Just a passer-by
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Hi guys,

I have a uni exam coming up in a week and it's about 'business environment', one of the topics is stakeholders and it will be related to 'Nike' and 'St Fagans' charity/national museum of wales.

I was wondering if someone is kindly able to provide a list and short description of the top 4-5 most important stakeholders (2 internal + 2 external) for each company and why. I have done a few but am finding it difficult now. I can think of a few but I know my answers and reasons will not get me many marks in the exam.

Thank you very much in advance to any one who has a go.
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ALikesGeetars
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I'll try and make it quick (I probably won't):

Stakeholder: Anyone who has an interest in a Business

In terms of Business Environment, let's assume the external/ competitive environment

For Nike - Internal stakeholders could range from Employees to Senior Managers
As we are talking about the external environment, we can consider the views of these stakeholders when for example, something happens to the economy (ie. a recession). If there is a recession in the economy, managers may want to make workers redundant or even lay workers off because it becomes too expensive to hold onto workers. One example linked to this is Virgin Atlantic, where thousands of workers are on unpaid leave because of the Coronavirus outbreak. It would be good to do some research to find an example of something like this but for Nike. We can also consider the views of the employees during a time like this as well. There will be great uncertainties over job security during a time like this. The first external stakeholder I can think of is customers! If there is a recession in the economy, people aren't as likely to purchase non essential/ premium products such as expensive shoes as if they weren't elastic enough already.

Another aspect of the external environment is competition. This can apply to both internal and external stakeholders. As I mentioned above about non essential items, people will not want to purchase expensive goods (during a period of recession). However, if there is an alternative in the market, for example Adidas, people are more likely to stick to a cheaper alternative. We can reference these competitive influences to Michael Porter's competitive forces model. In this case we can refer to the threat of substitution. If we were to forget about the coronavirus for now and think about how these businesses can make themselves stand out in the competitive environment, we can think about USPs, core competences and all that, but one thing I'd like to share about Nike is a production method known as Mass Customisation where customers can make design their own shoes. This makes them very attractive as customers have the freedom to choose exactly what they want instead of referring to existing products produced as a result of strenuous R&D. Not only will this be positive to the customer, it can also aid the R&D and marketing teams in understand consumer changes in taste over time. This is another external influence known as Social Change, people's tastes change over time and that's why Primary Market Research is such a complicated process as we can refer to the Market to being Dynamic and always changing so you're never going to be certain with consumer tastes. Mass customisation, and mass production in general are also heavily reliant on suppliers. If you are mass producing many different and heavily specialised products, you will need a wide range of raw materials which 1. Puts strain on the supplier to be able to supply and deliver on time but also 2. Storage and Security costs for many different raw materials. Suppliers are a key external stakeholder and they also have what is known as Supplier Power which is one of Michael Porter's 5 forces.

For the Charity/ Museum - The main objective for any charity is to breakeven. The whole point of being a charity is to be a Non-profit organisation. Especially with the virus outbreak, people aren't going to visit museums as they have to stay home! With little to no people coming in to visit the Museum and people to purchase extra items such as gifts from gift shops and food and drink from a cafe, the Museum is going to struggle financially to break even.

Sorry the museum one is short, I'm still at work but I will happily add more to the museum when I leave in about an hour where I am. Hopefully the stuff about Nike will get you along the right tracks and I will add more once I'm home
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(Original post by ALikesGeetars)
I'll try and make it quick (I probably won't):

Stakeholder: Anyone who has an interest in a Business

In terms of Business Environment, let's assume the external/ competitive environment

For Nike - Internal stakeholders could range from Employees to Senior Managers
As we are talking about the external environment, we can consider the views of these stakeholders when for example, something happens to the economy (ie. a recession). If there is a recession in the economy, managers may want to make workers redundant or even lay workers off because it becomes too expensive to hold onto workers. One example linked to this is Virgin Atlantic, where thousands of workers are on unpaid leave because of the Coronavirus outbreak. It would be good to do some research to find an example of something like this but for Nike. We can also consider the views of the employees during a time like this as well. There will be great uncertainties over job security during a time like this. The first external stakeholder I can think of is customers! If there is a recession in the economy, people aren't as likely to purchase non essential/ premium products such as expensive shoes as if they weren't elastic enough already.

Another aspect of the external environment is competition. This can apply to both internal and external stakeholders. As I mentioned above about non essential items, people will not want to purchase expensive goods (during a period of recession). However, if there is an alternative in the market, for example Adidas, people are more likely to stick to a cheaper alternative. We can reference these competitive influences to Michael Porter's competitive forces model. In this case we can refer to the threat of substitution. If we were to forget about the coronavirus for now and think about how these businesses can make themselves stand out in the competitive environment, we can think about USPs, core competences and all that, but one thing I'd like to share about Nike is a production method known as Mass Customisation where customers can make design their own shoes. This makes them very attractive as customers have the freedom to choose exactly what they want instead of referring to existing products produced as a result of strenuous R&D. Not only will this be positive to the customer, it can also aid the R&D and marketing teams in understand consumer changes in taste over time. This is another external influence known as Social Change, people's tastes change over time and that's why Primary Market Research is such a complicated process as we can refer to the Market to being Dynamic and always changing so you're never going to be certain with consumer tastes. Mass customisation, and mass production in general are also heavily reliant on suppliers. If you are mass producing many different and heavily specialised products, you will need a wide range of raw materials which 1. Puts strain on the supplier to be able to supply and deliver on time but also 2. Storage and Security costs for many different raw materials. Suppliers are a key external stakeholder and they also have what is known as Supplier Power which is one of Michael Porter's 5 forces.

For the Charity/ Museum - The main objective for any charity is to breakeven. The whole point of being a charity is to be a Non-profit organisation. Especially with the virus outbreak, people aren't going to visit museums as they have to stay home! With little to no people coming in to visit the Museum and people to purchase extra items such as gifts from gift shops and food and drink from a cafe, the Museum is going to struggle financially to break even.

Sorry the museum one is short, I'm still at work but I will happily add more to the museum when I leave in about an hour where I am. Hopefully the stuff about Nike will get you along the right tracks and I will add more once I'm home
I appreciate that so much man, thank you for this great answer!
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