Firms of Endearment

This book gives companies rather unexpected advice in the management field, i.e., to care less about their shareholders… in order to treat them better! Indeed, the authors defend the idea that executives and shareholders have everything to gain from focusing primarily on the welfare of their employees, customers and suppliers, and more generally all company stakeholders. Citing common-sense facts and figures, they demonstrate that companies that focus on bettering the lives of their stakeholders are far more profitable than average.
The introduction and the first three chapters offer general thinking on the role of companies in the world. They suggest that the relationship between citizens and companies is undergoing a radical transformation and that capitalist practices are changing profoundly as a result. In this context, generosity could ultimately be a way to make even more money.
Chapters 4 to 8 teem with illustrative examples of companies that really try to better the lives of their stakeholders. Readers will be more or less attracted by specific chapters, depending on whether they are specifically interested in the relationship with employees (chapter 4), customers (chapter 5), shareholders (chapter 6), suppliers (chapter 7), or society in general (chapter 8). Company executives who would like to tackle the question from a more general angle would benefit particularly from reading, in addition to the first three chapters, chapters 9 and 10, which cover the cultural traits that are particularly characteristic of beloved companies.