The Internal and External Stakeholders of a Company - Essay Example

The internal and external stakeholders of a company are the entities who are affected or influenced by the business activities of M&S. This list of stakeholders primarily includes a body of governance, employees, customers, investors, and the government. Among them, the internal stakeholders are the body of governance and the employees whereas the external stakeholders are customers, investors, and the government (Fernandez-Feijoo, Romero, and Ruiz, 2014).
Body of Governance: The body of governance is the higher management of the company which operates the business activities of the company and takes all the major decisions of the company. The governance body includes the CEO and the board of directors. These individuals determine the organizational objectives and ensure that the firm is progressing towards the desired direction by constant monitoring and review. These stakeholders look after the revenue generation of the firm and the prospective areas of development.
Employees: The employees are the workforce of the company that helps the firm to achieve its organizational objectives. The employees of M&S are more concerned about how the organization is concerned about their welfare. The employees prefer to receive perks and privileges from the management which acts as a motivational determinant of their performance output.
Investors: Investors are the external stakeholders who invest in the company in hope of better return. The investors are more concerned about the financial health of the company, as their return on investment is dependent on it. Moreover, the capital generation of the company is also dependent on the invested amount. The investors closely monitor the ups and downs of the firm and invest or withdraw their money accordingly.
Customers: The customers are more concerned about the value proposition of the firm. They look for what M&S has to offer and how they will give them more value than its competitors. The growth of the company is also sought by the customers as it will determine the value addition of the company.
Government: The government is concerned about whether or not the company is running in accordance with the proper rules and regulations. The government also ensures that the company’s performance is helping to improve the economic conditions of the firm.