only be extrapolated to the pressure pain reliving abilities of TENS and no other forms of pain. Both Vance and Chen explored the differences between the frequencies TENS applied. Chen uses 3Hz for low frequency and 80Hz for high frequency. Vance does not specify the actual frequency used and only states high and low frequency Tens was used with the definition of High frequency TENS >50Hz and Low frequency TENS In Chestertons 2002 also explored the differences between the frequencies of TENS applied using 4Hz as the low frequency and 110Hz as the high frequency. The results were similar to Chen with the high frequency TENS proving a more affective pain reliving modality of TENS. All three studies have good internal reliability, the same experimenter was used for every measurement, and standardised testing procedures were used. The rate of application of the algometer was kept constant when measuring the pressure pain threshold and the same point was used on each subject for the measurement. Chen and Vance, however, relied sole on the skill and consistence of the experimenter to ensure the pressure pin threshold reading was taken in the same manner for every subject. Chestertons studies used a special mounting frame for the algometer to ensure that it was perpendicular to the skin and that the rate of application was constant. This improved the internal reliability of the study as each subject will have had the reading taken in exactly the same way. Chesterton and Chen both use healthy volunteers as the subjects in their studies. Both studies have a good sample size with an equal distribution of males and females. Chen subjects have a small age range (mean  ± SD, age 26.7  ± 2.9 years) which is not representative of the population. Chestertons sample has a much larger are range (mean  ± SD, age 30 ± 7 years, range 18-57 years) which is a far closer representation of the general population and makes the extrapolation and application of the results more reliable. However both of these studies, due to only using healthy subjects, cannot be reliable extrapolated to apply to people who are not healthy. Therefore it cannot reliably be said that anyone suffering with a painful condition, be it degenerative, trauma, or surgical, will benefit from the application of high frequency TENS or that it will reduce their pain. It can only reliable be said that it will reduce the pain perceived in healthy individuals. This however is add ressed by Vance, although using smaller sample size than Chesterton all of the subjects used in the study all had a diagnosis of medial compartment osteoarthritis of the knee. Unlike the other studies Vance did not have an equal split of male to female subjects (29 male 46 female), however by using a stratified randomisation process it was ensure that each experimental group had the same ratio of male to female subjects. Therefore unlike the other studies Vances results can be reliably extrapolated to apply to a population with a diagnosis of medial compartment osteoarthritis of the knee, and high frequency TENS can be reliably used as a pain reliving modality. Random allocation of groups Not all subjects tens naive Blinding All have good baseline comparability between groups. Chen Good base line A paired t-test on this data found no significant differences (mean + SD = -1.50  ± 5.65N,  P  = .143) Chesterton 2002 Good basleine similar This was confirmed by a one-way analysis of variance (ANOVA) for pre-treatment mean MPT (P 0:19 Chesterton 2003 Good One-way analysis of variance (ANOVA) showed no significant differences in PPT, between the groups at baseline (p 0:142) Vance Bad not equal gender split 29 male 46 femle. But good that same ration in each group. Good There were no significant differences between groups in demographic characteristics, with the exception of body mass indexes (P.027). Algomiter reliability Aim(s) Hypothesis (hypotheses) Does High-TENS affect pressure pain threshold (PPT) at the periphery? Null Hypothesis: There will be no difference in the pressure pain threshold between the control group and experimental group. Methods Design This study was an experimental repeated measures clinical trial. The independent variable being assessed was transcutaneous electrical nerve stimulation. The dependent variable was Pressure pain threshold. The study included 20 people who had no previous history of knee pain and had not previously experienced TENS. Subjects attended two sessions with a 48 hour interval. In the first session subjects were given a placebo TENS and in the second a single high frequency TENS treatment. Outcome measurements were obtained before and during each treatment. Ethical approval for the study was granted by the University Ethics Committee (Cardiff University, 2012). Participants A convenience sample of 20 subjects from Cardiff University School of Healthcare was used. The inclusion criteria consisted of being a healthy subject. Subjects were screened for relevant contraindications and exclusion criteria including: pacemakers, heart disease or arrhythmias, undiagnosed pain, epilepsy, peripheral neuropathy (Fox and Sharp, 2007), history of trauma or surgery to the dominant leg in the last 6 months, medication, history of pregnancy or knowledge or use of TENS treatment (Chesterton et al., 2002). No subjects were excluded. The experimental procedure was explained to each subject who then signed a consent form witnessed by an independent person (Appendix 4). At the first session, subjects were assessed for bilateral recognition of sharp versus dull pressure at the L3 dermatome to rule out loss of sensation. Ethics Ethical approval was obtained from The School of Healthcare Studies Ethics committee Cardiff University and a single blind experiment using repeated measures was used. A risk assessment was carried out for the pilot and data collection assess risk to the subjects and the investigator using the standard risk assessment method of the cardiff university Physiotherapy department. The risk is quantified by the Risk Rating Number which is calculated by multiplying the probable frequency by the potential severity. For this research the probable frequency is unlikley scoring two and the potential severity is negligible scoring one (appendix 1). The Risk Rating number is two which requires no further action (Cardiff Univeirsity 2012). Individuals with a history of knee pain were excluded, reducing the likelihood of physical injury to the subjects during the PPT measurement process. In the event of an injury subjects would be withdrawn from the study and appropriate medical advice would be sought. The privacy and dignity of the subjects during electrode placement was ensured by using screens, and gaining informed consent before exposing the skin on the back. The information sheet given to the subjects (Appendix 3) informed them of what the study involved, and that the results would be analysed as part of this research project. Subjects were informed they were free to withdraw from the study at any time. All data was confidential and anonymous. All data stored on a computer was and password protected and anonymous. Pilot study A pilot study was conducted on 3 subjects not included in the main study prior to data collection. This was to ensure that the method to be used was satisfactory and to allow researcher to familiarize themselves with the equipment. It also allowed the researcher to estimate the time required, allowing appropriate time slots to be set. Another reason for the pilot study to be carried out was to expose any unforeseen errors or limitations in the design protocol allowing modification as necessary (Jenkins et al, 1998). The pilot study highlighted variations in subject foot placement in sitting, in turn effecting the knee positioning needed for a PPT reading to be taken. It was therefore decided to give subjects the following verbal command on how to sit, sit with your feet flat on the floor and your knees at ninety degrees, to minimize variance in knee position. The rest of the method was deemed sufficient and no further changes were made. Apparatus The pressure pain threshold was assessed using a handheld pressure algometer (Algometer commander, Jtech medical, United States) with a flat circular metal tip measuring 1.1 cm in diameter. The force was displayed digital in increments of 0.1N and applied at a rate of at 5N/s (Chesterton et al 2002). The subjects were instructed to say stop when the sensation first became painful. A practice test was first performed on the non-dominant knee to familiarize subjects with the procedure. The use of a pressure algometer for measuring pressure pain threshold has excellent test-retest reliability (r.70-94) (Fischer, 1987), and is a valid measure for deep-tissue hyperalgesia as discussed by Staud et al. (2007) Electrical stimulation was generated via a commercially available a dual channel, TENS unit (200 plus, TPN), the unit uses an asymmetrical, biphasic waveform. The pulse width was set at 50 microseconds and the frequency 150Hz, and the intensity was increased to the subjects verbal report of when the feeling became strong but still comfortable. Procedure. Before taking part in the study, all subjects were given an information sheet (appendix 3) explaining research study and what would be expected from them if they participate and completed a consent form (Appendix 4). Subjects came in on two separate occasions 48 hours apart; once for the control trial (sham TENS) and once for the application of TENS. In the first session demographic data was obtained, which included age and gender. A standard sharp/blunt discrimination test was performed, using neurotip at each stimulation site, to ensure intact skin sensation. The skin was then cleaned using an alcohol wipe before the application of electrodes (Chesterton et al., 2003). Two TENS electrodes were then placed over the L3 spinal level. Each electrode was placed over the L3 Spinal nerve root the location of which was found by palpating to the L3 spinal level (Rhoades et al. 2009). The first electrode was positioned 10mm to the left of the L3 spinal process with the second positioned 10mm to the right. The center of each the electrode was placed level with the inferior aspect of the L3 spinal process (figure 1). Experimenter 1 was responible soley for the electrode psoiting nd TENS application to ensure internal reliability. Figure 1 Subjects were seated in a comfortable upright position with feet flat on the floor. The position of the pressure pain reading was then marked bilaterally. This was done by measuring 30mm superior to the central aspect of the superior border of the patella in flexion (figure 2). Experimenter 2 was responsible solely for the positioning of the pressure pain reading and the algometer application to ensure internal reliability. Figure 2 A practice pressure pain measurement was then performed on the subjects non dominant side with subjects instructed to say stop when the sensation first became painful. At this point the experimenter immediately retracted the algometer. (Chesterton et al. 2003) This process was then repeat three times at 30 second intervals on the dominant side to establish a base line figure (Vance et al 2012). The Tens machine was then turned on and the intensity increased to the subjects verbal report of when the feeling became strong but still comfortable. For the sham TENS subjects were told that some forms of TENS were imperceptible and, they might not feel any sensation. The battery in the TENS unit was inserted the wrong way round. The unit was still visibly switched on and the intensity turned up, but no current was flowing (Chesterton et al 2003). A 30 minute timer was started as soon as the intensity was correctly adjusted. When the 30 minute time period had elapsed three further pressure pain threshold readings were taken again at 30 second intervals on the dominant side to a post treatment figure. Once these reading were taken the TENS machine was turned off and the electrodes removed. Subjects were monitored for a further 30 min after the end of the stimulation period (Chesterton et al 2002). Subjects returned for the second session 48 hours later. Data Analysis All data was entered into Windows Excel version 2010 Descriptive analysis was carried out using means, standard deviations this was presented as tables and graphs. The data was then entered into SPSS (Statistical Package for Social Sciences version 20.0). The data was interval ratio and the study investigated one group of subjects. A paired t-test was conducted to compare the percentage change in pressure pain threshold between the control and high TENS conditions. A statistical significance level of 95% (p Results The demographic data can be seen in Table 1. The following tables and graphs present both descriptive and statistical analysis of the pressure pain threshold data. All SPSS outputs can be seen in appendix 5 and raw algometer data can be seen in Appendix 6. Table 1: Demographic Characteristics of Sample N minimum maximum mean S.D Age 20 19 23 19.95 1.09904 Key: N = Number of subjects S.D = Standard Deviation A small standard deviation is seen for the age of subjects in Table 1. The male to female ratio was 1:1 with 10 female subjects and 10 male subjects. All subjects met the inclusion and exclusion criteria, and all were able to complete the study. Discussion There are two primary and related theories for explaining the efficacy of TENS in chronic or acute pain relief. The gate theory (Wall, 1965 (Melzack R, Wall P. Pain mechanisms: a new theory. Science. 150(699):971-979,1965)) proposes that pain transmission relies on a gate to the thalamus and cortex for nocireceptive information to be interpreted as pain. This theory postulates that inhibition of nocireceptors can be caused by rapid impulse activation of myelinated nerve fibers. The second related theory postulates that neurotransmitter exhaustion can be caused by rapid nerve activation outside of its refractory period, and that the temporary exhaustion of neurotransmitters would provide pain relief until such time as neurotransmitter synthesis had refilled the synaptic junctions (Kaye, 2007(Transcutaneous Electrical Nerve Stimulation: WebMD eMedicine. http://www.emedicine.com/pmr/topic206.htm January 26, 2007)). Limitations Clinical Implications Further research Conclusion

GCSE Girl Anachronism Essay

In this essay I will be comparing my â€Å"Girl Anachronism† play with my year 9 dialogue â€Å"Dealer’s Choice†. I will be comparing the deference between the character I was, the style of the play, the mood, the place and whether it is Stanislavski or Brecht. Brecht belied in breaking the fourth wall and trying to make the play as unrealistic as possible by using flash backs, monologues, freeze frames, placards ect. But on the other hand Stanislavski belied in making the play as realistic as possible by having every thing in chronological order and making it as naturalistic as possible making the actors think like their character would. The play â€Å"Girl Anachronism† was developed to the stimulus of the song girl anachronism by the Dresden Dolls. It has a very angry and upset mood throughout, it is in the style of a melodrama and it is like a Brecht play because it breaks the fourth wall, using monologues and flash backs which are theatrical devices used in Verfemdungseffect to remind the audience that it is not real. In the play we used a variety of music to show the emotions of each scene for example at the beginning of our play we played the stimulus of the play, and before our flash back we played past music to show that we had gone back in time. In this play I have adopted the main role where I am crazy teenager that has just been released from a mental institute and have just gone back to my 3 bedroom house with my family which all hate me, and I am also suicidal. All I want is to be left alone and not too be told what to do. My Year 9 play â€Å"Dealers Choice† was a scripted piece about two friends who work in a restaurant and meet once a week for an all-night poker game. Its mood is very happy and funny. It corresponds with Stanislavskis ideas about keeping it as real as possible, building up the fourth wall, and having every thing in chronological order. When we preformed this play we used no music no flash backs and no monologues. The style was a friendly comedy. In this play I was one of the main characters, I was a mid thirty’s waiter working in a restaurant I have worked there for years with my mate Sweeny, Sweeny and I and a few other gather once a week to play poker in the restaurant. The play is set in a London restaurant in the kitchen area. These plays are totally different one is a Brecht like play the other is a Stanislavski. One is unrealistic the other is realistic. They are both very good but I like â€Å"Girl Anachronism† better, because it was more interesting to act and I had more freedom, and I liked improvising.

Stakeholder Theory

The Stakeholder Theory Charles Fontaine Antoine Haarman Stefan Schmid – December 2006 – Stakeholder Theory of the MNC Index 1. Introduction †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 3 2. Basic idea of the Stakeholder Theory and Definition †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 3 2. 1. 2. 2. 2. 3. 2. 4. 2. 5. The stakeholder concept – popular and trendy†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 4 Different definitions of Stakeholder †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 5 What is a Stakeholder? à ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 6 Who are Stakeholders? †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 6 History of the Stakeholder Theory†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 7 3. Contribution of Freeman to the stakeholder literature †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 9 3. 1. 3. 2. Freeman Strategic Management †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Freeman’s essential book: A stakeholder approach †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 10 4. Normative, instrumental, and descriptive stakeholder theory†¦. 13 4. 1. Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 13 4. 2. Normative theory†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 14 4. 2. 1. Objective†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 4 4. 2. 2. The action of a company should be ‘ethic’†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 15 4. 2. 3. Freeman’s normative theory †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 15 4. 3. Analytic theory†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 17 4. 3. 1. Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 17 4. 3. 2. Strategic management: Freeman (1984) and Savage et Al. (1991)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 18 4. 3. 3. Stakeholder identification: Mitchell, Agle and Wood (1997)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 21 4. 3. 4. Friedman and Miles (2002)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 22 5. The stakeholders: from theory to practice†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 24 5. 1. 5. 2. 5. 3. 5. 4. The Corporate Social Responsibility theory †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 4 The three main current o f the CSR †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 26 The different CSR strategies †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 28 The Limits of the theory and its application †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 30 6. Conclusion †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 33 2 Stakeholder Theory of the MNC 1. Introduction In our work we want to explain the principle ideas of the stakeholder theory. The fact that the stakeholder concept has achieved widespread popularity among academics, media and managers we think that it is an important task to bring some system into all those confusing approaches around to the stakeholder concept. At the beginning we will comment on the basic idea of the stakeholder theory. We will also try to give a clear definition of what the concept is all about. Freeman who has contributed a lot to this approach will be the main guide line in our work. We will also give a brief overview of the history of the stakeholder concept and how it developed and why it became so popular lately. After that we will explain in a bit more detail the importance for organization attention to stakeholders. Further on we want to show how the stakeholder concept has been realized by companies. At the end of the paper we want to show the application and the limits of the stakeholder theory. In general the goal of our work is to give a better understanding of the stakeholder concept and make readers sensitive about how the stakeholder concept could change management practice. . Basic idea of the Stakeholder Theory and Definition The traditional definition of a stakeholder is â€Å"any group or individual who can affect or is affected by the achievement of the organization’s objectives† (Freeman 1984). The general idea of the Stakeholder concept is a redefinition of the organization. In general the concept is about what the organization sh ould be and how it should be conceptualized. Friedman (2006) states that the organization itself should be thought of as grouping of stakeholders and the purpose of the organization should be to manage their interests, needs and viewpoints. This stakeholder management is thought to be fulfilled by the managers of a firm. The managers should on the one hand manage the corporation for the benefit of its stakeholders in order to ensure their rights and the participation in decision making and on the other 3 Stakeholder Theory of the MNC hand the management must act as the stockholder’s agent to ensure the survival of the firm to safeguard the long term stakes of each group. The definition of a stakeholder, the purpose and the character of the organization and the role of managers are very unclear and contested in literature and has changed over the years. Even the â€Å"father of the stakeholder concept† changed his definition over the time. In one of his latest definitions Freeman (2004) defines stakeholders as â€Å"those groups who are vital to the survival and success of the corporation†. In one of his latest publications Freeman (2004) adds a new principle, which reflects a new trend in stakeholder theory. In this principle in his opinion the consideration of the perspective of the stakeholders themselves and their activities is also very important to be taken into the management of companies. He states â€Å"The principle of stakeholder recourse. Stakeholders may bring an action against the directors for failure to perform the required duty of care† (Freeman 2004). All the mentioned thoughts and principles of the stakeholder concept are known as normative stakeholder theory in literature. Normative Stakeholder theory contains theories of how managers or stakeholders should act and should view the purpose of organization, based on some ethical principle (Friedman 2006). Another approach to the stakeholder concept is the so called descriptive stakeholder theory. This theory is concerned with how managers and stakeholders actually behave and how they view their actions and roles. The instrumental stakeholder theory deals with how managers should act if they want to flavor and work for their own interests. In some literature the own interest is conceived as the interests of the organization, which is usually to maximize profit or to maximize shareholder value. This means if managers treat stakeholders in line with the stakeholder concept the organization will be more successful in the long run. Donaldson and Preston (1995) have made this three-way categorization of approaches to the stakeholder concept kind of famous. 2. 1. The stakeholder concept – popular and trendy In the past view years the concept of stakeholders has boomed a lot and academics wrote a lot about the topic. But also non-governmental organizations (NGOs), regulators, media, business and policymakers are thinking about the 4 Stakeholder Theory of the MNC concept and are trying to implement it in some way or the other. Most contributions are particularly about the normative principle. They promote the vision of the company and the role of managers whose objective is mainly to maximize shareholder value in order to be sustainable. However, this perspective seems to be giving way to that business has more and broader responsibilities. Those are best defined in terms of the stakeholder approach. Another reason why this topic is very popular and contested among theorists is that there is quit an amount of contesting literature around which is tried to be replaced and up dated. Along with the popularity has come a profusion of different overlapping approaches to the stakeholder concept. This has led to a confusing situation in this sector. In order to deal with this conceptual con fusion a number of classification schemes have been developed. The most famous literature contribution which makes the distinction between normative and strategic or analytical stakeholder theory was done by Donaldson and Preston in 1995. We will discuss this concept of stakeholders in more detail later on in our paper. 2. 2. Different definitions of Stakeholder As a consequence of the booming of the stakeholder concept and the literature written about the topic a lot of different definitions of stakeholder developed. The use of the stakeholder approach in big variety of context brings some criticism to the concept with it. Friedman (2006) mentions: That group of writers comes to coalesce around particular social constructions of reality, leading to writers referring to stakeholders without being aware of relevant theoretical issues that have been raised in other literatures. Roberts and Mahoney (2004) have examined 125 accounting studies that used the stakeholder language and found that nearly 65 percent â€Å"use the term stakeholder without reference to any version of stakeholder theory†. The important thing is that writers use the same label to refer to a lot different concepts. This of course can have great consequences on ethical, policy, and strategic conclusions. 5 Stakeholder Theory of the MNC 2. 3. What is a Stakeholder? In the book of Freeman (1984) the earliest definition is often credited to an internal memo report of the Stanford Research Institute (SRI) in 1963. They define them as â€Å"those groups without whose support the organization would cease to exist†. Freeman (2004) has continued to use this definition in a modified form: â€Å"those groups who are vital to the survival and success of the organization†. This definition is entirely organization orientated so the academic circles prefer the definition of Freeman (1984) where he defines stakeholders as â€Å"any group or individual who can affect or is affected by the achievement of the organization objectives†. About twenty of the 75 definitions share this definition. Friedman (2006) states that this definition is more balanced and much broader than the definition of the SRI. The phrase â€Å"can affect or is affected by† seems to include individuals of outside the firm and groups may consider themselves to be stakeholders of an organization, without the firm considering them to be such. A more detailed distinction and analysis of the different definitions would go far beyond the extent of this paper. 2. 4. Who are Stakeholders? A very common way of differentiating the different kinds of stakeholders is to consider groups of people who have classifiable relationships with the organization. Friedman (2006) means that there is a clear relationship between definitions of what stakeholders and identification of who are the stakeholders. The main groups of stakeholders are: †¢ †¢ †¢ †¢ †¢ Customers Employees Local communities Suppliers and distributors Shareholders In addition other groups and individuals are considered to be stakeholders in the literature of Friedman (2006): 6 Stakeholder Theory of the MNC †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ The media The public in general Business partners Future generations Past generations (founders of organizations) Academics Competitors NGOs or activists – considered individually, stakeholder representatives Stakeholder representatives such as trade unions or trade associations of suppliers or distributors Financiers other than stockholders (dept holders, bondholders, creditors) Competitors Government, regulators, policymakers †¢ †¢ Managers are treated differently in the literature. Some regard them as stakeholders others embody them in the organization’s actions and responsibilities. A very interesting view of managers came from Aoki (1984), who saw managers as referees between investors and employees. Of course all categories of stakeholder gr oups could be defined more finely. For example media could be split up into radio, television and print media, or employees as blue-collar and white collar workers, or in terms for which department they work. An advantage of finer categories of stakeholders is that by doing so more homogeneous grouping of people is more likely. The negative fact about this would be the greater chance of overlap of interests and actions. 2. 5. History of the Stakeholder Theory In the mid-1980 a stakeholder approach to strategy came up. One focal point in this movement was the publication of Richard Edward Freeman. He is generally credited with popularizing the stakeholder concept. The title of the work is – Strategic Management and only the subtitle is A Stakeholder Approach and came out in 1984. Stakeholder Theory of the MNC Doing this he indicated that his view of the stakeholder concept was done from the perspective of the company. He built on the process work of Ian Mitroff, Richard Mason and James Emshoff. Actually the use of the word stakeholder came from the pioneering work done at Stanford Research Institute (SRI) in the 1960s. They further were heavily influenced by several concepts that we re developed in the planning department of the Lockheed Company and these ideas were developed from the researching done by Igor Ansoff and Robert Steward. Ansoff was around 1960s working for the SRI in association with Lockheed (Friedman 2006). It is also clear that business leaders were thinking and expressing the stakeholder concept long before the early 1960s. Dodd (1932) states that already GEC was identifying four main groups which whom they had to deal with. Those four groups were defined as shareholders, employees, customers, and the general public. Further, Preston and Sapieca (1990) mentioned that Johnson & Johnson identified customers, employees, managers, and the general public in 1947. The company Sears named „four parties to any business in the order of their importanceâ€Å"as â€Å"customers, employees, community and stockholdersâ€Å"in the year 1950. Schilling (2000) that the start of thinking about the stakeholder concept was the work of Follet in 1918. Friedman (2006) considers â€Å"Here a concern about the corporation, which emerged along with the origins of the corporation as a legal entity which he, calls the soulless corporation†. This shows a moral or normative vacuum that has favored ideas of how this could or should be dealt with. In order so fill this vacuum the stakeholder concept has come up to handle this demand. By distinguishing in this work between pre- and postFreeman (1984) it should be easier to understand why the stakeholders approach has become so popular during the last twenty years. Generally important to know is that from the start on the stakeholder approach grew out of management practice. 8 Stakeholder Theory of the MNC 3. Contribution of Freeman to the stakeholder literature 3. 1. Freeman Strategic Management An argument for the more frequently used stakeholder concept in the early 1980s could be the changes among workers, students, consumer groups and environmentalists in the late 1960s. One possibility of arguing about the development of this field is to see the planning process as becoming increasingly sensitive to the business environment and the need for good information about it. Friedman (2006) has the opinion that at the time where the SRI came up with their memo they called for information systems to scan and track stakeholder responses to changes in corporate strategy as part of this environment. The SRI has developed â€Å"measures of satisfaction† for the stakeholder groups who they have found. Freeman (1984) noted that planners did not want to attempt to influence specific stakeholder behavior rather they wanted only to forecast the future environment in order to adapt it with the capabilities of the company. In the 1960s the environment was very stable, relatively static and kind of predictable. Freeman (1984) stated that prior to his work, the strategic planning literature did hardly consider stakeholders, and when, only very undefined, as generic groups, and only legitimate or friendly stakeholders. The groups like competitors or other rivals were left out. The literature of that time just developed simplistic approaches for considering the environment the stakeholders were ignored. Porter (1980) for example was one theorist who dealt with the environment and split it up into his SWOT analyses (strength, weakness, opportunities and threats). Friedman (2006) mentions an interesting exception. Ansoff who was a key contributor to the strategy literature from the 1960s to the 1970s and was part of the Lockheed-Stanford connection that produced the initial stakeholder definition. He defines objectives as â€Å"decision rules which enable management to guide and measure the firm’s performance towards its purpose† and responsibilities as â€Å"obligations which the firm undertakes to discharge â€Å"and not â€Å"part of the firm’s internal guidance and control mechanism† (Ansoff1965). Another interesting contribution he made is that the distinction of constraints which he defined as 9 Stakeholder Theory of the MNC â€Å"decision rules which exclude certain options from the corporations freedom action† such as certain rules or regulations enacted by the government. 3. 2. Freeman’s essential book: A stakeholder approach The main idea behind the book of Freeman’s book titled Strategic Management, A Stakeholder Approach, was to try to build a framework that was responsive to the concerns of managers who were being confronted with unprecedented levels of environmental turbulence and change. He argued (Freeman 1984): â€Å"Gone are the good old days of worrying only about taking products and services to market, and gone is the usefulness of management theories which concentrate on efficiency and effectiveness within this product-market framework†. Traditional strategy frameworks were not helping managers anymore to develop new strategic directions and also did not help creating new opportunities. Freeman (1984) said that current theories are inconsistent with both the quantity and kinds of change that are occurring in the business environment of the 1980’s. Turbulence organizations are facing the need for new management and a new conceptual framework was. And his approach was a response to this challenge. In Freeman’s (1984) opinion it was not enough to solve the calls for increased productivity using the methods from Japan or Europe. He believes that â€Å"business-labor-government cooperation† is only part of the solution. Both internal and external change has meant that the model of the organization as a mere resource-converter is no longer â€Å"valid† and suitable. Internal change includes owners, customers, employees and suppliers. External change for Freeman (1984) includes: The emergence of new groups, events and issues which cannot be readily understood within the framework of an existing model or theory†¦. It makes us uncomfortable because it cannot be readily assimilated into the relatively more comfortable relationships with suppliers, owners, customers and employees†¦. It originates n the murky area labeled â€Å"environment† and affects our ability to cope with internal changes. 10 Stakeholder Theory of the MNC Some examples for external change would have be the expansion of government activities, the increase in foreign competition, the 1960s environmentalist movement associated with the publication of Rachel Carson’s The Silent spring (1962) and the formation of the Environmental Protection Acts. the growth of groups concerned with special interests such as gun control or abortion, and also the media became more important in business. All those changes favored the need of a new model of the organization. Freeman (1984) made his view of the firm with the common hub-andspoke picture (see Figure 1). Managers are not mentioned because they work within the firm and so they are assumed to be within the hub. Important to know is that Freeman notes that the illustration of his diagram is very oversimplified and as already mentioned the groups shown can be broken down into more specific categories (see Section 2. . ). Freeman chose the word Stakeholder on the basis of the traditional term stockholder which takes only a look at the economic point of view. Where the stakeholders are defined as â€Å"any group of individual who is affected by or can affect the achievement of an organization’s objectives† (Freeman 1984). 11 Stakeholder Theory of the MNC Figure 1 : Stakeholder map of a MNC / Source: Freeman (1984) Owners Political Activists 12 Stakeholder Theory of the MNC The purpose of stakeholder management was to create methods to manage the different groups and relationships that resulted in a strategic fashion. Further Freeman (1984) thinks that the idea of stakeholders, or stakeholder management, or a stakeholder approach to strategic management, suggests that managers must formulate and implement processes which satisfy all and only those groups who have a stake in the business. The main task in this process is to manage and integrate the relationships and interests of shareholders, employees, customers, suppliers, communities and other groups in a way that guarantees the long-term success of the firm. A stakeholder approach is very much concerned about active management of the business environment, relationships and the promotion of shared interests in order to develop business strategies. But due to the fact that a lot of different stakeholder concepts are around in literature in order to get a better overview the next chapter will go in more detail in the contribution to the literature done by Donaldson and Preston (1995) who distinguish between normative and strategic or analytical stakeholder theory. 4. Normative, instrumental, and descriptive stakeholder theory 4. 1. Introduction Freeman’s work â€Å"Strategic Management: A stakeholder Approach† (1984) offers a managerial and practical scope and does not really constitute a theory. But it has constituted a base for the development of the stakeholder theory, witch have been widely developed since the 1980’s. Stakeholder concept gave rise to heterogenic theoretical developments witch have been summarized in Donaldson and Preston Article â€Å"The Stakeholder Theory of the Corporation: Concepts, Evidence, and Implications† (1995). They suggested that the stockholder theory literature can be seen as three branches: 13 Stakeholder Theory of the MNC – Descriptive: The aim is to understand how managers deal with Stakeholders and how they represent their interests. The corporation is viewed as a constellation of interests, some time competitive and some time cooperative. The analytic theory will show how the MNC can deal with these divergent interests of stakeholders. – Instrumental Approach: Study the organizational consequences of taking into account stakeholders in management examining the connections between the practice of stakeholder management and the achievement of various corporate governance goals. Normative: Identification of moral or philosophical guidelines linked to the activities or the management of corporations. Donaldson and Preston argue that if these three approaches are combined without acknowledgement it would result to confusion. First we will study the normative approaches of the stakeholder theory witch are considered by many as the core of the theory, then we wi ll study the Instrumental and descriptive theory (analytic), and we will finally try to find common concepts of the stakeholder theories. 4. 2. Normative theory 4. 2. . Objective The objective of the normative theory is to answer the following questions, â€Å"what are the responsibilities of the company in respect of stakeholders? † and â€Å"why companies should take care of other interests than shareholders interests? †. The normative theory is linked to moral, values and philosophic purposed. For Donaldson and Preston (1995) the normative theory is the core of the stakeholder theory. For them stakeholders have a legitimate interest in MNC's and their interests have 14 Stakeholder Theory of the MNC intrinsic value. But Freeman think that the idea of Donaldson and Preston suppose a separation between economics and ethics spheres. For Freeman every organization theory incorporates a moral dimension, even if it is most of the time implicit. For many authors relationships between the firm and stakeholders are based on moral commitments. Not only to optimize profit managing stakeholders relationships in an optimal way. The relations between firms and its stakeholder can be valuable for the company as a reflection of it values and principles. Each company should define fundamental moral principles, and use these principles as a basis for decision making. . 2. 2. The action of a company should be ‘ethic’ One pillar of the normative stakeholder theory is that the company decisions affect stakeholder outcomes and has to be ethic. In this kind of situation, when the action of an agent affects an other agent, the company has to build ethics principles. Decisions made without any consideration of their impact are usually thought to be unethical. Donaldson and Preston (1995) state that the stakeholder interests has an intrinsic worth not indirectly linked to the company interests. A firm should not ignore claims of stakeholders simply because honoring them does not serve its strategic interests. The firm should build principles or â€Å"rules of the game† on how the company should operate building contracts with stakeholders. 4. 2. 3. Freeman’s normative theory Evan and Freeman (1990) tried to build a normative theory based on this definition of stakeholders: â€Å"Those groups who are vital to the survival and success of the corporation†. It means customers, employees, suppliers, communities, shareholders and managers. Evan and Freeman call for a redefinition of the purposes of the firm to act as a vehicle for coordinating stakeholders interests. They propose two principles: 15 Stakeholder Theory of the MNC †¢ Principle of corporate legitimacy. The company should be managed for the benefit of its stakeholders. Stakeholders must participate in decisions that substantially affect their welfare. †¢ The stakeholder fiduciary principle. Managers must act in the interests of the stakeholders as their agent in the interests of the corporation to ensure the survival of the firm. Managers have the same duties than other employees but they also have a duty of safeguarding the welfare of the firm. For making stakeholder management practicable Evan and Freeman propose a stakeholder board of directors comprising representatives of the five stakeholder groups, plus a director witch would be elected unanimously by the others and be vested with the duty of caring for all stakeholders. One year later in ‘doctrine of fair contracts† Freeman develops how contracts can be made between the corporation and stakeholders. In the model stakeholder representatives are assumed to be rationally self interested and to understand the implications of different corporate designs for success or failure. In this condition parties should choose the six following rules (‘Doctrine of fair contracts’ Freeman 1994): †¢ The principle of entry and exit: The contract has to define process that clarify entry, exit and renegotiation conditions for stakeholders to decide when an agreement can be fulfilled †¢ The principle of governance: Procedures for changing the rules of the game must be agreed by unanimous consent. This would lead to stakeholder governing board. †¢ †¢ †¢ The principle of externalities: If contract between A and B involve C, C has to be invited as a party of the contract. The principle of contracting costs: Each parties must share in the cost of contracting The agency principle: Any party must serve the interests of all stakeholders 16 Stakeholder Theory of the MNC †¢ The principle of limited immortality: The corporation should be managed as if it can continue to serve the interests of stakeholders through time. These principles represent an ideal to guide actual stakeholders in devising a corporate constitution or charter. It permits to build strategy on ethics asking â€Å"what do a company stand for? † in conjunction with it strategy decisions. 4. . Analytic theory 4. 3. 1. Introduction Has we have seen in the introduction the analytic part of the stakeholder theory is composed of what Donaldson and Preston called the instrumental and the descriptive approach. The objective is to understand how managers deal with stakeholders, how they represent their interests and the impact of the stakeholder approach in the achievement of various cor porate goals. We are going to consider an organization centric view of the stakeholder theory witch mean that the firm is considered to be the nexus of the interests of each stakeholder. This is the vision of Freeman and his model has seen contributions of Savage (1991), Clarkson (1995), Jones (1995), and Mitchell, Agle, and Wood (1997). The analytic theory is necessary to answer the question: how to organize into hierarchy stakeholders influence? Each author has a different point of view and we are going to see each model, theory or contribution. Even if their theories converge in order to find a unique stakeholder theory, there are still differences and the authors have not found a consensus yet. 17 Stakeholder Theory of the MNC 4. 3. 2. Strategic management: Freeman (1984) and Savage et Al. (1991) Freeman gave two definitions of a stakeholder: †¢ †¢ â€Å"Group of people who can affect or can be affected by the achievement of the organization’s objectives† (1984) â€Å"Those groups who are vital to the survival of the organization† (2004) Belong to him, in order to enhance an organization’s stakeholder management it is necessary to begin by defining who the stakeholders of the corporation are. If we apply his definition, it means: â€Å"who are those groups who can affect or can be affected by the achievement of the organization’s purpose†? This mean mapping the stakeholders, providing detailed list of the specific groups and companies related to each category of stakeholders, and a corresponding list of interests. For Freeman the corporation occupies a central position and has direct connections to all Stakeholders (see Figure 1 pg. 11). Freeman suggests that each MNC should distinguish important stakeholders and negligible stakeholders. For him the MNC has to limit the number of stakeholders and to not take care of inoffensive stakeholders. To facilitate important stakeholder mapping Freeman suggests the following question: †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ Who are our current and potential stakeholders? What are their interests/rights? How does each stakeholder affect us? How do we affect each stakeholder What assumption does our current strategy make about each important stakeholder? What are the â€Å"environmental variables† that affect us and our stakeholder? How do we measure each of these variables and their impact? How do we keep score with our stakeholders? 18 Stakeholder Theory of the MNC In order to find the optimal strategy for each group of stakeholder Freeman suggests analyzing the stakeholder behavior and possible coalitions between stakeholders groups. The stakeholder behavior can be delineated investigating in the past actions of such kind of groups. It is necessary to analyze the actual behavior of stakeholders, their cooperative potential and competitive threats. Coalition may develop if different groups of stakeholder have common interests or common issues linked to the activity of the MNC. They can then form a more powerful group witch has to be taken into account. For Freeman manager should scan the environment for instance of similar actions, interests, beliefs, or objectives between stakeholders groups. The formation of a coalition can change stakeholder strategy and positions on issues. These two analysis lead to a more realistic map of company’s stakeholders. It also allows the manager to construct a logical explanation to explain why specific stakeholders act in a particular way. The company has to determine the long terms objectives of each groups and consider the stakeholders as rational. This map of stakeholders allows finding the optimal strategy for each group. Freeman is going to consider two variables to determine the optimal strategy: the relative power of stakeholders and their potential to cooperate or threaten corporate strategy. Savage et Al. (1991) gave guidance on the measurement of these variables. The power of threat is determined by resource dependence, the stakeholder’s ability to form coalitions, and relevance of the threat to particular issue. The potential to cooperate is determined by the stakeholder’s capacity to expand its dependence with the organization: the greater is the dependence, the greater is the willingness to cooperate. As a result Savage et Al. distinguish four types if stakeholders: †¢ Supportive: high cooperative potential and low competitive threat. Considered as the ideal type and it includes the board of trustees, managers, employees, parent companies, suppliers, service providers and non-profit organizations. 19 Stakeholder Theory of the MNC †¢ Marginal: low cooperative potential and competitive threat. Includes consumers’ interest groups, professional association for employees and shareholders. †¢ †¢ Non-supportive: low cooperative potential and high competitive threat. Includes competitors, unions, media and government. Mixed Blessing: high cooperative potential and competitive threat. Includes client and organizations with complimentary products and services. Freeman distinguishes four main strategies depending of the type of stakeholders: †¢ Offensive strategy: Should be adopted when a group is supportive. It includes trying to change stakeholder objectives or perceptions, to adopt the stakeholder position or to link the program to others that the stakeholder views more favorably. †¢ Defensive strategy: Should be adopted when a group is Non supportive. The objective is to prevent competitive threat on the part of these stakeholders. It means reinforcing current beliefs about the firm, maintaining existing programs or letting the stakeholder drive the integration process. †¢ Swing strategy: Should be adopted when a group is Mixed blessing. The firm has to take decisions such as changing the rules, the decision forum, the transaction process†¦ †¢ Hold strategies: Should be adopted when a group is marginal. The company should hold its current position and continue current strategic program. Has we can see Freeman but also Savage et al. o a separation of stakeholders regarding the cooperative potential and the competitive threat. 20 Stakeholder Theory of the MNC Clarkson (1995) introduce a distinction between primary stakeholders and secondary stakeholders. Primary stakeholders as those â€Å"without whose continuing participation, the corporation cannot survive as a going concern,† suggesting that these relations hips are characterized by mutual interdependence. Secondary stakeholders are not vital for the MNC. Primary stakeholders are the partners of the firm whereas secondary stakeholders have voluntary relationships with the firm. 4. 3. 3. Stakeholder identification: Mitchell, Agle and Wood (1997) The major contribution for relationships between managers and stakeholders and the way to categorize them comes from Mitchell, Agle, and Wood (1997). They tried to find a model to explain logically why managers should consider certain classes of entities as stakeholders and how prioritize stakeholder relationships. They put forward three objective criterions in order to organize into hierarchy stakeholders of a company: the stakeholders power to influence the firm, the legitimacy of the stakeholders relationship with the firm and the urgency of the stakeholders claim of the firm. These three criterions can be combined and it lead to seven stakeholders types (see figure 2). There are three types of power: †¢ †¢ †¢ Coercive power: based on physical resources of force, violence, or restrain Utilitarian power: based on financial or material resources Normative power: based on symbolic resources such as being able to command attention of the media But it is not the only way to classify a stakeholder as a high priority. Legitimacy is required to provide authority. They use the Suchman’s definition of legitimacy: â€Å"a general perception that the actions of an entity are desirable, proper, or appropriate within some socially constructed system of norms, values, beliefs and definitions. â€Å" Urgency is based on time sensitivity, the degree to witch managerial delay in attending to the claim is unacceptable fro the stakeholder, or critically. Urgency 21 3 Stakeholder Theory of the MNC Stakeholder Type Latent: 1. Dormant 2. Discretionary 3. Demanding Expectant: 4. Dominant 5. Dangerous 6. Dependant Highly salient: 7. Definitive Figure 2: Model of stakeholder salience / Source: Mitchell, Agle, and Wood (1997) All attributes can be gain as well as lost. A stakeholder is a low priority if only one attribute is recognizes, he became a moderate priority if two attributes are held and a high priority if the three attributes are perceived. Possession of an attribute is subjective. Sometime a stakeholder may not be conscious of possessing an attribute, but at the end it is the manager who decides witch stakeholder has this or another characteristic. So manager could incorrectly perceive the field, and should ask the questions Freeman uses for mapping stakeholders. Furthermore this possession is also dynamic. For example for Nike, NGOs were only legitimate at the beginning, but became urgency with the media support and then powerful with the boycott appeal. 4. 3. 4. Friedman and Miles (2002) Friedman and Miles (2002) use two criterions to define firms stakeholder relationships. Their typology of organization-stakeholder relations is based on two distinctions: †¢ Compatible or incompatible in terms of sets of ideas and material interests 2 Stakeholder Theory of the MNC †¢ Necessary or contingent. Necessary relationships are internal to a social structure or to a set of logically connected ideas. Contingent relations are not integrally connected. As a result four relationships between MNC and stakeholders are distinguished. For each of them they encourage certain strategic actions. Necessary Type A Defensive Compatible Sh areholders Top management Partners Type D Compromise Trade unions Low-level employees Incompatible Government Customers Creditors Some NGOs Contingent Type B Opportunism The general public Companies connected through Common trade association Type E Competition/elimination Criminal Members of the public Some NGOs Type A: Necessary compatible relationships when all parties have something to win this connection. It is so logic to protect this relationship as a strategy. 23 Stakeholder Theory of the MNC Type B: contingent compatible institutional arrangements. The two parties have the same interest but there is no direct relationship between parties. An opportunistic strategy is the logical strategy. Type C: contingent incompatible institutional arrangements. The two parties have separate, opposite and unconnected set of idea or interests. It becomes a problem when one of two parties insists on its position. The strategy corresponds of defending its own interest by seeking to eliminate or by discrediting oppositional views. Type D: Necessary incompatible relations occur when material interests are necessarily related to each other, but their operations will lead to the relationship itself being threatened. The situational logic is concession and compromise. As we can see stakeholder theories, normative and analytic, are widely different between times and authors. . The stakeholders: from theory to practice. 5. 1. The Corporate Social Responsibility theory The way businesses involve the shareholders, employees, customers, suppliers, governments, non-governmental organizations, international organizations, and other stakeholders is usually a key feature of the Corporate Social Responsibility (CSR) concept. According to the Commission Green Paper (2001), the CSR is a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis. Amongst other things, this definition helps to emphasize that: †¢ An important aspect of CSR is how enterprises interact with their internal and external stakeholders (employees, customers, neighbors, non-governmental organizations, public authorities, etc. ); 24 Stakeholder Theory of the MNC †¢ †¢ CSR covers social and environmental issues, in spite of the English term corporate social responsibility; CSR is not or should not be separate from business strategy and operations: it is about integrating social and environmental concerns into business strategy and operations; CSR is a voluntary concept. The social responsibility is presented as the consideration of the expectations of the stakeholders and the fact, for the company, of â€Å"answering† to the consequences of its decisions to these stakeholders. At the pragmatic level, this approach is often summarized by the concept of â€Å"triple bottom line â€Å"(John Elkington) that is the consideration in the management of economic, environmental and social objectives. Companies are dependent on stakeholders to obtain the necessary resources for their survival and for their development. The legitimacy of the company to use these resources depends on the correspondence of its behavior to rules and values recognized by the society; it will obtain a â€Å"license to operate† on the condition of not being considered as a predator of the natural and social environment. It is about a utilitarian legitimacy. The employees, when they have the choice, will prefer to work in a socially responsible company. The consumers tell, in inquiries, to prefer goods produced in the respect for the fundamental rights of the work. Besides the financial performances, the investors integrate, in their choices of portfolios, the risk of loss of † reputation capital â€Å", which can also be translated by a loss of financial capital. Substantial or symbolic, the strategies of correspondence answer different constraints: †¢ The constraints imposed by the law and matched by penalties; we define the exercise of the social responsibility as to go beyond the only respect for the legal obligations. The motivation of certain companies to set up devices of social responsibility is often connected to the anticipation of a hardening of the legislation, especially in the environmental domain. 25 Stakeholder Theory of the MNC †¢ The professional environment generally promulgates the normative constraints; their adoption can be made on a voluntary base which values the commitment of the company. †¢ The mimetic constraints are going to lead certain companies to imitate the others, for example the † best practices † of some pro-actives leaders, and this, especially if the environment is uncertain and ambiguous. . 2. The three main current of the CSR Within the literature in management, the contemporary debate on the responsibility of companies took its origin in an article of Bowen1 supporting that companies should revisit their strategies by integrating the social and environmental dimensions to answer the various pressures of the society. Among the large number o f articles dedicated to the social responsibility of companies, notably in the United States, it is possible to distinguish three currents: the ethical moralist current â€Å"Business Ethics†, the â€Å"Business and Society† current and the â€Å"Social Issue Management†. The theories of the â€Å"Business Ethics† current assert the existence of a moral responsibility of companies towards the society and future generations and postulate that the company has, by nature, a statue of moral agent, able to distinguish the good and the evil, thus having the moral duty to act in a social responsible way. In spite of its gaps, this approach generated an important movement around † the ethics of the business† and a speech which often confuses † the good and the useful â€Å", ant that is why we can find a multiplication of â€Å"ethical† charters, of â€Å"ethical† investments which are only taking advantage of the â€Å"ethics† in economic purposes. The â€Å"Business and Society† current consider that there is no waterproof partition between the company and the society: Both are in interrelation and form themselves mutually by means of their constant interactions. The company maintains, with the society, relations which are not exclusively trade and it results 26 Stakeholder Theory of the MNC from it a shape of social contract authorizing a social control by the society and the possibility to â€Å"punish† a company â€Å"disobedient†. So, the authors of this current assert that the contracts of cooperation, which establish the confidence between the firm and its stakeholders, get a competitive advantage to the company. The â€Å"Social Issue Management† current proposes tools to the administrators to improve the performance of their companies, by taking into account the expectations expressed by various actors of the society; it restores the complexity of the management by widening the field of the actors and by taking away the horizon of the decisions; the expectations of the stakeholders are integrated into the strategic methods. In fact, these currents are not set and even cross together. They share the idea that what is good for the company is also good for the society. Archie B. Carroll, one of the authors the most known for the â€Å"Business and Society â€Å"current, elaborated a model which makes reference in the Anglo-Saxon world and which presents a four level pyramid. 27 Stakeholder Theory of the MNC Each of these levels depends on those which precedes it, the satisfaction of both first one (Economic and legal responsibilities) is requested by the society, that of the third one (ethical responsibility) is expected, that of the fourth one (philanthropic responsibility) is wished. These levels, crossed with the various groups of stakeholders, can serve as reference to define the various categories of social and environmental performance that have to be estimated (D. J. Wood, 1991). 5. 3. The different CSR strategies The integration of the stakeholders’ expectations in the strategies can take several forms: †¢ Actions of patronage or sponsoring, creation of foundations: in that case, there is a separation of the social and environmental actions and the economical actions; they are used as communications strategies. However in some cases, 28 Stakeholder Theory of the MNC he implication of the employees in these actions modifies the economic functioning of the organization. †¢ Actions integrated into the strategy, which try to implement the social and environmental dimension in the economic decisions: investments, conception of products or process of production. This method, often linked to the quality method, has for objective to decrease the ri sks and to improve the economic medium-term performances. In order to put into practice, to develop and to evaluate the actions of social responsibility, the stakeholders (and the company itself) have means, which are the â€Å"piloting devices†. Among them we can quote the external reporting and the internal devices of performances measures. But, the media reports certain examples of paradoxes. A â€Å"paradox† occurs when on a side, a company begins in an action of CSR, pledges for example concerning the durable development while other side, accusing and detailed revelations about its practices emergent at the great day. Certain ONG as Christian Aid clearly denounced abuses on behalf of certain great multinationals in certain parts of the world. For example in the United States, McDonald illustrates a CSR with double face. Emblematic company, which always wished to affirm its economic and social (even environmental) engagements, this company was criticized for non-ethical practices of businesses. At the time of the treatment of the McLibel case by British justice, this one confirmed certain complaints for ill treatment of the workers, abusive publicity and cruel treatment of the animals. February 15, 2005, the European Court of the Humans Right sliced in favor of Helen Steel and Dave Morris, (two ecologists militants) in their fight with McDonald' S in the McLibel case. The lawyer of the duet declared: † the European Court of the Humans right considered that violations of the humans right had been made in their opposition – that there had been a procedural inequity in the business and that the adopted procedures were not equitable† 29 Stakeholder Theory of the MNC In the same way, a European company as Shell largely took part as a proactive pioneer of the CSR but while missing however in 2004 to report to its shareholders a reliable evaluation of its oil stocks which melted its book value. The engagement of the company in CSR obliges it to be more transparent in the social contract than it with the other actors. It creates its own Damocles sword; other authors mentioned a â€Å"mortal risk† by the mediatization of its actions (J-Y Trochon, 2003). Failing to honor this engagement, the company takes a media risk of reputation even of confidence by a â€Å"boomerang† effect. This risk will come in the event of abuse early or late to remember with force to the good memory of all those which would wish to handle the other stakeholders and the shareholders initially. The risk result in a legal sanction, or even, in a faster and frightening stock exchange sanction and destroy in fine the dearly and patiently acquired reputation (media sanction). Enron and Parmalat are two emblematic examples, which show in the only sector of the corporate governance, on the two sides of the Atlantic, the fatal outcome of attempts of manipulation. 5. 4. The Limits of the theory and its application Milton Friedman wrote â€Å"The Social Responsibility of Business is to Increase Profits†. Friedman explains that corporations do not exist in physical reality, that only people can have responsibilities, and that businesses have no responsibilities as such. He maintains that there is one and only one social responsibility of business – to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game. To earn profit is the purpose of the corporation that should engage in open and free competition without deception or fraud (Edward W. Younkins, 2006). In this view, it seems that the question of a Corporate Social Responsibility has no sense. Furthermore, The Freeman stakeholder definition seems to be too large and therefore its implementation is impossible. Indeed the managers have time-limited 30 Stakeholder Theory of the MNC resources and have to select the stakeholders which are going to hold attention. The factors that explain this choice are the power, the legitimacy and the urgency (as seen in section 4. 3. 3): †¢ The power is held by groups of actors who have the capacity to influence the current or future decisions of the firm (cf. Jeffrey Pfeffer, Gerald Salancik, 1978). †¢ The egitimacy of a group corresponds to its recognition by the society by virtue of a contract, of a moral right or of a supported risk because of the activity of the company. Certain groups are legitimate but have no power (minority shareholders, the local residents of a polluting site not organized in defense association). †¢ The urgency characterizes the stakeholders that are asking for an immediate attention. This urgency i s a function of the time sensibility and defines the delay of reaction of the manager acceptable or not by the stakeholders. It corresponds to a critic situation in general, notably in case of exposition at the risk. The rationality of the leaders is necessarily limited by the urgency of the problems, by the pressures and by the information systems that they have. It seems therefore an illusion to envisage an exhaustive consideration of all the potential stakeholders. The influence of the stakeholders thus depends on the perception of the leaders and the hierarchy that they establish between the various expectations, notably when these are contradictory. They are thus going to choose and to â€Å"enact† the actors who will count for the definition of their strategy. The stakeholders’ theory remains ambiguous concerning its foundations and presents certain number of limits. On one hand, it joins in a relational representation of the organization based on complete contracts, which suppose that the conflicts of interests can be solved by insuring a maximization of each group interests. 31 Stakeholder Theory of the MNC On the other hand, the stakeholders’ theory builds a reduced representation of the social and environmental responsibility of the company. What about the â€Å"dumb† stakeholders (fauna, flora), about the third absentees (future generations, potential victims)? What about the values or interests of the too weak parties for being represented? Can we reduce the general interest to the sum of each group of stakeholder interests? Companies are trading organizations and the leaders are in front of dilemmas that can only be solved according to their more or less long-term profitability objectives. The issues depend then strongly on the dynamics relations between the firm nd its stakeholder, and of the level of the expectations and the pressures of the various actors. In the calculation of the advantages and the underlying costs in the â€Å"win-win† strategies, the anticipation of the behavior and the power of the stakeholders and the authorities of regulation is determining for the adoption of a socially responsible strategy. The actual consideration of social and environmental objectives in the strategies of c ompanies depends largely on the representations which have the actors of the society of their direct or indirect power on companies. The economic logic thus remains the main axis, structuring the decisions of companies. The expectations of the stakeholders, their pressures, are the constraints which are integrated into the strategic management according to the representation of the power of these stakeholders. As argue Jean-Luc Migue, the practice of the social responsibility leads to a paradox: the social responsibility implies the replacement of a managerial decision to that of the shareholders owners. As everywhere where the rights of property are eased, for example in the public sector, the individual irresponsibility follows. The practice of the social responsibility can lead to an individual irresponsibility. On the economic level, the generalization of this practice would lead to the end of the long-term economic growth and would make thus impossible the realization of the social ends looked for by the protagonists of the social responsibility. It is necessary in this subject to return to the essential education of the 32 Stakeholder Theory of the MNC economic theory, to the market as a mechanism of penalties and rewards and in the role of the instigations on the behavior. The theory and the history demonstrate that in its research for the maximum profit for its shareholders, the company realizes „the common good † in sub-product, and especially, that the ambition of † do-gooders † to divert it from its appropriate end that is the profit produces the exactly opposite effect that the one we suppose. 6. Conclusion The Stakeholder Theory is a quite new theory in the way it introduces the concept of stakeholders in the strategic management of a Multinational Company. The purpose of the MNC is not anymore only to make profit for shareholders but also to defend an image and values respecting all stakeholders. There is of course a link between the wealth of Shareholders and the wealth of all Stakeholders because the MNC need a good reputation to sell its products and so to make profits. But it has still not been clearly proven by empirical studies. The Stakeholder Theory is very popular in our times because people, and so on stakeholders, are worried about the sustainability of the actual economic system. With globalization, companies take more and more importance and are in many cases more powerful than states. In these conditions, their action can have a huge impact on the society in general, and people ask such companies to have â€Å"ethic† and values. With deregulation, and less power of state in favour of economy, companies should not only enjoy the rights of this deregulation but also duties. And that is what stakeholders (and in particular consumers) are asking for. Examples of Shell or Nike show that an irresponsible way of management, with low ethic or values, lead to a decreasing wealth of the first stakeholder of an MNC, its owner, shareholders. One of the main problems of the stakeholder theory is: stakeholder theories! One of the major contribution in Stakeholder theory is Freeman book â€Å"Strategic Management: A Stakeholder Approach† (1984) and it is often seen as the fundament of the Stakeholder theory. Then many Economists or Sociologists have made their contribution but not always sharing Freeman concept of Stakeholders. As a signs of 33 Stakeholder Theory of the MNC these divergences we have shown that there is more than 75 definitions of Stakeholders, witch is of course the key point of the theory. This is mainly due to the fact that Stakeholder Theory is not only an economic theory, having a huge part of philosophic or sociologic concepts. But in spite of these discussions it seems possible to identify some propositions on witch every author agree: The firm has stakeholders witch have requests, every stakeholders do not have the same influence, MNC prosperity depends of the ability of the companies to manage strategic stakeholders and the principal function of managing stakeholder is to take into account and to arbitrate stakeholders requests even when there are contradictory. In practice, contributions of these different theories at the governance level establish a new base to redefine the stakes of the company and its model of governance, analyzing them with regard to the expectations and to the interests of stakeholders. It is what led to us to analyze in our third part the concept of CSR. In the sights of what we explained, it seems that the application of the CSR can only come true, in general in the social and environmental sides, under reserve that this application does not prevent from financial profits (as the CSR slogan says: † doing well by doing good â€Å"). However we can notice the attitude of companies trying to take into account, in an increasing way, this â€Å"new† approach of governance, and this, facing to more and more strong pressures coming from the different stakeholders. Furthermore, companies are more and more urged to position themselves in front of the emergence of the â€Å"sustainable development† concept, and making it, the CSR seems to be an effective instrument for the integration of this concept by companies in their strategic orientation. 34 Stakeholder Theory of the MNC References Aggeri Frank, Acquier Aurelien, (2005). 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