Stakeholder Theory and Stakeholders

Front

What is a stakeholder?

Back

A stakeholder is any individual, organization, or group with a vested interest in the actions and outcomes of a specific organization.

Front

What are internal stakeholders?

Back

Internal stakeholders are individuals or groups who are part of the organization, such as employees, managers, directors, and shareholders.

Front

What are external stakeholders?

Back

External stakeholders are individuals or organizations not part of the business but have a direct interest in its decisions, actions, and performance.

Front

List some examples of internal stakeholders.

Back

Examples of internal stakeholders include employees, managers, directors, and shareholders.

Front

What are the interests of employees as internal stakeholders?

Back

Employees are interested in improved terms and conditions of employment, better pay and bonuses, equal opportunities, job satisfaction, job security, and career progression.

Front

What are the responsibilities of directors in a company?

Back

Directors are responsible for the overall running of a company, advising the CEO, filing company accounts, setting targets, and monitoring activities.

Front

What are the interests of shareholders?

Back

Shareholders are interested in profit sharing (dividends), voting rights, and the financial return on their investment.

Front

Who are external stakeholders?

Back

External stakeholders include customers, competitors, financiers, labor unions, pressure groups, suppliers, the government, and the local community.

Front

What do customers expect from a business?

Back

Customers expect competitive prices, acceptable quality, safety, good customer service, and overall value for money.

Front

What are the interests of competitors?

Back

Competitors are interested in the organization's operations, finances, and performance metrics to benchmark their own performance.