From Behavioral Strategy to Emotional Strategy: It Is Time to Use Emotions as a Competitive Advantage

Abstract

This paper reviews relevant research from various disciplines: business stakeholders, behavioral strategy, and stakeholder motivations to propose a holistic and integrative approach to the discipline of business strategy formulation. The purpose is to propose a holistic view of the formulation of business strategies focused on fulfilling the emotional needs of business stakeholders and provide a framework for future research. There is an opportunity to develop successful business strategies by considering two dimensions: On the one hand, considering the motivations and aiming to fulfill the needs of all company stakeholders not purely economic return. On the other hand, among these motivations, emotional needs have an increased role particularly in the developed world were a significant part of the physiological needs are already covered. The article opens a new avenue for future business strategy research. By delivering socioemotional value to stakeholders, companies can complement the current economic based approach and create additional sustainable competitive differentiation.