Understanding Stakeholders in Business

Who can be considered a stakeholder in a business?

• Only shareholders

• Only customers

• Only employees

• Anyone with an interest in the business

What is the primary difference between a stakeholder and a shareholder?

• Stakeholders are only external to the business, while shareholders are internal.

• Shareholders own part of the business, while stakeholders may not.

• Stakeholders own shares in the business, while shareholders do not.

• Shareholders have a direct relationship with the business, while stakeholders do not.

Which of the following is an example of an internal stakeholder?

• Employees

• Suppliers

• Customers

• Local community

Which group is considered an external stakeholder?

• Employees

• Pressure groups

• Shareholders

• Managers

Why might the government be interested in a business's operations?

• To ensure the business pays taxes and provides employment

• To manage the business's internal affairs

• To oversee the business's product development

• To control the business's marketing strategies