1.4 Stakeholders

• A stakeholder is an organisation, group or organisation affected by a business' activities.
• Internal stakeholders are members of the organisation and are directly affected by decisions. such as employees, managers and directors and shareholders.
• External stakeholders are not part of the business but are still affected by a business' decisions such as customers, supplies, pressure groups, competitors and government.
• Stakeholder conflict refers to the inability for an organisation to meet all stakeholder objectives simultaneously.
• Customers are external stakeholders.
• Employees are internal stakeholders.
• Shareholders are internal stakeholders.
• Supplies are external stakeholders.