Business a level, need HELPPPWatch
selling price. Andrew sells most of his milk to a large supermarket at a loss and he feels that the government should do more to help farmers. Andrew is concerned about the impact on the stakeholders if the business were to fail. Andrew has decided to invest in new technology as this should reduce his production costs. He is considering a number of sources of finance in order to proceed with the investment.
Identify three stakeholders apart from Andrew and explain the impact on each stakeholder if the business were to fail.
These would include:
- customers i.e. supermarkets and local shops
- government, including HMRC
- local communities
- some farming associations Andrew is a part of
- arguably the cows, but they're not human so they don't count
- environmental agencies
- health and safety agencies
- animal welfare groups
You should be able to assess the individual impact on the stakeholders