Ep15 "Shareholder vs. Stakeholder Capitalism" with Alex Edmans

Businesses often prioritize shareholder interests to make profit. But this can lead to short-sighted decisions that fail to benefit other stakeholders… right?
In this episode of All Else Equal: Making Better Decisions, hosts and finance professors Jonathan Berk and Jules van Binsbergen – and guest Alex Edmans – ask that very question and provide some surprising answers. Whose interests are better aligned with the long-term health of a business: external stakeholders or internal shareholders?
Alex Edmans (london.edu/faculty-and-research/faculty-profil…) is a finance professor at the London Business School. He has written a book on the topic of shareholder versus stakeholder capitalism called “Grow The Pie: How Great Companies Deliver Both Purpose and Profit (amazon.com/Grow-Pie-Companies-Deliver-Purpose/…).”

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All Else Equal: Making Better Decisions Podcast is a production of Stanford Graduate School of Business and is produced by University FM (university.fm).

More About the Guest:
The End of ESG (papers.ssrn.com/abstract=4221990)
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