STAKEHOLDER CLAIMS AND PRODUCT MARKET

Critically Examine the Connections between Stakeholder Claims and the Product Market

Critically Examine the Connections between Stakeholder Claims and the Product Market

Introduction

Stakeholders are the people who have the legal authority or right to manipulate the decisions making process of any company. Because of such huge importance of stakeholders in decision making process, a business must formulate its policies to fit the needs of most if not all stakeholders in order to ensure the success of business. Stakeholders are all individuals and organizations that are related to the company in one way or another. The term stake is usually taken to mean a portion or share in the business.

Definition of Stakeholder

Stakeholder is defined as those individuals whose actions could affect the overall functioning and reputation of the company itself. This stratum could include the employees of the company, vendors, and suppliers and so on. Stakeholder knowledge has increased with new technology and the demands that are being placed with reference to transparency and ethical behavior. In recent years, the concept of stakeholders (stakeholders) is, indisputably one of the most crucial shares to the field of business ethics. This concept expresses a moral imperative by which managers will need to consider the interests of all stakeholders (Philips & Freeman, 2011).

It is most generally accepted phenomenon that considers stakeholders employees, customers, providers and the community, other investors and the shareholders to be the most significant aspects of any given business. This implies that the stakeholders have significant investments in the ongoing goals and processes of the firm just like the stakeholders and the owners of the organization. In this connection, the stakeholder's claim has the potential to alter the product market. Thus, stakeholders ought to be considered as an inherent part of the establishment and not be taken as mere external public or constituencies which are not a part of the establishment.

Stakeholders can have a direct impact or power over the enterprise or they may have an interest in the successful or failed conclusion. Since the introduction of the concept of stakeholder management, concerns about the interests of the different types of stakeholders has been the object of study and whereas, product market is considered extremely important, if not the most important, the ethics of governance. Although the concept of stakeholders has been developed in several ways, it was most often expressed in terms of moral imperative, in which managers in decision-making must take into account the interests of all stakeholders. Thus, the duty of officials to serve the interests of all stakeholders often referred to as "stakeholder management” (Hitt, Ireland & Hoskisson, 2001).

Stakeholders Systems

From the viewpoint of system development, a stakeholder is any person or entity that is interested in conducting a project or task, sponsoring the same either by decision-makers or funding. The term stakeholder has multiple definitions, some are very large. Stakeholder is any actor who has a relationship with or interests or the organization, and others, very restricted as that of the stakeholder are an ...