Tesco STakeholders Essay
Organisation One – Tesco A stakeholder for Tesco may be someone that has the job of affecting their organisation either in a good way or a bad way. Below are listed main stakeholders in a business. -Workers A worker at Tesco is someone who has a clear interest in the business they are working in. They tend to rely on work for their income, bonuses, discounts and holiday pensions. This meaning they either like or do not have to like their job but they are still working because they need it to live by. Although they are helping Tesco by a significant amount they may take this as a chance of security for their futures.
-Managers A manager’s role is to manage the people who do actually do the work. The manager is there to make the group more effective than they would be without him/her. This meaning that the work done by the actual workers should be a reflection of good management by the managers. This makes managers responsible for anything positive or negative being carried out by the workers. -Customers A customer is the recipient of a good or service. They are the main reason a business like Tesco is able to sell goods. If there were no customers, there would be no one to retail to therefore no profit will be gained.
Customers are the most important stakeholders and need to be kept happy to ensure that they continue to purchase goods from that particular supermarket. -Suppliers Supplies ensure that goods are distributed to the business. This can also be referred to as the distribution channel which is the path through which goods and services travel from the vendor to the consumer. A distribution channel can be as short as a direct transaction from the vendor to the consumer, or may include several interconnected intermediaries along the way such as wholesalers, distributes agents and retailers.
The suppliers have an interest in Tesco because if Tesco goes bust then the suppliers will lose a majority (potentially all) of their output, thus causing the suppliers to go bust -Government The government has an interest in Tesco because if Tesco is successful and makes a profit they pay tax (eg. Corporation tax) and the employees pay income tax. Also if Tesco is making a profit they are likely to invest in new technology which will improve the balance of payments which is made up of consumers, firms, the government and imports-exports. If Tesco increases investment then there will be a positive multiplier effect.