Studied by 3 people
Stakeholder - definition
any individual or group that has a vested interest in a business and how it operates
stakeholders
Business owners (including shareholders & partners)
Managers
Employees
Customers
Suppliers
The general community
owners
people who have invested money in a company, hence owning shares of it
owner’s characteristics
owner’s interests
to gain greater revenue in the form of dividends if the business continues to make profits — they may depend on the success of the business for their income or wealth
shareholders want the business that they have invested in to make profit as this affects the value of their shares and the amount of dividends they receive
will typically want the business to conduct itself in a socially responsible manner
managers
those in charge of sections of an organisation
managers characteristics
managers interests
to perform their roles well, leading to the achievement of the business' objectives.
they would want the business to be successful so that it continues to operate.
they may be entitled to bonuses if the business meets performance targets and makes significant profit.
want the business to perform financially and, in return, expect to be fairly remunerated
will typically want the business to be socially responsible as this is likely to lead to increased sales
need to satisfy as many stakeholder expectations as possible while making sure that their position in the business is secure
employees
the workers in a business who are paid an income in exchange for their labour
employee characteristics
employee interests
to perform their duties well so that they keep their jobs and may be able to pursue career paths and gain promotions
expect to be paid fairly, trained properly and treated ethically in return for their contribution to production
need to know that their job is secure in the long term
customers
people or organisations who purchase the goods and/or services that are made by the business
customer characteristics
customer interests
to continue to be able to purchase products at the price and quality that they have become used to
expect to purchase quality products at reasonable prices and to receive high levels of service
are becoming increasingly aware of socially responsible businesses, and many will purchase products from businesses they know have acted in a socially responsible manner
suppliers
supplier characteristics
supplier interests
to see the business increase its sales, so that its demand for supplies or raw materials increases, earning greater profit for the supplier
must provide quality materials that are delivered reliably (in the right quantities at the right times) to ensure that the business makes a profit
expect to be paid promptly and in full
the general community characteristics
the general community interests
expect that a business will give back to society something of what they take out in generating profit
expect businesses to show concern for their future welfare through their own employment within businesses
expect the business to show concern for the environment
Structuring of answer… Sentence 1
State who the stakeholder is
Sentence 2
Provide one of their interests
Sentence 3
State who the second stakeholder is
Sentence 4
Provide one of their interests
