Stakeholders

• what is a stakeholder?


  any individual or organisation who has an interest in the activities of a business
• types of stakeholders


  • internal (to the business) e.g managers, shareholders, owners
  • connected (by contract) e.g customers, suppliers, creditors
  • external (not by contract) e.g government, competitors
• interests of shareholders/owners


  • return on investment (profit)
  • success and growth of the business
  • proper running of business
• interests of managers/employees


  • fair pay
  • job security
  • safe working conditions
  • motivation
• interests of customers


  • value for money
  • good quality products
  • good customer service
• interests of suppliers


  • continued, profitable trade with the business
  • financial stability - if the business can pay its bills
• interests of banks and other finance


  • growth in profits and value of business
  • can the business repay amounts loaned/invested?
• interests of the government


  • correct collection and payment of taxes (e.g VAT)
  • compliance with business laws
• interests of society


  • success of the business
  • compliance with regulations (e.g pollution)
• stakeholder map


  • high power, high interest = key players, engage directly
  • high power, low interest = keep satisfied (e.g govt)
  • low power, high interest = keep informed
  • low power, low interest = minimal effort