stakeholders

• what are stakeholders?


  a stakeholder is anyone whose affected by a business
• what are the different stakeholders?

  • the owners
  • employees
  • suppliers
  • local community
  • government
  • customers
• how is the local community affected by businesses decisons ?

  • will suffer if a firm causes noise and pollution
  • gain if the firm provides good jobs and activities
  • employees will have money to spend in local shops boosting the economy
• how are employees affected by business decisions?

  • job security
  • promotion prospects > these are both improved if the firm is growing & profitable
  • decent wages
  • good working conditions
• how are suppliers affected by a businesses decisions?

  • if a firm is profitable they’ll need more materials therefore its income will increase
  • benefit most when firm set objectives based on profitability and growth
• how are the government affected by objectives?

  • receives taxes if firm makes profit
  • benefit most when their objectives are based on profitability, growth or job creation
• what are internal stakeholders?


  people or groups directly involved in the daily activities of a business, employers, owners, management
• what are external stakeholders?


  people or groups who are not invoked in the daily activites of a business
• what are egs of external stakeholders?

  shareholders, suppliers, local community, customers, government
• what are pressure groups?


  a group that tries to influence governments, general public or a business in the interior of a particular cause
• what are protests?


  they stand up for something
• what are boycotts?


  refusing to buy products from them
• what are some examples of pressure groups?

  • protests
  • boycotts
  • negative publicity
• what are the benefits of meeting stakeholder needs?

  • improved relationships - develops trust
  • access to a wider network of contacts - stakeholders may provide access to a network of other people
  • improved reputation - stakeholders ar elmore likely to have a positive view of the business
• what are the drawbacks of meeting stakeholders needs?

  • time consuming - communicating with a number of stakeholders takes time
  • risk of upsetting other stakeholders - meeting the needs of some stakeholders could upset others, causing resentment and ill feeling