UB- Stakeholders

Question 1

What is a stakeholder?

Answer 1

Any person, group or organisation that has an interest in the activities of a business.

Question 2

• What is an internal stakeholder?
• Name the 4 types

Answer 2

Person or group directly involved in a business’s operations and has an interest in its success.
* Owners
* Shareholders
* Managers
* Employees

Question 3

• What is an external stakeholder?
• List the 5 types

Answer 3

Person or group outside of a business that has an interest in its operations, decisions, or outcomes
* banks
* customers
* suppliers
* local community
* local/national government

Question 4

2 Interests and Influences?:
Owners/Shareholders

Answer 4

Interest in the business succeeding is:
* make a profit
* receive high dividends

Influence on the business is :
* making all big decisions
* changing management

Question 5

2 Interests and Influences?:
Managers

Answer 5

Interest in the business succeeding is:

• getting promoted
• winning bonuses
• having job security

Influence on the business is:

• hiring and firing
• creating company policies
• making day-to-day decisions and long term decisions

Question 6

2 Interests and Influences?:
Employees

Answer 6

Interest in the business in the business succeeding is:
* job security
* higher pay
* improved working conditions

Influence on the business is:
* increasing/decreasing productivity
* providing good/bad customer service
* going on strike (in extreme cases)

Question 7

2 Interests and Influences?:
Customers

Answer 7

Interest in the business succeeding is :

• quality products and services
• low prices
• value for money

Influence on the business is:

• deciding whether or not to purchase the product or use the service
• affecting an organisation’s reputation by word of mouth, reviews and social media

Question 8

1 Interest and 2 Influences?:
Banks

Answer 8

Interest in the business succeeding is:
* the organisation can pay their loans in full and on time

Influence on the business is:
* permitting or denying loan requests
* changing interest rates on loans offered
* changing repayment lengths

Question 9

2 Interests and 1 Influences?:
Government

Answer 9

Interest in the business succeeding is:

• wanting businesses to pay corporation tax
• creating jobs and wealth for the population
• providing goods and services for the population

Influence on the business is:

• raising or lowering corporation tax

Question 10

2 Interests and Influences?:
Suppliers

Answer 10

Interest in the business succeeding is:

• regular orders from their customers (the other businesses)
• prompt payment

Influence on the business is:

• raising or lowering prices of goods
• changing credit terms
• changing delivery times
• increasing or decreasing the quality of their goods/materials

Question 11

2 Interests and Influences:
Local Community

Answer 11

Interest in the business succeeding is:
* firms to bring jobs to the area
* good, safe environment to live in
* good transport and communication links

Influence on the business is:
* protesting and petitioning if unhappy at an organisation’s conduct
* Boycotting the organisation