A Review of Stakeholder Theory and its Application in Public Relations Practices

This paper reviews the stakeholder theory and its application in the study of the public relations practices of Electricity Distribution Companies in Nigeria. The stakeholder theory is a theory of organizational management and business ethics that accounts for various publics impacted by corporate units like customers, vendors, suppliers, employees, local communities, creditors, government agencies, environmentalists operating near the business entity, financial institutions and a host of other entities linked to the organisation or impacted by its activities. It instructs that there are many stakeholders in a company and their needs and appeal vary. It informs that the company’s success lies in satisfying all its stakeholders, and looking beyond those who might profit from the company’s stock. This analysis posits that the corporate environment as an ecosystem of interconnected assemblage, and they all need to be considered and contented to keep the organisation healthy and successful in the long run.