I. Beccarini, Daniel Beunza, F. Ferraro, Andreas G. F. Hoepner
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The Contingent Role of Conflict: Deliberative Interaction and Disagreement in Shareholder Engagement
How is the tension between conflict and deliberation resolved in shareholder engagement? We address this question by studying shareholder engagement as a deliberative process with three stages: establishing dialogue, solution development, and solution implementation. We theorize that two interactionist mechanisms, deliberative interaction and the voicing of disagreement, play different roles at different stages of the process. We test our hypotheses with a proprietary database of 169 environmental, social, and governance engagements with US public companies over 2007–12. We find that while deliberative interaction does not help advance the engagement process, it positively moderates the effect of disagreement in the solution development stage. By contrast, in the solution implementation stage, deliberative interaction amplifies the negative effect of disagreement, thus hindering progress in the engagement. Our article contributes to shareholder engagement, deliberation theory, and interactionist organization theory by establishing that engagement effectiveness is an interactional achievement shaped by both deliberation and disagreement.
期刊介绍：
Business Ethics Quarterly (BEQ) is a peer-reviewed scholarly journal that publishes theoretical and empirical research relevant to the ethics of business. Since 1991 this multidisciplinary journal has published articles and reviews on a broad range of topics, including the internal ethics of business organizations, the role of business organizations in larger social, political and cultural frameworks, and the ethical quality of market-based societies and market-based relationships. It recognizes that contributions to the better understanding of business ethics can come from any quarter and therefore publishes scholarship rooted in the humanities, social sciences, and professional fields.
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