Please enter something

BUS 101 Stakeholder Case Information

question

Definition of Stakeholder
answer

All those who affect, or are affected by the actions of the firm
question

The Stakeholder theory of the firm
answer

Corporations serve a broad public purpose which is to create value for society.
question

Ownership theory of the firm
answer

The firm is seen as property of its owners. Aka owners’ interests are more important that others.
question

Explain the Stakeholder Concept
answer

Stake = interest in, or claim on, a business enterprise
question

Define fiduciary
answer

Responsibility
question

What is a market stakeholder?
answer

One who engages in economic transactions with the company as it carries out its primary purpose of providing society with goods and services.
question

What is a nonmarket stakeholder?
answer

A person or group who affects the firm’s actions
question

Is government a market or nonmarket stakeholder?
answer

Nonmarket stakeholder (for the purpose of this class)
question

define ‘role sets’ in regards to stakeholders
answer

when something is both a market and nonmarket stakeholder
question

define stakeholder analysis
answer

to identify relevent stakeholders and to understand their interests and the power they may have to assert these interests. Its the manager’s job to do stakeholder analysis.
question

What are the 5 relevent stakeholders that we work with in class for stakeholder analysis?
answer

Customers, Employees, Suppliers, Community, Owners
question

What would an Owner Stakeholder be most concerned with?
answer

Anything that leads to making money
question

What would a Customer Stakeholder be most concerned with?
answer

Making sure the product is worth the money
question

What would an Employee Stakeholder be most concerned with?
answer

Good work environment, fair pay, safe job security.
question

What would a Supplier Stakeholder be most concerned with?
answer

regular orders, prompt payment
question

What would a Community Stakeholder be most concerned with?
answer

employment for residents, local development; protect local environment
question

What is a Salient Stakeholder?
answer

One who stands out. Managers map out all stakeholders and find the most salient ones.
question

are owners always stakeholders in stakeholder analysis?
answer

Yes, even if they aren’t even mentioned in the case.
question

Define ‘Red Herring’
answer

Distracting unimportant information
question

Define ‘Mitigate’
answer

To make less severe