Definition
The Rhineland business model and the leadership practices associated with it can be defined as a management approach based on concepts of cooperation, consensus, social justice, and serving the interests of multiple stakeholders. Chief concern is the long-term sustainability of an enterprise. A Rhineland firm views itself as an interdependent part of a wider community that offers a lasting place for each of its members (Albert 1993) rather than simply as a moneymaking machine for investors. Under the Rhineland model, a firm’s success derives from taking a long-term perspective in making decisions; developing a skilled and loyal workforce; and offering innovative products, services, and solutions of high quality. The objective is not to maximize profits in the short term but to generate long-term value for all stakeholders. Therefore, widespread cooperation with employees,...
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References and Readings
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Avery, G.C., Bergsteiner, H. (2013). Rhineland Business Model/Rhineland Leadership. In: Idowu, S.O., Capaldi, N., Zu, L., Gupta, A.D. (eds) Encyclopedia of Corporate Social Responsibility. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-28036-8_637
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