An Introduction to Stakeholders
Origins of the Stakeholder Concept
The stakeholder concept has become central to understanding business and
society relationships. The term stakeholder is a variant of the more familiar and
traditional concept of stockholders—the investors in or owners of businesses.
What is the stake in stakeholder?
A stake is an interest or share in an undertaking.
A stake may also be a claim. A claim is a demand for something due or
believed to be due.
The idea of a stake can range from simply an interest in an undertaking at
one extreme to a legal claim of ownership at the other extreme.
In between these two extremes is a “right” to something. This right
might be a legal right to certain treatment rather than a legal claim
of ownership, such as that or a shareholder.
What is a stakeholder?
A stakeholder is an individual or group that has one or more of the various
kinds of stakes in a business.
Just as stakeholders may be affected by the actions, decisions,
policies, or practices of the business firm, these stakeholders also
may affect the organization’s actions, decisions, policies, or
In short, a stakeholder may be thought of as “any individual or
group who can affect or is affected by the actions, decisions,
policies, practices, or goals of the organization.
Who are businesses stakeholders?
The production, managerial, and stakeholder views of the firm
Primary and secondary stakeholders
Core, strategic, and environmental stakeholders
A typology of stakeholder attributes: legitimacy, power, urgency
Strategic, Multifiduciary, and synthesis views
The strategic approach views stakeholders primarily as factors to