Developing and Testing a Scale for Institutional Stakeholder Relationship Across Four Dimensions

The research article presents a new assessment scale which evaluates institutional stakeholder relationships through stakeholder relationship assessment. The researchers define relationship as a unified construct which includes four separate components: Communication, Trust and Cooperation, and Satisfaction. Organizations which practice open communication and build trust through collaborative actions and deliver stakeholder satisfaction will achieve superior relational results according to the research. The multi-item scales demonstrate reliability and they show evidence of convergent validity and discriminant validity and nomological validity in a study involving institutional stakeholders. The research data shows that stakeholder relationship acts as a positive factor which connects stakeholder participation to organizational institutional success. The research presents findings which lead to theoretical and practical implications and establish guidelines for upcoming studies.