What is difference between stakeholders and shareholders?
A shareholder is always a stakeholder, but a stakeholder is not always a shareholder.
A shareholder owns the shares of the company.
A stakeholder is a member of a group that has an interest in the company’s business for multiple reasons apart from just stock performance and can affect or be affected by the business..
Do you really believe that some stakeholders are more important?
From an ethical approach, it is true that some stakeholders are more important than others in every practical situation. The reason for this is clearly the motive of the organization. … In most cases, the attitude of an organization towards its stakeholders is based on the immediate benefits they receive.
Why are investors important stakeholders?
Investors and stakeholders are both important There is a theory that says stakeholders can affect or be affected by the organization’s actions, objectives, and policies. … Overall, investors can be lumped into the stakeholder group, which highlights their overall impotence.
Which stakeholders have the most power?
While shareholders, company officers and customers are the most directly affected and the most directly powerful, other stakeholders can influence a business’s practices as well in a variety of ways. An unlimited number of individuals and aggregates may wield stakeholder power in four distinct categories.
Which stakeholder is most interested in profit?
Shareholders are interested in financial statement analysis to know the profitability of the organization. Profitability shows the growth potentiality of an organization and safety of investment of shareholders.
Are shareholders the most important stakeholders?
Shareholders/owners are the most important stakeholders as they control the business. If they are unhappy than they can sack its directors or managers, or even sell the business to someone else. No business can ignore its customers. … If a business doesn’t keep its employees happy, it may become unproductive.