This lesson we will be learning about

1.5 – Stakeholders and Conflicts

What is a stakeholder?

NO IDEAI NEED HELP

NEVER HEARD OF IT

OKI CAN DO THIS WITH SUPPORT

SOME GUIDANCE NEEDEDNEARLY AT MY TARGET

GOT IT!VERY CONFIDENT

WILL HIT MY TARGET GRADE

EXCEED TARGET

Success Criteria< C •Provide a definition of the term ‘stakeholder’ (define)

•Recognise and identify the key stakeholders in a given business context•Describe how each stakeholder is affected

C > Even better if you can (Target grade C or above)•Explain the basic rights and responsibilities of different stakeholders

B > •Analyse each stakeholders needs and wants

A > QOWC and SPAG

LEARNING OBJECTIVESInvestigate the stakeholders a business has and how different business decisions affect them

Starter

Which individuals or groups are interested in or are affected by the activities of the business?

McDonalds

Starter – IdeasStakeholders

Governmente.g. HMRC

Banks/Investors

Shareholders

Employees

SuppliersCustomers

Local Community

Managers

Owners

Stakeholder

An individual or a group which has an interest in and is affected by the activities of a business; stakeholders have an interest in how the business operates and whether or not it is successful.

• ALL students must supplement their definition with 3 examples of a stakeholder

• Even better if you can identify two which might conflict

As a customer of McDonaldsYou are interested in....

Can you justify your answers?

S:\Hunter, Mrs\Year 9 GCSE (EdExcel)\1.5 Economic\Stakeholders (McDonalds).doc

Task 1 (15 minutes)

ALL- stakeholders identified with their interests described Even better if you can do this in detail for all stakeholders

ALL - For each stakeholder describe at least 2 interestse.g. Customers – They will want a good reliable, quality

product at a fair price. McDonalds customers for example want a clean restaurant with burgers that are made from 100% beef. They want food that is warm and served quickly.

 Best of all if you can analyse the interests

STAKEHOLDERS

Customers Good prices; Good quality; good company image

Employees  Good employer; non-polluting; good company image, job security

Local CommunityReduced pollution, noise and litter (low)

Management  Power; prospects; pay; perks; good company image

Shareholders Return on investment; good dividends; good company image; long-term growth

Government Pays taxes; meets legal requirements; provided employment

Suppliers Good prices; stable demand; prompt payers; long-term growth 

 

 

 

IDEAS

Customers Good prices; Good quality; good company image

Employees  Good employer; non-polluting; good company image, job security

Local CommunityReduced pollution, noise and litter (low)

Management  Power; prospects; pay; perks; good company image

Shareholders Return on investment; good dividends; good company image; long-term growth

Government Pays taxes; meets legal requirements; provided employment

Suppliers Good prices; stable demand; prompt payers; long-term growth 

 

 

 

Inland revenue collects taxes on behalf of the government. Interested in the business’s profit and loss account. The amount of tax that a business pays to the inland revenue depends upon the level of that business’s net profits.

Banks will be interested in a business’s accounts because they may have lent money and will want to see whether the

business is able to pay it back. A bank may be especially interested in how much profit the business has made over the

year.

Employees will want to see how much profit the business has made. If the business has made high levels of profits

employees may be looking for an increase in wages. Also, high profits may mean that employees’ jobs are

more secure.

Suppliers will be interested in whether the business can pay for its supplies on time. The business’s balance sheet will give suppliers this information.

Customers want to know if a business is financially sound. They will not want to place orders or pay deposits

to a business that might not be able to continue trading.

ExerciseIdentify if the stakeholder is an internal or external stakeholder (list below)Key Internal – IExternal- E

1. Employees2. Managers3. Local community4. Government5. Customers6. Suppliers7. Shareholders

Exercise - Answers

1. Employees – I2. Managers- I3. Local community - E4. Government - E5. Customers - E6. Suppliers – E7. Shareholders- I

Question

Describe two stakeholders which may conflict and why

Stakeholder Conflicts

• Each stakeholder has a different interest• Some decisions made by businesses benefit

certain stakeholders and don't benefit other stakeholders

Alternative Exercise

Case studies from the Edexcel book• 4 Examples P133 ‘Conflicting Objectives’• In your books explain where the conflict arises• Which stakeholder/s does it benefit? How?• Which stakeholder/s does it affect negatively?

How?ALL: 1-3 SOME: 1-4Write in full sentences

Over to youResource – Textbook P135Q2 and 3 only

• Q2- 6 marks• Q3- 6 marks

Even better if you can tell me who else might be affected in Q2? Internal or external stakeholder? Why? How? Is it a positive effect? Negative?

Plenary

STAKEHOLDERTry thinking of a topic from unit 1 which relates

to each letter

E.g. S = Stakeholder (you can’t use this one!)

Mini Plenary Refer back to the objectivesWhat is a stakeholder? Name 3 stakeholdersDescribe the needs of staff at Sports Direct

CONFIDENCE CHART – WHERE ARE YOU?

1 2 3 4 5 6 7 8

Test Yourself P135 Q1-3

Case Study – Quemby CaseALL - How will the local community be affected by this business? 5 marks Extension QuestionSOME - Discuss the benefits and drawbacks to customers of this service6 marks

WILF ALL students will be able to •Provide a definition of the term ‘stakeholder’ (define)•Recognise and identify the key stakeholders in a given business context•Describe how each stakeholder is affected Even better if you can (Target grade C or above)•Explain the basic rights and responsibilities of different stakeholders

Best of all if you can (Target grade B or above)•Analyse each stakeholders needs and wantsCONFIDENCE CHART – WHERE ARE YOU?

1 2 3 4 5 6 7 8

Draw your hand in the back of your books and write down 4 stakeholders that are affected by school and one target on how to improve in your learning