3.4 (part 2) Flashcards
stakeholders
an individual or groups who have an interest in a business’ activities and are also affected by it
external stakeholders
individuals or groups outside a business with an interest in its activities
e.g. consumers, shareholders, suppliers, government and so on
internal stakeholders
individuals or groups inside a business with an interest in its activities
e.g. managers, employees, investors, board of directors and so on
shareholder value
implies that the ultimate measure of a company’s success is the extent to which shareholders are enriched
corporate social responsibility (CSR)
a business assessing and taking responsibility for its effects on the environment and its impact on social welfare
it involves the idea that businesses bear responsibility beyond their shareholders
ethical codes of practice
statements about how employees in a business should behave in particular circumstances where ethical issues arise
ethics
the moral rules or principles of behaviour that should guide members of a profession or organisation and make them deal honestly and fairly with each other and their stakeholders
living wage
an hourly rate of pay based on the basic cost of living, set independently of government and updated annually
national minimum wage
the minimum pay per hour all workers are entitled to by law
remuneration
the reward for work in the form of pay, salary or wages, including allowances and benefits, such as health insurance, bonuses and pension
sanctions
sanctions are restrictions imposed on trade or investment with the aim of influencing a policy change in another country
trade embargoes
are included in sanctions
when commercial shipments are banned in and out of a particular country, or placed on a particular product
