Exploring Business Activity

Topics: Business, Corporation, Public company Pages: 13 (4094 words) Published: April 15, 2011
International Business studies|
Unit 1: Exploring Business Activity|
M1, M2 and M3|
Tristan Dik – IBS3B|

M1: Explain the points of view from different stakeholders seeking to influence the strategic aims and objectives of two contrasting organisations. M2: Compare factors which influence the development of the internal structures and functional activities of two contrasting organisations. M3: Analyse how external factors have impacted on the two contrasting organisations.|

Stakeholders interests in Schuurman schoenen:3
The stakeholders for shell:4
Resources committed by the stakeholders:5
By function6
By product6
By process6
By type of customer7
Ownership structure9
business environment9

“Explain the points of view from different stakeholders seeking to influence the strategic aims and objectives of two contrasting organisations”

The two contrasting companies chosen are:
The private company is schuurman schoenen, this is a franchise company. The franchise is taken on by the CEO of a couple of other companies. The public company chosen is Shell. This is a large company that sells share on the stock market. The company has a large number of shareholders that benefit on the company’s performance.

Stakeholder’s expectations in general:
The interests from stakeholders in the company are based on the performance of the company. These are interests that can be set on a positive performance; the owner(s) of the company have an interest in the overall performance and the success of the company, and might find out if they can expand, or increase the business performance in any way. The employees and community have an interest in the company which is related to the overall job and career opportunities, the rate of pay is a strong factor on which the employees rely, and the job security, which can be based on the overall performance of the company. The community can be interested in how the company deals with its environment and how it deals with waste. Other companies and/or the government can be interested in the company’s performance because of the VAT and taxes. The government also is able to check the company on things that are agreed on, or that are stated in the law. Creditors can check the company’s performance for their liabilities, whether or not the company’s liquidity and so their ability to pay is good and if the company can get a new loan at the bank. Suppliers are interested in the company’s performance to see whether they can receive their money on time

Stakeholders interests in Schuurman schoenen:
There are several stakeholders involved and interested in the well doing of the company’s performance. Let’s start with the owner, the owner of the franchise of Schuurman has a chain of companies, that all have to perform well. When doing well, these companies will grow and the overall performance increases the owner can reinvest money in the company, or in setting up a new location for this branch. Towards other stakeholders this made revenue will increase the trust in the company. This is beneficial to the owner because it sees its branch increasing and possibly it’s revenue growing. Which in time will increase the brand image of the company and the number of returning customers. This takes us to the employees of the company, which on their terms have other interest in the company. The employees are interested in the rate of pay, which in schuurman is based upon a couple of factors. These factors include, their job, the age and how long they have worked for the company. These are all factors in which the employee can grow. The employee could gain skills with which they can eventually take on a new or higher based job. The hourly wages minimum is set by the government, these are non-negotiable and...
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