I am going to evaluate the influence that stakeholders exert on Zotefoams PLC. I will be evaluating the following stakeholders: customers, employees, shareholders, suppliers, the government and owners.
Customers contribute to profit levels and turnover through buying products and services. People are stakeholders in a company for financial reasons; customers do not want to have to spend an excessive amount of money to purchase a product, so if one of Zotefoams competitors can produce the same product for a lower price the customer may be tempted to change suppliers.
Without its customer Zotefoams would not exist, they survive through customer loyalty and their ability to attract new custom. To ensure that they get regular customers Zotefoams ensures that all of its products are the best on the market. Customer service is also held very highly. By offering these incentives Zotefoams are getting regular customers which bring in more profit which then can be used to help expand the business.
In the resent economic down-turn Zotefoams business customers have been demanding cheaper products, and with the risk of losing contacts worth millions of pounds Zotefoams has had to expand its manufacturing base with factories in the UK, USA and now in China. This diversity allows them created not only cheaper products but also more specialised one too. This has opened up a larger market for them which have increased their share prices by 50% in two years. This has all been brought on by the need to satisfy their existing customer and increase their potential one.
Employee is any person hired by an employer to do a specific job. Employees are important as any other stakeholder because they have first contact with customers so if the customers want to ask a question about the organisation or about a product then the employees can help with that and that employees could also recommend products to customers which will bring in more profit.
Employees must know about the customer service policy. If customers have a problem or an issue with a product or service then employees must know how to deal with it. Zotefoams have business and public customer that require different levels of customer service. The advantage to having a customer service for the customers is that their needs and complaints will be responded to.
In reality, there are several factors that influence how committed employees are to a company or organization. It has been proven that the more autonomy and responsibility that a job has, the less repetitive and dull that job also is and the more likely the worker is to enjoy and feel satisfied by the work. Those individuals who feel stimulated, challenged and satisfied in their jobs are much more likely to be committed to a given work environment, company or organisation. Additionally, things like promotional opportunities, pay raises and chances for cross-training and advancement all encourage commitment. Those jobs or companies where there are fewer opportunities for promotion, advancement, and education tend to have higher turnover and less satisfied employees. In essence it is a very symbiotic relationship. A business such as Zotefoams needs to employee a number of skilled employees to reach its business goals and likewise skilled employees would have the advantage of having a larger amount of employers to choose from. As a result the amount of influence employees have on a business is only (in my option) second to a business’s customer. Shareholders
Shareholders are the owners of a company. They have the potential to profit if the company does well, but that comes with the potential to lose if the company does poorly. Shareholders can influence a business in many ways. They can exert their influence by voting for particular directors or they can exert their influence by approving dividend payments at the AGM (Annual General Meeting). Shareholders play an important role in raising...
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