In this assignment I will inform you about the influence carried out by different types of stakeholders for two contrasting organisations. Firstly I will start by describing the type of the two businesses, the scale of the business, and then the type of ownership. Following on I will describe the stakeholders and their influence and how they wish to present their aims and objectives of the business. Furthermore I intend to include an in depth explanation of stakeholders ideas. Lastly I would like to evaluate the influence exerted by the different types of stakeholders for the chosen business.
Northampton college is a local public sector college, which is a part of the tertiary sector as it is providing education via college.The college is by the government department education source and is a non executive committee. The purpose of this college is to give an opportunity for a higher quality education to those who are aged 16 and above to full extent.
Tesco is a global private sector business and is a public limited company which means that it is owned by thousands of people and not just one. The main aim for Tesco is to retain loyal people and to serve customers a little better everyday. Tesco is a retailer thus it is a tertiary sector. They have an advantage of a limited liability therefore they are not exposed to much financial risks as of unlimited. They operate almost 7,000 stores around the world with over 50,000 employees.
Liability – limited/unlimited:
Liability is a company’s legal financial debts that arise during the course of business operations.
Unlimited liability is where owners are personally liable/responsible for debts.
Limited liability is where a person’s financial liability is limited to a fixed sum.
8 key stakeholders: Tesco & Northampton college
Customer – They are those who purchase goods or services for a business and are often driven by price or value.
Tesco – Their view is that they want cheaper products and their best deals from tesco.
Employees – They seek job security as well as promotional opportunities and a good pay.
Tesco – They want a suitable working environment with a good pay to support them in the personal lives. They believe that Tesco would provide them with the security of employment, and be credited when deserved.
Suppliers – They often strive to gain large and steady contracts with other businesses so they can work closely in a respectful relationship.
Tesco – They need someone to provide goods on a daily basis so they expect Tesco to give quick payments, and gain good respect within the industry.
Owners – They are often seen as key stakeholders as they have invested the most time and money into the business which makes sense to why most would want large profits.
Trade unions – They represent the interests of the employees, they aim to make their employees have a high satisfactory pay rate with upto standard working conditions.
Tesco – They wants a secure working environment for their employees and to produce a higher wage.
Employers association – Represent employees and make sure everyone is treated fairly without any dispute amongst themselves.
Government – They want businesses to provide jobs and tax revenue to help the economy grow at a steady rate with blooming opportunities for everyone capable.
Tesco – The government want to reduce having to pay for unemployment hence they support the idea of more people working there, also they want the tax collect from tesco
Local and national communities – They can have a direct impact on local and national communities. People in the local community often want jobs which are eco friendly as well as minimum pollution and damage to the area.
Tesco – The local community expect jobs from tesco and free resources to schools etc.