3.4.3 Shareholders versus stakeholders Flashcards
1
Q
What are the three internal Stakeholders?
A
Employees
Managers
Owners
2
Q
What is a stakeholder?
A
A stakeholder is any individual or group with an interest in the actions of the business
3
Q
What are the external stakeholders?
A
Customers Suppliers Shareholders Government Local community Society Creditors
4
Q
What is the stakeholder concept?
A
The stakeholder concept suggests that a business’ responsibilities are towards all of its stakeholders
profit maximisation
5
Q
What is the shareholder concept?
A
The shareholder concept suggests that a business’ responsibilities are solely aimed at meeting the requirements of the shareholders
