Lesson Aim: Define the role of stakeholders
and apply to a company scenario.
Understand the definition of Stakeholders (Understanding – Grade
Analyse the key stakeholders within Tesco and their
importance/interests. (Application – Grade D/C)
Analyse any conflicts of interests that occur between each group.
(Analysis/Evaluation Grade B/A)
What are stakeholders?
People or organisations with a special
interest in a business.
This is normally because they are
directly affected by the business and
how it operates – both now and in the
Types of stakeholders
Suppliers Stakeholders and
Pressure The local
Stakeholder interests 1
All stakeholders have different types of
Customers – price, quality, range of supplies,
opening hours, facilities, etc
Employees – pay, working conditions,
Owners/shareholders – profit, share price,
The local community – road building,
pollution, safety, house values, jobs
Stakeholder interests 2
Government – legal issues, environmental
Pressure groups – interests of members
and those they represent
Suppliers – price paid for their supplies,
Financiers – profits, return on money
invested, repayments of loans
Identify the main stakeholders of Wootton
Explain why they have a stake within
Extension: Identify the key stakeholders?
Power and influence
Some stakeholders are
powerful. They can
influence how the business
Some stakeholders have
little power. The business
can virtually ignore their
Identify the powerful
Which three have the power?
An individual employee in a large firm
A bank which has lent a lot of money to a
A supplier of a major product, eg Microsoft
A small supplier to a large supermarket
An important customer of a small firm
Conflict and stakeholders
Stakeholders with different interests may be in
Local community against expansion of
business, employees want job security
Shareholders want high dividends, managers
want to use profits for investment
Suppliers want high prices for goods they
supply, customers want low selling prices
Identify the conflict of interests at Wootton.
Why do they exist and what does each
All stakeholders have an interest in a business.
Different groups have different interests
Interests may conflict
Business will be most likely to respond to
the most powerful groups