Chapter 1 : People in Business Flashcards
Name all the stakeholders in a business.
- Entrepreneur
- Investor
- Employer
- Employee
- Producer
- Consumer
- Manager
- Supplier
- Service provider
- Government
- Local community
Definition : Wage
A wage is money earned by an employee based on the number of hours worked.
Definition : Salary
A salary is a fixed payment to an employee regardless of hours worked.
What is an interest group?
An interest group is a group of people who meet and campaign for a common goal.
What is the purpose of an interest group?
Interest groups have more power, skills and capital when they work together and are more likely to be listed to by decision makers. They use various techniques, including boycotting, negative publicity campaigns and lobbying.
Definition : Boycotting
Consumers refuse to buy goods or services from a firm to show their dissatisfaction with the business. e.g. because it has exploited workers.
Definition : Lobbying
This involves trying to persuade decision markers to support laws or rules that give an advantage to the industry or organization.
What are the 3 types of interest groups?
- Business interest groups
- Ibec (Irish Business and Employers Confederation)
- ISME (Irish Small and Medium Enterprises Association) - Trade associations
- SIMI (Society of the Irish Motor Industry) - Other interest groups
- Trade Unions e.g. SIPTU (Services, Industrial Professional and Technical Union).
Name the 4 types of relationships between stakeholders.
- Co-operative Relationship
- Competitive Relationship
- Dependent Relationship
- Dynamic Relationship
Explain “Dependent Relationship”
When stakeholders need eachother for success. They’re not able to achieve their goals without the help of another stakeholder.
Explain “Dynamic Relationship”
When the relationship between stakeholders is constantly changing. At times they can be co-operative, other times they can be competitive and other times they can be dependent.
CEO
Chief Executive Officer
