2. Stakeholders
• Any group or individual who has an
interest in or is affected by the activities of
a business.
3. Stakeholders
Shareholders
Suppliers/
Employees
creditors
Business
Government Customers
Society
Environment general
public
4. Shareholders
• Owners/investors provide capital for growth
• Expect
– management to make financially sound decisions
– increasing profit
– adequate return on investments
Employees
• The human side of a business, performance and profitability
linked
• Expect
– safe and healthy workplace
– fair treatment in promotion
– fair pay level
5. Government
• Governments at all levels have an impact on all business.
– Local, State and Federal
• Expect
– businesses to pay taxes
– adherence to laws
Society and general public
• People are part of communities and business impacts on
these communities in many ways
• Expect
– disclosure of public information
– ethical and socially responsible practices
6. Customers
• Expect
– acceptable price for goods and services
– safe, reliable products
– guarantees supported
– no misleading advertising
Suppliers / creditors
• Provide the inputs for the business
• Expect
– prompt payment
Environment
• Care and protection of immediate environment, sustainability
and care of limited resources
7. Stakeholder Activity
A large petroleum company has discovered a new product that will minimise the
use of oil in motor vehicles. As a result, it is envisaged that the product will
decrease industry profits for five consecutive years with half the industry-related
workforce eventually being made redundant. For each group of stakeholders
note the impact of this development.
Shareholders
Employees
Customers
Suppliers/Creditors
Government
Environment
Society and General Public
