Business Unit 1.4 (Skateholders)

Question 1

Skateholders definiton

Answer 1

Stakeholders
 People who can be affected by and therefore have interest or stake in actions of
the business
 e.g. shareholder, employees, suppliers, customers, competition,
government/state, pressure groups, etc.
 Stakeholder Concept – priority to stakeholders rather than shareholders

Question 1

internal Skateholders

Answer 1

internal stakeholders are Members of the organizations

Examples employees, managers, stockholders(shareholders)

 Employees
 Employment security, wage levels, conditions of employment,
participation in the business

 Managers
 Employment security, salary and benefits offered, responsibilities given

 Shareholders
 Owners of shares in the company, have decision-making power, receive
dividends (share of profit)
 Annual dividends, share price, security of investment

Question 2

External skathdolers

Answer 2

Do not form part of the business but have a direct interest inovlent in the organizations, examples customers suppliers, pressure groups, compeitiros and the goverment’’

External
 Suppliers
 Speed of payment, level and regularity of orders, fairness of treatment
 Customers
 Value for money, product quality, quality of service
 Government
 Job creation, tax payments, value for output produced, impact on wider
society/economy
 Special Interest groups (SIGs)
 Banks, creditors, pressure groups, local community, trade/labor union
 Care about individual interests: payment of debts, environment, etc.
 Competitors
 Fairness of competitive prices, strategic plans of the business

Question 3

Skateholder mapping

Answer 3

Low interest + Low power = A (Minimum effort).
Low interest + High power = C (Keep satisfied
High Interest + Low power = B (Keep informed)
High interest + High power = D (Maximum effort)