FROM ACTIVISM TO ACCOUNTABILITY: HOW GEN Z'S ENVIRONMENTAL AND SOCIAL EXPECTATIONS RESHAPE CORPORATE STAKEHOLDER ENGAGEMENT STRATEGIES

Abstract

This article explores how the unique environmental and social expectations of Generation Z are forcing corporations to radically change their stakeholder engagement strategies. Based on 24 credible sources published between 2015 and 2025, this study synthesizes the evidence provided in the literature and research on consumer behavior, stakeholder theory, and corporate governance and studies to understand the processes involved in digital-native, values-based consumers changing the business accountability framework. The analysis shows that Gen Z consumers do not only favor socially responsible brands; they seek transparency, authenticity, and impact, which is provable and creates new responsibility pressures beyond the standard market relationships. This article, using systematic review of empirical studies using Theory of Planned Behavior and Social Identity Theory frameworks, shows that stakeholder engagement has changed as a marginal corporate activity into strategic necessity. The main findings show that the increase in the purchase probability with transparency into internal responsibility practices over external initiatives is 6.40-45.85% higher and 71.2% of Gen Z consumers actively avoid purchasing irresponsible companies. The article concludes that companies need to rethink stakeholder engagement as a continuous conversation, not a transactional communication and introduce authenticity and accountability into the mainstream business functions.