Stakeholder objectives

Question 1

What is a stakeholder?

Answer 1

A stakeholder is any person, group or organisation that has an interest in how a business performs.

Some stakeholders are internal to the business (owners or employees), while others are external (customers, suppliers and the government).

Question 2

Objective of owners/stakeholders

Answer 2

They want the business to be profitable, grow in value and pay out dividends.

Question 3

Objective of managers

Answer 3

They want to meet targets, grow the business, and earn rewards such as bonuses or promotions.

Question 4

Objectives of employees

Answer 4

They want job security, fair pay, good working conditions and opportunities for development.

Question 5

Objectives of customers

Answer 5

They want high-quality products and services at a fair price, with good customer service.

Question 6

Objectives of suppliers

Answer 6

They want regular orders, prompt payment and long-term relationships with the business.

Question 7

Objectives of lenders

Answer 7

They want to be repaid on time and see that the business is financially stable.

Question 8

Objectives of the local community

Answer 8

They want the business to create jobs, act responsibly, and minimise any negative impact such as noise or pollution.

Question 9

Objectives of the government

Answer 9

They want businesses to obey the law, pay taxes, create employment, and contribute to economic growth.