The issue whether managers should apply shareholder theory or stakeholder theory is opens for debate.
Some theorists believe that maximize shareholder profit is the highest objective of firm. The shareholder value theory a perspective denoted by the Nobel Laureate Milton Friedman (1970) argues that only social responsibility of business is to develop its profits while following legal norms. Milton Friedman on Corporate Social Responsibility. Let's take a look at Freeman's thesis, and see just how different they are. Shareholder value theory (like my post a couple days ago says) comes from Milton Friedman’s article.

i-manager's Journal on Management, 10(4), 45-60. The Friedman Doctrine, or Shareholder Theory, is a normative theory of business ethics advanced by economist Milton Friedman which holds that a firm's main responsibility is to its shareholders. Friedman uses two words that seem to define the boundary of ethics in this stockholder theory – “deception or fraud”. Delivering value … Clarke, Clifton & Friedman, H. H. (2016). Milton Friedman argued vehemently against spending shareholder’s money for anything that does not directly contribute to increasing shareholder wealth. Friedman discussed the necessity to provide amenities for the communities in which a firm does business beyond what is required in taxes, and to support good government. He took the Kantian view that directors must look after the interests of shareholders, which seek wealth maximisation. The shareholder theory is usually credited to Milton Friedman, the University of Chicago economist and Nobel laureate. Moving from shareholder value maximization to shareholder welfare maximization may be a small step in theory, but it could trigger a leap forward in the way our corporations are run. However, there are many articles and academic journals assert that stakeholder theory is …

Michael Jensen and William Meckling, authors of the famous 1976 Journal of Financial Economics article “Theory of the Firm: Managerial Behavior, Agency Cost and Ownership Structure,” can…

The shareholder value theory of CSR. Marginal productivity theory seems to move in only one direction. Maximizing shareholder value: A theory run amok. While Friedman supposedly was a pioneering proponent of “shareholder value” and “shareholder primacy”, he did not refer to either concept in his essay. Oliver Hart is Andrew E. Furer Professor of Economics at Harvard University. Shareholder theory is the view that the only duty of a corporation is to maximize the profits accruing to its shareholders.This is the traditional view of the purpose of a corporation, since many people buy shares in a company strictly in order to earn the maximum possible return on their funds.
I realized most people hadn’t read it and neither realized nor knew Friedman was telling GM to commit industrial suicide to avoid being socially responsible. The origin of 'the world’s dumbest idea’: maximizing shareholder value: The idea got going with an article by Milton Friedman in the New York Times in 1970. "The basic idea is that businesses, and the executives who manage them, actually do and should create value for customers, suppliers, employees, communities, and financiers (or shareholders)." In a famous 1970 New York … The theory that you've just read about is significantly different from the Stockholder Theory that we saw from Friedman. This approach views shareholders as the economic engine of the organization and the only group to which the firm is socially responsible. During the past 30 years, “maximizing shareholder value” has unquestionably become our dominant economic creed with a vast impact on management practice.