What Effect Do Business Decisions Have On Stakeholders?

Slides:

Advertisements

Similar presentations

Introduction to Small Business

Advertisements

This lesson we will be learning about 1.5 – Stakeholders and Conflicts What is a stakeholder?

Business Accounting GCSE Business Studies tutor2u™

IB Business & Management – A Course Companion (2009), p

3.1 Sources of Finance Chapter 18 Part 1.

PM/09/02NQBM - STAKEHOLDERS1 STAKEHOLDERS The people who are affected by the success or failure of the business are known as STAKEHOLDERS.

Topic 3 Accounts & Finance

4.2 Sources of Finance (where can companies get money?).

 a type of credit that is typically started at the time of purchase for a specific asset  Common for purchases of $1,000 or more  Ex. car, motorcycle.

ACCOUNTING FUNDAMENTALS UNIT :5 CHAPTER 29 PAGE 528.

EDEXCEL BUSINESS for GCSE © 2009 Ian Marcousé and Naomi Birchall Section 3 Putting a business idea into practice.

Chapter 3: Finance Abiel Zewolday Gloria Evstatieva Peter Dolittle Gabriela Perdomo.

Cash flow planning Unit 8.

Unit 1.5: Stakeholders Reading Focus Learning outcomes

Level 1 Business Studies

Unit 2.5 What is a Successful Business?. Winning 1 st Prise Getting the answer right Being Rich? Being Happy Having a Big House How do we judge success?

BUSINESS STAKEHOLDERS Shareholders – “joint owners” of the business;they all own shares in the company = entitles them to a share in the profit,known as.

Business Basics: Our Business World. My expectations of you… o One person speak at a time o Be respectful and value the opinions of your peers o Ask questions.

Importance of Business Accounts Show awareness of the different users of accounts. Show knowledge of what users might look for in the accounts of a business.

Someone who is willing to take the risks involved in starting a business. Entrepreneurs believe that the rewards of starting a business are worth the risks.

STAKEHOLDERS Definition: People who have a key interest in the business.

To understand what is meant by the term stakeholder Stakeholders Local community Competitors Owners/shareholders Government Employees Lenders Suppliers.

Salary vs. Hourly Wage What is a Salary? What is an Hourly Wage? Is it the same in all states?

Types of stakeholder Internal: internal to the firm Internal: internal to the firm –employees –shareholders /owners Connected: connected by a relationship.

1 BUSINESS MANAGEMENT 2.5 What is a Successful Business?

Stakeholders. DO NOW Page 71 Tata Nano Divides Opinion answer all questions at the top of page 72.

Business Management – Higher Business Enterprise Business in Contemporary Society Stakeholders.

money you have in a bank either in checking (where you can use the money with an ATM card or by writing a check) or savings (where you earn interest)

4.2 Sources of Finance (where can companies get money?).

Business & Management Topic 1 Stakeholders. Learning Objectives To know what is meant by a stakeholder Be able to differentiate between internal and external.

USES AND USERS OF INFORMATION. Learning Intentions Know the purpose of analysing financial information Know the purpose of analysing financial information.

Financing Growth Unit 3 Topic

1.4 Stakeholders. Stakeholders Not to be confused with Shareholders. Shareholders own a share in the company. Stakeholder is anyone with an interest in.

Reporting to Stakeholders. What are Stakeholders? An individual or group with an interest in an organisation An individual or group with an interest in.

Stakeholder of LSOs. Stakeholders Definition Any individual or group that interacts with and has a vested interest in an organisation. KNOW THIS DEFINITION!!!

Aims of Stakeholders Different groups of stakeholders will have different aims in an organisation Shareholders – will be interested in healthy profits.

GCSE Business StudiesFinance - TERMS This is a cost that does not change with the amount the firm is producing or selling. Usually expressed in terms of.

SOURCES OF FINANCE. BUSINESS GROWTH - START UP CAPITAL ON THE LEFT, ONGOING FINANCING NEEDS ON THE RIGHT……

Lim Sei cK.  Matching exercise to test your understanding of the various sources of finance.

Stakeholders Inland revenue Banks Shareholders Employees Suppliers Customers.

Topic 3 Stakeholders and their influences Mr. BarryYear 12 BTEC Extended.

Stock Market Game.  “It’s a great business decision that also benefits all of our stakeholders” - Martin Shkreli  Side note: A stakeholder is anyone.

STAKEHOLDER INTERESTS. Definition of Stakeholder..  A person or group that has an investment, share, or interest in something, as a business or industry.

Finance & Sources of Finance IB Business Unit 3 Finance.

Chapter 13 Stakeholders. Chapter Outline STAKEHOLDERS INTERNAL CONNECTEDEXTERNALCONFLICT.

Finance for.... Fixed assets 1.Retained profit 2.Share capital 3.Bank loan 4.Hire purchase 5.Leasing Working Capital [to help cash flow] 1.Trade credit.

CASH FLOW PLANNING UNIT 8. THIS UNIT WILL EXPLAIN THE IMPORTANCE OF CASH FLOW TO BUSINESS OPERATIONS HOW FIRMS CAN RUN SHORT OF CASH AND THE LIKELY CONSEQUENCES.

Financial Management Decisions n Investment: What assets to own? n Financing: How to pay for those assets? n Dividend: What to do with Net Income?

Lim Sei cK.  Matching exercise to test your understanding of the various sources of finance.

Learning Intentions: Success criteria:

Management of Working Capital. Balance Sheet A financial statement that summarizes a company's assets, liabilities and shareholders' equity at a specific.

Business Studies Find your chair: Look at the picture what does this mean to you? Be prepared to answer if called upon: This does not require any verbal.

Unit 18. The big picture When starting a business you will need to raise some money to be able to get the business started. There are two ways of raising.

HIGHER BUSINESS MANAGEMENT Finance. Content Sources of Finance Cash Budgeting  Analysis  Issues & Solutions Final Accounts  Trading Profit & Loss 

Cash Flow Forecasting. STARTER Think about the bill payer in your household. What things need to be paid each month? How are those bills paid for?

BALANCE SHEET. Starter – DON’T LOOK IN BOOKS !!! What does a Trading, Profit and Loss Account show? What does an Appropriation Account show? How is it.

Interest Rates.

Just what is a stakeholder?  A person or group whom the product will directly or indirectly affect  Stakeholders can be divided into internal and external.

Business Decisions and Stakeholders. What is a stakeholder? A stakeholder is anyone who has a vested interest in the activities and decision making of.

Activate - What are stakeholders? Anyone who has an interest (or stake) in or is affected by the activities of a business THINK! For CCS, who are the stakeholders?

Activate - What are stakeholders? Anyone who has an interest (or stake) in or is affected by the activities of a business THINK! For CCS, who are the stakeholders?

Internal stakeholders

STAKEHOLDERS WHAT ARE THEY?.

Stakeholders The stakeholders of a business are those individuals or groups who are affected by the activities of the business and so have an interest.

What Effect Do Business Decisions Have On Stakeholders?

To understand what is meant by the term stakeholder

Stakeholders Understanding Business Higher Business Management.

Lesson Objectives To consider what we mean by the term “Stakeholders” in relation to business.

What Effect Do Business Decisions Have On Stakeholders? Mrs Gutteridge

Presentation transcript:

What Effect Do Business Decisions Have On Stakeholders? Unit 1 Topic 1.5.5

Lesson Objectives Must learn: what is meant by a stakeholder Should learn: why stakeholders are important to a business Could learn: how business decision can affect stakeholders

Starter – Who are stakeholders? http://www.tes.co.uk/teaching-resource/Who-are-stakeholders-6173961/

Starter- What are stakeholders? Anyone who has an interest (or stake) in a business THINK! For Hodge Hill School, who are the stakeholders? (not steak-holders!))

An Example of Stakeholders

Stakeholders

Who Are The Stakeholders?

Internal or External Stakeholders?

Primary or Secondary Stakeholders?

What do Stakeholders Want?

Conflict

Stakeholder Influence

Stakeholder conflicts vs Shareholders Managers Employees Customers Suppliers Local community

Stakeholder conflicts Shareholders Managers vs

Stakeholder conflicts Shareholders What should happen to the profits? Managers What should happen to the profits? vs

Stakeholder conflicts Shareholders Want the profits to be paid out in dividends Managers Want the profits re- invested in the business vs

Stakeholder conflicts Shareholders & Managers Employees vs

Stakeholder conflicts Shareholders & Managers Want loyal, reliable and cheap workers Employees Want job security and high pay vs

Stakeholder conflicts Shareholders & Managers Customers vs

Stakeholder conflicts Shareholders & Managers Want customers prepared to pay high prices Customers Want quality at low prices vs

Stakeholder conflicts Shareholders & Managers Suppliers vs

Stakeholder conflicts Shareholders & Managers Want suppliers who can deliver quality stock on time and want to be able to pay on credit Suppliers Want to be paid promptly to help their cash flow vs

Stakeholder conflicts Shareholders & Managers Want to be able to run the business with little interference Local community Want a company which respects the wishes of the local community and sponsors local events vs

External Factors & Stakeholders

Task 1 Keith owns a white goods repair company, fixing dishwashers, washing machines and other household goods. Keith employs 2 skilled workers who also go to customers houses and fixes appliances on-site. Keith has a business loan with NatWest bank and he is currently repaying them £300 per month. Keith’s main supplier is Argon Appliances who are his main provider for spare parts and replacement machines.

Task 1 Create a presentation that shows the stakeholders for Keith and the effects of the following business decisions he has recently made: Increased annual salary of all employees by 5% Has sourced replacement washing machines from B&Q as it is cheaper than buying from Argon supplies. Allow emergency call out for all customers both evenings and weekends Increased call out charges by 12% in emergencies To buy a new premises in the town centre so he can complete repairs on appliances and store more stock. For each decision say: Who is affected? How that decision might affect them? Is there are conflict of interest?

Plenary

Homework Create a mind map of all of the stakeholders for the BT group. For each stakeholder, investigate how BT are trying to meet their needs. (5 Marks)