Tata Steel recently decided to deploy a new technology at its Port Talbot plant that will
reduce both carbon emissions and jobs. Would either Friedman’s shareholder theory or
Freeman’s stakeholder theory say that Tata Steel should do something different? Which
theory gives the more insightful analysis?
See Stanley Reed, “Plans to Slash Emissions at Britain’s Largest Steel Plant Cause
Unease.” https://www.nytimes.com/2023/10/30/business/tata-port-talbot-steel-emissions.html
Required elements
Whichever topic you choose, your paper should include these seven elements:
Whichever topic you choose, your paper should include these seven elements:
1. An introductory paragraph, in which you describe what the paper will do. Your
introduction should clearly state your thesis (the position you will ultimately take).
introduction should clearly state your thesis (the position you will ultimately take).
2. A brief description of the business decision you are discussing.
3. A brief explanation of the main claim of Milton Friedman’s shareholder theory (as
presented in his 1970 New York Times Magazine op-ed). You do not have to summarize
the whole article. You do not have to present an argument for the theory. Just describe
its central claim, in a way that a reader who was unfamiliar with it would understand.
Make sure to avoid the misunderstandings I warned against in class.
presented in his 1970 New York Times Magazine op-ed). You do not have to summarize
the whole article. You do not have to present an argument for the theory. Just describe
its central claim, in a way that a reader who was unfamiliar with it would understand.
Make sure to avoid the misunderstandings I warned against in class.
4. An analysis of what you think Friedman’s theory would say about the business decision.
If you think it is unclear what Friedman’s theory would say, why is it unclear?
If you think it is unclear what Friedman’s theory would say, why is it unclear?
5. A brief explanation of the main elements of R. Edward Freeman’s stakeholder theory (as
presented in his 2017 article “The New Story of Business”). You do not need to present
an argument for the theory. Just describe the ideas that will be relevant to your analysis.
presented in his 2017 article “The New Story of Business”). You do not need to present
an argument for the theory. Just describe the ideas that will be relevant to your analysis.
6. An analysis of what you think Freeman’s theory would say about business decision. If
you think it is unclear what Freeman’s theory would say, why is it unclear?
you think it is unclear what Freeman’s theory would say, why is it unclear?
7. A critical assessment of what the two theories say about the business case. Which theory
gives a more insightful analysis, and why? Or are both analyses unpersuasive? Don’t
just say which analysis you like better. Give a reason. Try to persuade someone who is
open-minded but does not already have the same opinion as you.
gives a more insightful analysis, and why? Or are both analyses unpersuasive? Don’t
just say which analysis you like better. Give a reason. Try to persuade someone who is
open-minded but does not already have the same opinion as you.