Saturday 5 November 2011

Stakeholders Vs Shareholders

Stakeholders- people that have an 'interest' in the possible success/ failure of a business.

Examples- Customers, Government, Competitors, Investors, Pressure Groups, Employees, Suppliers, Media, Banks/ Lending Organisations, Shareholder.

Shareholders- a source of investment and can contribute to decisions in the business, may change it's direction.

Public-Shares regisitered on stock exchange, anyone can purchase them.

Private-Only available to friends/ family.

More money received based on size of share owned.

Dividend-Is business has profit is paid to shareholders twice a year.


 

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