what effect do business decisions have on stakeholders?
DESCRIPTION
What Effect Do Business Decisions Have On Stakeholders?. Unit 1 Topic 1.5.5. Lesson Objectives. Must learn: what is meant by a stakeholder Should learn: why stakeholders are important to a business Could learn: how business decision can affect stakeholders. - PowerPoint PPT PresentationTRANSCRIPT
![Page 1: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/1.jpg)
Unit 1 Topic 1.5.5
![Page 2: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/2.jpg)
Must learn: what is meant by a stakeholder
Should learn: why stakeholders are important to a business
Could learn: how business decision can affect stakeholders
![Page 3: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/3.jpg)
http://www.tes.co.uk/teaching-resource/Who-are-stakeholders-6173961/
![Page 4: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/4.jpg)
Anyone who has an interest (or stake) in a business
THINK! For Hodge Hill School, who are the stakeholders?
(not steak-holders!))
![Page 5: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/5.jpg)
![Page 6: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/6.jpg)
![Page 7: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/7.jpg)
![Page 8: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/8.jpg)
![Page 9: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/9.jpg)
![Page 10: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/10.jpg)
![Page 11: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/11.jpg)
![Page 12: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/12.jpg)
![Page 13: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/13.jpg)
Shareholders Managers
Employees
Customers
Suppliers
Local community
vs
![Page 14: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/14.jpg)
Shareholders Managersvs
![Page 15: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/15.jpg)
Shareholders
What should happen to the profits?
Managers
What should happen to the profits?
vs
![Page 16: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/16.jpg)
Shareholders
Want the profits to be paid out in dividends
Managers
Want the profits re-invested in the
business
vs
![Page 17: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/17.jpg)
Shareholders & Managers
Employeesvs
![Page 18: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/18.jpg)
Shareholders & Managers
Want loyal, reliable and cheap workers
Employees
Want job security and high pay
vs
![Page 19: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/19.jpg)
Shareholders & Managers
Customersvs
![Page 20: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/20.jpg)
Shareholders & Managers
Want customers prepared to pay
high prices
Customers
Want quality at low prices
vs
![Page 21: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/21.jpg)
Shareholders & Managers
Suppliersvs
![Page 22: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/22.jpg)
Shareholders & Managers
Want suppliers who can
deliver quality stock on
time and want to be able to pay on credit
Suppliers
Want to be paid promptly to help their cash flow
vs
![Page 23: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/23.jpg)
Shareholders & Managers
Want to be able to run
the business with little
interference
Local community
Want a company which respects the wishes of the local community and sponsors local events
vs
![Page 24: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/24.jpg)
![Page 25: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/25.jpg)
Keith owns a white goods repair company, fixing dishwashers, washing machines and other household goods. Keith employs 2 skilled workers who also go to customers houses and fixes appliances on-site.
Keith has a business loan with NatWest bank and he is currently repaying them £300 per month.
Keith’s main supplier is Argon Appliances who are his main provider for spare parts and replacement machines.
![Page 26: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/26.jpg)
Create a presentation that shows the stakeholders forKeith and the effects of the following business decisionshe has recently made:
1. Increased annual salary of all employees by 5%2. Has sourced replacement washing machines from
B&Q as it is cheaper than buying from Argon supplies.
3. Allow emergency call out for all customers both evenings and weekends
4. Increased call out charges by 12% in emergencies5. To buy a new premises in the town centre so he can
complete repairs on appliances and store more stock.
For each decision say: Who is affected? How that decision might affect them? Is there are conflict of interest?
![Page 27: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/27.jpg)
![Page 28: What Effect Do Business Decisions Have On Stakeholders?](https://reader036.vdocuments.net/reader036/viewer/2022062422/56813344550346895d9a3b27/html5/thumbnails/28.jpg)
Create a mind map of all of the stakeholders for the BT group. For each stakeholder, investigate how BT are trying to meet their needs.
(5 Marks)