Stakeholders Flashcards
Stakeholder
A stakeholder is anyone who has an interest in the sucess of a business
Owner
Manage business
Internal
Aims for profits
Customers
external
Purchase products
Their demand is what the business aim for
Want to know how the product compares to other alternatives
Employees
Internal.
Use their skills to work in the business and help the business to achieve its aims .
They have responsibilities for the business to work efficiently and not to break their contract
Suppliers
External
Role is to provide the best good for the business that needs them
Right is to be paid on time and an adequate amount
Local community
External
Provides feedback on goods and services
Expect high quality goods for a reasonable price
Government
To regulate, legislate and tax businesses. External.
In terms of apple they may tax them higher because of their size.
Healthy and safety checks on phones and factories.
If phones are imported may put tariffs on import.
Govt. Might put limitations on Apple so they can’t develop into a monopoly.
Can change interest rates which may affect the spending of firms and consumers
Lenders
Helps with financial support
External
Wants the business to be successful
They want to be paid back for any loans given out
Interest groups/ pressure groups
External stakeholder.
Regulate and monitor performances of businesses
Environmental protection group monitors apples wastage and how much they reinvest.
If they have removed charging ports pressure group may talk to them.
Talk to them about what they’re doing to protect the environment.
Holds all firms accountable for their societal effects
For example, pollution is the side effect of production. Trying to reduce pollution will increase costs so most businesses dont want to do this.
Problems with stakeholders
Conflicts of interest
Excessive demand
Excess in stakeholders
Environment
Harder to answer stakeholder concerns as size increase
Loose personal interaction with stakeholders when the business gets bigger.
