This is an example of a Pressure Group called Trade Union Usdaw who are taking immediate reaction on the employees who have lost their jobs at Boots Plc. This shows that they have power and are important for the business. Usdaw who in the past have succeeded in other business when their announced that they have reduced they employment, at this point Usdaw came in and they succeeded in making things right. They have influnced loads of employees and helped them a lot over the years.
Local Community
Local Community are an important part of society as well to Boots Plc. Local Community depend on Boots Plc to provide Employment around their society. Local community expects the following things from Boots Plc are: -
- They want Boots Plc to provide employment for people living around Batley and Dewsbury
- People living in Batley and Dewsbury wants Boots Plc to prevent environmental pollution, noise or any other problems that might affect the local community
Large business like Boots Plc needs to operate within the community in Batley. Boots Plc being a large business will provide employment; minority of the money earned will be spent locally. Boots Plc attract other business - e.g. suppliers and this will create more jobs. It may also create problems like extra traffic. Sometimes there are laws to cover this, such as not operating noisy machinery between certain hours or not polluting the air and water but this does not apply to Boots Plc, as they do none of those things. Some businesses are asked to regulates its own activities like car parks etc, but Boots Plc have never been asked to do this as their car parks comes in the local community’s town car park. Other major businesses contribute directly to the local community’s by sponsoring or other activities, however Boots Plc don’t do this. The local community welcome Boots Plc because they bring benefits by providing employment.
Government
Government plays a very big part in Boots Plc for instance if Boots Plc wants some information regarding their business they have to respond to the government and also Boots Plc are legally obliged to pay taxes to the inland revenue which is done through the government. The government have a variety of reasons to be interested in Boots Plc, and some of them are: -
- Inland revenue collects income tax from Boots Plc. This government agency are particularly interested in the financial affairs of Boots Plc
- Another government agency, which has a duty to collect taxes, is Customs and Excise. It collects added tax (VAT) and also keeps an eye on the financial affairs of Boots Plc
- Regional offices collect a wide range of information on business on behalf of the government and is also run by the government
Boots Plc are expected by the government to provide the goods and services that the economy needs and also to provide employment. Government expect from Boots Plc goods to and services to be sufficient and of sufficient quality, to allow the country to trade with the rest of the world and the economy to grow. Government also expect from Boots Plc to provide employment, which is fair, safe and fairly paid. Employees provide the government with income through taxation.
Financers (Banks/Creditors)
Financial position of Boots Plc is very healthy so they don’t rely on banks for their debts or rely on them for giving them loans. The bank therefore will not need any information on the business and their financial position and how much profit they have earned or much profit they have lost.
Suppliers
Boots Plc must have good relation with their suppliers for preventing conflicts between them. Boots Plc suppliers want regulars orders from them as this helps them to be successful and increase their profit and also they want to make their financial position healthy and don’t want to be in debt. They want to supply a business which are reliable and which have a stable income in the business so that they can assure that they will be paid on time.
Customers
Customers play an important part in the Boots Plc, as they are Boots Plc main concerns. It also shows that they are willingly fulfilling customers’ need and expectations. These include: -
- Good-quality products delivered on time
- Reasonable prices
- For high technology after-sales service is vital
Roles of internal Stakeholders and their influences
Employees
Employees are essential to Boots Plc because without the employees they would have no business to run. Part-time or full-time employees are important stakeholders for Boots Plc. Because they are involved with Boots Plc very closely, there are likely to have strong influence on how to run the business. Expectations of employees are likely to include the following: -
- Clean and safe working environment
- Job security
- Rewarding the quality of their work
- Opportunities for promotion and a career structure
- Competitive pay rates and discounts on company products
Owners
Owners of Boots Plc have financial interests in the business.
- In the long term the owners of Boots Plc hope that the share price of the company will rise.
- Owners of Boots Plc want to receive large and increasing proportions of the company’s dividends.
- Owners of Boots Plc have other interests like international investment because the trade fairly and try to avoid environmental damage.
Owners of a Boots Plc are likely to be interested in the success of Boots. Like any other single group their influence is ultimately is greater then them. Owners of boots Plc have hopes and ambition for the business which has lead the to put their own money into it. This shows us that the owners of Boots Plc are very motivated to see the business succeed.
Managers
All the managers of Boots Plc as well as the directors of Boots Plc are the company’s stakeholders. Junior employees in Boots Plc don’t have a bigger say than the mangers who also have a say in how the business is run. Manager’s expectations are the following: -
- Reputation is vital so the managers want to have a good reputation for being successful locally and nationally
- Working in a business that is constantly growing
- Also want a greater role in making decision
Managers of Boots Plc are responsible for the efficiency of running the business. Manager of Boots Plc have the power to be innovative. The managers can also be responsible for the failure or the success of Boots Plc than the owners. It is important that the owners are appointed with care and are properly rewarded for their management abilities. This is why senior managers can attract very high salaries, for their management skills.
