1.4 Oxford textbook
Stakeholder
A person, group or other business that are directly impacted, either financially or physically, by the operations and functions of a business.
Internal stakeholder
Have a direct involvement in the company. The business has certain responsibilities towards these parties.
Includes employees, managers, shareholders.
Employee
Individuals hired by the business to carry out its operations. Interest in a business include job security, good salary, opportunities for growth and better working conditions.
Managers
Individuals belonging to the executive management and board of directions. Interests in the business includes increased financial performance, meeting strategic and tactical goals, satisfying shareholders and ensuring smooth functioning
Shareholders
People or organisations that invest in a business. Buying shares in hopes for a profit. Interests include growth of profits, unique long term vision, efficient workflow and liquidity.
Dividends
Profits made by the company that are divided among the shareholders.
External stakeholders
Not employed by the business and doesn't have any direct involvement. Includes customers, local community, government and suppliers.
Customers
Quality, quantity and price of product has a major impact on a buyer's decision, which becomes the business' priority to get buyers' attentions. Interests, services, quantity, quality, distribution and pricing.
Local community
Groups interested in a company's ethical practices/impact on the community. Interests include environmental practices and the creation of jobs.
Government
Collection of taxes and evidence that all relevant regulation and legislation requirements are being met. Interests include employment and taxes, appropriate business practices and protection of the environment.
Suppliers
Financial/provide materials to the company. Interests include profits and increased demand for their goods.
Creditors
Invest in a business or provide capital in the form of loans. Priority is to receive adequate returns on investment.
Competitors
Want to informed about the business in order to improve and adjust their own strategies.
Conflict between stakeholders
When stakeholders have goals that do not align with each other. It affects the performance and public image of the business.