A Comparative Study of Allocation of Decision-making across Stakeholders Groups: the Case of Personal Care Industries

by Avner BEN-NER, Ting REN

ARTICLE | Annals of Public and Cooperative Economics | 2010

Abstract

The article compares the allocation of decision-making across stakeholder groups in for-proﬁt, nonproﬁt and local government personal care facilities in one state in the United States. We analyze detailed survey data on nursing

homes, childcare centers and group homes. We ﬁnd that in comparison to nonproﬁt and government organizations, for-proﬁt ﬁrms delegate more decision-making power to executives and owners, and less to their employees, consumers, families, boards of directors, and community representatives. The differences, although generally small, support the hypothesis that decision-making is allocated to different groups in accord with the broad objectives of the organization.　