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Flashcards in Stakeholders Deck (13)
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1

Name 3 internal stakeholders?

-Owners
-Employees
-Managers

2

Name 7 external stakeholders?

-Suppliers
-Customers
-Providers of finance
-Governments
-Competitors
-Potential Investors
-Local community

3

What is Liquidity?

The ability of a business to access sufficient resources to pay short term liabilities

4

Why do owners have an interest in the business?

-Make sure its profitable
-see how safe investment is
-see how liquid the business is (Good cash flow)
-make sure it can pay its liabilities on time

5

Why do Managers have an interest in the business?

-To make decisions regarding policies
-To plan for the future
-To exercise control over the business
-Wrong decisions could be made if finances are inaccurate
-Security for the job

6

Why do employees have an interest in the business?

-Assess whether the business can continue trading and provide employment,wages and training

7

Why do suppliers have an interest in the business?

-Payed for goods/services
-Continues contracts

8

Why do Customers have an interest in the business?

-Viability to meet needs
-Goods ordered been supplied
-Problems after sale needs to be resolved
-Vouchers being honored

9

Why do Providers of finance have an interest in the business?

-Repay borrowing when due
-Repay interest

10

Why do Governments have an interest in the business?

-To know how much income,cooperation and value added tax is due
-To register VAT when turnover reaches £79000pa

11

Why do Competitors have an interest in the business?

-Assess performance in comparison
-Allows them to identify and rectify its own problems

12

Why do Potential investors have an interest in the business?

-Viability of a business
-Make sure would get there money back
-See if there value would grow
-Is it worth the risk

13

Why do Local community have an interest in the business?

-Noise and light pollution
-Issues with the environment
-Parking issues
-Waste disposal
-Smells
-Risks (Chemicals)