The Corporation’s Place Society

Topics: Investment, Value investing, Government Pages: 1 (316 words) Published: March 3, 2013

1. What is the issue in this case?
The issue discussed in this chapter is that due to so many fast changes such as globalization, public expectations and keeping up with that, as well as following the government policies with looking at the concerns of ecological factors and new technologies, managers are facing a difficult challenge of achieving economic results while also creating value for the diverse stakeholders. 2. Who are the relevant market and non market stakeholders in this situation? Market stakeholders are the ones that engage in economic transactions with companies while providing the society with goods and services. Examples would be employees, stockholders, customers, suppliers etc. Whereas the nonmarket stakeholders are the ones that don’t directly engage in economic exchange with the firm however can still be affected by its actions. Examples would be communities, media, government and the general public. 3. What are the various stakeholders’ interests? Please indicate if each stakeholder is in favor of, or opposed to, SunCal’s proposed development. Their interest includes plenty things such as in exchange for their investment, stockholders expect to receive dividends and, over time and capital appreciation. They also look at social objectives and their choice of investment they made. Customers look for value and quality in exchange for the purchase. Suppliers want fair compensation for products and services provided. Employees in exchange for time and effort want to receive fair compensation and opportunity as well. These are some the interest’s stakeholders have. Disney was the only one opposing SunCal’s plan, arguing that the land should be only used for tourism related development 4. What sources of power do the relevant stakeholders have? They have the ability to use resources and to make things happen or to secure a desired outcome. The four types of stakeholder power...
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