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Stakeholders are individuals or groups that are affected by a business or has an interest in the activities of the group. A lot of groups will have a stake in the success of a business and will benefit if it is successful, but they will suffer if the business fails.There are two different types of stakeholders:Internal stakeholders
Could have a stake in the business, if the business succeeds they get benefits and if it fails they could lose their job. They get encouraged to become shareholders to reinforce the link between business and employee.
If a business succeeds, the manager could get benefits like high salaries or things like private healthcare or company cars. The managers are responsible for the decisions that affect the success or failure of the business.
Directors, owners and shareholders
These people usually have some kind of financial stake in the business, they might own shares or be owners of the business. The directors and owners will make decisions that affect the future capability of the business. Shareholders look to the managers to make the right decisions that affect the company.