Stakeholder Objectives and Influences (Edexcel A-Level Business): Flashcards
📚Flashcards
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Practise the cards
10 cards from this deck
Shareholder value
Shareholder value
Dividend payments + share price growth combined
What employees typically want from employer
What employees typically want from employer
Higher wages, perks, bonuses, job security
Divorce of ownership and control
Divorce of ownership and control
When shareholders lose influence over key decisions
What customers seek from businesses
What customers seek from businesses
Good-quality products at fair prices
What suppliers want
What suppliers want
Fair treatment, long-term contracts, fair prices, timely pay
Stakeholder approach
Stakeholder approach
Considering all stakeholder groups in decisions
Clarkson Principle: recognise stakeholder...
Clarkson Principle: recognise stakeholder...
Acknowledge stakeholder interests in decisions
Main limitation of stakeholder approach
Main limitation of stakeholder approach
Increases costs and reduces profits typically
Shareholder approach
Shareholder approach
Prioritising shareholder returns/profit maximisation
When shareholders vs customers conflict occurs
When shareholders vs customers conflict occurs
When businesses charge excessive prices