Stakeholder Theory

Tourism is a discipline that various beneficiaries build a system, in broad, dynamic, and heterogenous ecosystem with diverse business models. Within this system, all agents are interrelated and interconnected, and these agents are examples of stakeholders. It is essential to monitor and manage these agents for effective administration. System approach argues each agent within the system affects and is affected by the other agents, and the tourism industry is an example of a system and includes a variety of stakeholders. Thus, this chapter comprehensively examines the Stakeholder Theory: first, by identifying stakeholder construct, next by summarizing various disciplines that the theory is essential and relevant, and finally by addressing the application of the theory in tourism context. Future directions and recommendations are also addressed.