Tag Archives: stakeholder capitalism

Stakeholder Capitalism Is a Trojan Horse for China, by Vivek Ramaswamy

Stakeholder capitalism, which is not capitalism at all, is just a way to broaden the number of people who have a non-shareholding “stake” in a company. Eventually you broaden the stakeholder pool so much that everyone is considered a stakeholder. When everyone has a stake, nobody does except the government, and you’ve morphed shareholder capitalism into stakeholder communism. From Vivek Ramaswamy at bariweiss.substack.com:

It may be good for companies Airbnb, Nike and Disney. But it’s terrible for America.

LeBron James takes part in the final of NIKE RISE at Jiangwan Stadium on August 18, 2015, in Shanghai, China. (Visual China Group via Getty Images)

“Stakeholder capitalism” may not be a phrase you are intimately familiar with, or it may be a phrase that makes your eyes glaze over. But it’s definitely something you’ve witnessed.

Let me give you an example:

This May, when the actor John Cena was promoting the latest movie in the “Fast and Furious” franchise, he called Taiwan a country. This, needless to say, displeased China — and Cena offered a groveling apology. “I love and respect China and Chinese people. I’m very very sorry for my mistake,” he said in Mandarin on Chinese social media.

Here’s another:

Last summer, while Uber was putting out soaring statements about becoming an anti-racist company — it promised, among other pledges, to implement anti-racism education for riders and drivers in California — the company was pushing for Prop 22, which allowed the company to continue to classify its drivers as independent contractors rather than employees.

So “stakeholder capitalism” is the kind of gauzy expression that suggests a freer, fairer, more diverse, environmentally and LGBTQ-friendly world. But in reality it is something far different. It looks, in the case of Cena, like an American movie star doing the bidding of the Chinese Communist Party. In the case of Uber, assurances about “antiracism” allowed the company to distract the public from a political issue with real economic stakes.

This corporate hustle is the subject of a new, bestselling book called Woke Inc: Inside Corporate America’s Social Justice Scam by biotech entrepreneur Vivek Ramaswamy. Ramaswamy makes the compelling case that “stakeholder capitalism” sounds like a good thing, but is in fact deeply damaging our democracy. He explains why in the essay below. — BW

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Is “Stakeholder Capitalism” Newspeak for Economic Fascism? by Mark Hornshaw

Under stakeholder capitalism, people with no economic interest in a company get to tell the people who do have an economic interest how to run their company. From Mark Hornshaw at activistpost.com:

Leaders of the World Economic Forum are seeking to implement a Great Reset of capitalism whereby “global stakeholders” cooperate to achieve “shared goals.” In the true spirit of not letting a crisis go to waste, they see the COVID-19 pandemic as presenting a unique opportunity to push their agenda.

“The level of cooperation and ambition this implies is unprecedented. But it is not some impossible dream,” World Economic Forum Executive Chairman Klaus Schwab recently observed. “In fact, one silver lining of the pandemic is that it has shown how quickly we can make radical changes to our lifestyles.”

Of course, when they say “our lifestyles” they mean your lifestyle, not their own. Their preferred vehicle for achieving their goals is other people’s businesses. In short, what they want is for private businesses to serve the interests of their own curated list of stakeholders rather than (as they see it) concentrating on returning profits to business owners. They want governments to pass laws and tax regimes to cajole businesses towards their favored ends. Since this arrangement still involves a modicum of private ownership of the means of production, they call it “Stakeholder Capitalism.”

It is important to recognize the subversive use of language here. Such a system is all about sidelining the true stakeholders, and undermining capitalism. This is Orwellian Newspeak at its best, since it misuses the word “stakeholder” and is actually closer to economic fascism than capitalism.

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