Shareholders- looking for high profits, high dividend, long term growth, prospect of capital gain, say in business, positive corporate image, preferential treatment as customers, owners of limited company- share common objective of sustained long-term growth- outcome of which provides capital gain and increases income-> can come into conflict:
institutional shareholders- investment +pension fund, often driven by need to achieve in short term-> require high dividends/ strategies to achieve short-term growth from businesses that they have invested in; strategies may be at odds with achieving long-term growth through reinvestment of profits +investing in brand value, which is what the individual, long-term investor may be looking for
Directors/ managers- focus efforts on achieving long-term objectives of business; use resources under their control to achieve maximum benefits for business + gain most from assets they manage; success/ failure of business is reflected in rewards received;
unfortunately for some businesses, main long-term objective of some managers is protection of their position- idea of self-preservation= motivator for middle managers-> establishment of whole layers of hierarchy belonging to managers whose role is to preserve position;
senior managers sometimes accused of having personal objectives that sit above that of business- demonstrated by attempting to maximise salaries + benefits whilst cutting costs through redundancies/ rationalisations;
Employees/workers- looking for high pay, job security, good working conditions, fair treatment, fringe benefits, health+ safety, promotion prospects, training opportunities; receive wage+ possibly fringe benefits such as pensions;
major concern= job security-> many businesses seeking to incorporate technology/ reduce size of workforce-> obvious conflicts in views of stakeholders;
labour force has become more aware of realities of modern employment-> less likely to take part in strikes- willing to accept job restructuring +redundancy+ prospect of relocating, retraining/ changing roles; industrial action does still take place and those employees who are members of strong trade unions influence their pay/ conditions to a greater extent than non-unionised workers