D1 Evaluate the Influence Different Stakeholders Exert in One Organisation

1541 Words Mar 4th, 2013 7 Pages
I am going to evaluate the influence that stakeholders exert on Zotefoams PLC. I will be evaluating the following stakeholders: customers, employees, shareholders, suppliers, the government and owners.

Customers
Customers contribute to profit levels and turnover through buying products and services. People are stakeholders in a company for financial reasons; customers do not want to have to spend an excessive amount of money to purchase a product, so if one of Zotefoams competitors can produce the same product for a lower price the customer may be tempted to change suppliers.

Without its customer Zotefoams would not exist, they survive through customer loyalty and their ability to attract new custom. To ensure that they get regular
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The main powers of the Annual General Meeting of shareholders are to approve and receive dividend proposals.

An AGM (Annual General Meeting) is a meeting that official bodies and associations involving the public including companies with shareholders are often required by law to hold. An AGM is held every year to elect the Board of Directors and inform their members of previous and future activities. It is an opportunity for the shareholders and partners to receive copies of the company 's accounts as well as reviewing financial information for the past year and asking any questions regarding the directions the business will take in the future.
In reality (a company such as Zotefoams) the shareholders have little or no impact on virtually anything to do with the company. Most companies have millions of shares outstanding and thousands of shareholders. The management generally makes all strategic decisions unless the decision involves raising funds through bonds or secondary offerings, along with potential mergers or acquisitions. Issues of that significance are presented to the Board of Directors by the management and decided by the Board.

In general, management considers shareholders simply as investors, and that the shareholders are only concerned about the share price or dividend payout. They know that it is virtually impossible for general shareholders to get 50% + 1 to change the board. That is not to say the company does
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