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providing society with goods and services 1-15 MD3 Nonmarket Stakeholders Nonmarket stakeholders are people or
groups who—although they do not engage in
direct economic exchange with the firm—are
affected by or can affect its actions
1-16 8 Slide 15
MD2 Moved slide up to precede Figure 1.2
Michael DeMasi, 7/30/2012 Slide 16
MD3 Moved slide up to precede Figure 1.2
Michael DeMasi, 7/30/2012 2/10/2014 Further Distinction Internal stakeholders are those, such as employees and
managers, who are employed by the firm They are “inside” the firm, in the sense that they contribute
their effort and skill, usually at a company worksite External stakeholders are those who—although they may
have important transactions with the firm—are not directly
employed by it
1-17 Figure 1.2 The Stakeholders of Business 1-18 9 2/10/2014 Figure 1.3 A Firm and Its Stakeholders 1-19 Stakeholder Analysis It is part of every manager’s job Process whereby identify relevant stakeholders and
analyze their interest and power Asks 4 questions: Who are the relevant stakeholders?
What are the interests of each stakeholder?
What is the power of each stakeholder?
How are coalitions likely to form?
1-20 10 2/10/2014 Stakeholder Analysis – Question 1
Who are the Relevant Stakeholders? Answer this question by drawing market and nonmarket
stakeholder maps Recognize that not all of groups are relevant to every
• Some businesses sell directly to the public and will not have
• A certain stakeholder may not be relevant to a particular
1-21 Stakeholder Analysis – Question 2
What are the interests of each stakeholder? Analyzing stakeholder inter...
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- Spring '14