Discuss the impact of stakeholders onTesco PLC and Process Instruments (UK) Ltd.

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Impact of stakeholders on the purpose of 2 contrasting organisations

        Stakeholders are very influential people who range from individuals, organisations and they are people who have an interest in the decisions that businesses make. Stakeholders can be either external stakeholders or internal. The external stakeholders are groups who are outside the business and internal stakeholders are groups within the business who work in conjunction with the business.

The stakeholders can affect the purpose of an organisation and I have chosen two businesses to study how the stakeholders can influence them. The businesses I have chosen are; Tesco PLC and Process Instruments (UK) Ltd.

The purpose of Tesco is to maximise profit, expand to become a bigger company, provide a retail service and sell goods to the customer therefore they operate in the tertiary sector. Tesco do however; offer other services such as banking and pet insurance as well.

The purpose of Process Instruments is to manufacture process instrumentation locally through research and development which will help the local economy. Although they sell their items, their main aim is to manufacture products so they are in the secondary sector.


Customers are external stakeholders and they want the company to produce products of great quality at a great price for them and they love to see improvements that give them better value for money and this creates customer loyalty towards a business and this can be done by stocking the correct items since customers tend to identify certain brands and stick to them because they are tried and tested. The customers are Tesco's most important stakeholders because retailers, like Tesco needs customers to buy their products and use the services they offer in order to survive. Keeping customers pleased is vital and is key to the purpose of Tesco which is keeping their customers happy. To aid them in achieving this purpose, Tesco have introduced loyalty schemes such as Club Card vouchers and Price Promise which informs the customer how much they have saved on products shopping at Tesco than if they had shopped elsewhere. But, if a rival supermarket was cheaper then Tesco would issue vouchers which would be £x off at your next purchase to ensure that the customer is not disadvantaged and they do receive a good deal. The customers of Process Instruements request Process Instruments to make specific products for them therefore the company ploughs money into Research and Development so they can continue to manufacture innovative products so they can achieve their purposes of Research and Development. Also, it keeps customers happy and satisfied because the company manages to give them specialist items on request and they can see that Process Instruments is making an attemp to please their customers.


They are internal stakeholders who are employed by a business and seek job security and good opportunity of career promotion and good rewards. The company they work for provides them with a livelihood and they would want to work for a company that understands their importance. It is important that Tesco understand their importance and keep them happy so the employees can work to the best of their abilities serving the customers and without having as many employees as they do, Tesco would not be a multinational corporation as it is now. Tesco offer good training with decent pay combined with comfortable working hours which makes the experience of working for Tesco appear rewarding and exciting. Process Instruments currently have five apprentices in areas ranging from manufacturing to accounting and admin. However, it can be time consuming teaching the apprentices roles and training them. They have recruited one person on an internship doing an SEO which is an unknown science because it involves very detailed specialised programming  and it is difficult to find someone who is able to do this task because it is very specific and unique to Process Instruments.

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Suppliers want to feel valued by the company they supply and would like to be paid on time and receive  high number of frequent orders: they are important to Tesco because Tesco would cease to exist if they had no stock to sell. Suppliers stay happy with Tesco because they don't have a middle man but they deal with the suppliers by themselves which allows Tesco to get the products cheaper because there is no middle man waiting for his cut. Moreover, Tesco order in high frequency and high quantity with their trusted suppliers who they know will supply ...

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