Beyond Collective Action: Heterogeneous Stakeholders’ Influence on Firms in the Digital Age

Have stakeholders increased their influence over firms' behavior in the digital age? In a recent article in this journal, Barnett, Henriques, and Husted (2020) suggested that, contrary to expectations, digital media has limited the influence of stakeholders on firms as information overload and heterogeneous demands make it difficult for stakeholders to synchronize their interests and achieve one coherent and persistent voice. In this exchange we contend that, while the evolution of digital media has made it harder for stakeholders to achieve synchronicity, it has made it easier for them to achieve what we refer to as heterogeneous convergence. Heterogeneous convergence entails the progressive coming together of heterogeneous stakeholders around a broader demand for change while maintaining different identities and views. We argue that, through heterogeneous convergence, secondary stakeholders can exert strong pressure over firms.