A stakeholder is any person, group of people or other organisation that has an interest in the activities of a business.
Businesses need to be aware of their stakeholders, as many of them will be affected by its activities. Stakeholders can also influence the decisions that a business makes.
There are eight main types of stakeholder:
|Shareholders and owners||In a public limited company (PLC), these are people who influence the business’ aims, objectives and strategic activities. In a limited company (LTD), these are people who make business decisions but need to agree them with the other shareholders. Shareholders are part owners of a private or public limited company.|
|Managers||Staff who are responsible for implementing the decisions made by the owners and overseeing the work that is required.|
|Employees||Staff who carry out the day-to-day work of the business.|
|Customers||People who buy products or services from the business.|
|Suppliers||Other businesses and organisations that provide products or services to the business, eg a utility company that supplies it with electricity, or a business that provides the seats used when producing a car.|
|Local community||People, organisations and businesses that live or are located in the area around the business.|
|Pressure groups||Groups of people who share a common interest that is related to the business, eg an environmental pressure group may actively promote a shared interest.|
|Government||The business will make tax payments to both local and central government.|