The amount of influence a customer has will depend on the size of the business, the type of business, the amount of money that the customer spend there, and the attitude of the business's owners. 2. Shareholders:- Shareholders are the people who invest in the business. They have two main interests that the company is successful and their investment grows, and that they are paid good dividends twice a year. Shareholders aren't responsible for the everyday running of the firm this is mainly done by the directors and managers but every year there is an AGM where the shareholders get to give their opinions on the business and its activities.
Shareholders cote on these decisions, so they can influence decisions made. Unhappy shareholders sell their shares and influence the company this way. 3. Government:- The government has a positive interest in most businesses. They create employment, bring wealth to an area, and pay money to the government in the form of taxes. People who are working also pay, and don't claim benefit from the government. However, the government also has to regulate businesses so that they do not behave illegally.
For example, there are laws against selling dangerous goods or against agreeing to fix prices with other shops in the local area and there are also laws to protect the businesses from employees who try to steal from the company or damage it in any way. The government tries to protect everybody and make business fair. As well as regulating business, the government encourages forms through grants and through providing specialist support. It also collects national statistics and publishes useful information. 4. Local community:
The people who live and work in the area around a business have an interest in noise, smells coming form the business e. g. fish shops, factories and people coming and going around the company. They might be disturbed themselves or might think their house will worth less because of the business. Usually, planning laws prevent businesses affecting the community by having industrial and residential areas separate, but this isn't always the case e. g. new motorways have to be build near houses sometimes. The community can complain by speaking to the owner of the business, by contacting local press or by complaining to the local council.
The Shareholders of the company has more influence than the Stakeholders as the company could have a conflict which often arises because while shareholders want short-term profits, the other stakeholder's desires tend to cost money and reduce profits and they have influence on making decisions because if they don't feel satisfied by the company they can take their investment away resulting a decrease in a share price which means less money for the business. Shareholders also vote on decisions which are done throughout the company.
Customers would have an influence over the company as they want good cars to be sold by HR Owen. The cost play a vital part on the company because the cost of the car should be decent for customer attractions. If HR Owen doesn't meet the demands of their customers they could go to the media which could lead to bad reputation on the business. * Employees/owners have got an influence over the business as they are the most important people because they make all the dealings with the customers; they also negotiate the right price with their customers.
If they don't meet the customer's expectations the company could have a bad reputation and they could have a bad loyalty towards their customers. As customers can have an indirect impact on the business e. g. employees could go on strike. *Government does have an influence over the company as its job is to take care of all the legislations which comply with the company. If the company fails to meet these demands then they could get sued and could lose customers due to failing the legislations.
Suppliers have a big influence as they have to deliver the cars to the organization but if they feel the company is not making appropriate effort to their customers. They have an influence on the promotions done by the company and the no. of cars allocated by the company as they want to know how the company is proceeding because if it is working hard suppliers will not be much valued to the organization that means they could delay their stock to the company.