Stakeholder and Shareholder influences - 3.4.3
Stakeholder - a person, group or organisation that has interest or concern in the activities or decision making of a business. Shareholders - defined as any person, company or other institution that owns at least one of a company's shares. They're often one of the source of finance for the business; their financial risk is limited to the value of their shareholding. STAKEHOLDER INFLUENCES The stakeholder concept suggests that a business' responsibilities are towards all of its stakeholders. Therefore the business must consider all of its stakeholders in it decisions and objectives, for example consult with stakeholders before making strategic decisions. They must also treat stakeholders fairly e.g. prompt payment to suppliers, fair pay and conditions for employees, as well as addressing the business' impact on the wider community such as environment footprint. Stakeholder influences should be seen as a genuine concern and not just a PR exercise. Stakeholders ...