Extracts from this document...

Introduction

What are Stakeholders? Stake holders are a certain group of people that have an interest in a business. Each group have their own interests in the business. Tesco has many stakeholders. They are as follows: * Shareholders * Customers * Employees * Government * Local Community * Suppliers * Financers * Pressure Groups Now I will explain what interests each group has: Customers. Generally a customer wants quality goods at a low cost. They would also want a variety of products to choose from. All customers want these things and by Tesco providing them Tesco will attract more customers because of people talking about it (Word-Of-Mouth). Tesco like most business' need their customers because they are the business' income as the customers are the people who buy Tesco's products. The customers are a bit like a pressure group because they apply pressure to Tesco to meet their needs. Meeting the customer's needs can be things such as expanding their stores or giving more variety on certain products. Tesco have feedback forms in their stores which allow customers to communicate with Tesco and tell how stores can be improved. This makes Tesco a more competitive supermarket. The comments Tesco will receive on their feedback forms will have a great influence on Tesco making them improve their stores to suit the customer needs. ...read more.

Middle

This creates more profit for Tesco making the shareholders happy while keeping the customer happy at the sae time. Tesco stores often have 'tasters' encouraging customers to buy new products. This again helps Tesco sell more products while keeping both shareholders and customers happy. Employee The employees are the people who Tesco pay to provide there service to them. They often need a variety of skills and their wage depends on the variety of skills they have. They will work in different areas of Tesco depending on the skills they have. E.G Check outs, bakery, cleaner etc. No matter where an employee works they need to have the correct skills to do the job so that they can provide an excellent service for the Tesco customers to entice the customers to shop at the store again. If Tesco notice a particular employee who tries hard at there job and provides an excellent service all the time that employee could get a pay-rise or even a promotion. Tesco need to provide their employees with good working conditions, reasonable hours and treat them fairly because otherwise the employee's will not be happy at their job which could lead to them resigning. If Tesco employees start resigning for negative reasons then word could spread that Tesco have bad working conditions and that employees of Tesco are not treated fairly meaning Tesco may find it hard to find skilled staff. ...read more.

Conclusion

Tesco also sell a range of fair trade items. These are items that ensure that 3rd world countries are better off. Tesco might not make as much profit from this but they may gain more customers from it meaning more profit in the long run. Tesco need to give good notice to there suppliers so that their orders can be finished on time. If Tesco's orders are not on time then this may make Tesco bring there custom elsewhere, usually to a supplier that can process there orders on time. Tesco will also want a good value for what they are buying. Shareholders (owners) Shareholders to me are a very important stakeholder because they own the business and will obviously want it to do well because otherwise they will not make a profit. Tesco share prices are high; this is brilliant for shareholders at the moment. With no shareholders there would be not funds; no owners meaning that Tesco cant carry on as a business. Tesco has to perform so that the shareholders can get a profit. If Tesco is not making a profit then shareholders will sell there shares and invest in a business making a lot of profit. The Tesco shares would decrease in value so people may not invest thinking that the company could go bankrupt. But because at the moment Tesco is run properly share prices are high and shares are high in demand. Unit 2 - People In Business. Myles Howson. 11G. Page 1 of 4 ...read more.

This student written piece of work is one of many that can be found in our GCSE Business, Companies and Organisation, Activity section.