An organization is responsible to many different entities.In order to meet the demands of these groups,organizations must participate in stakeholder management.Stakeholder management means that
A) interests of the stockholders are not the only interests that matter.
B) stakeholders are second in importance to the stockholders.
C) stakeholders and managers inevitably work at cross-purposes.
D) all stakeholders receive financial rewards.

Question

Quizplus · Accepted Answer

A stakeholder can be defined as an individual or group, inside or outside the company, that has a stake in and can influence the performance of an organization. Each stakeholder group makes various claims on the company. Five key stakeholders have been identified in all organizations:owners, customers, suppliers, employees, and society at large. Successful firms go beyond an overriding focus on satisfying solely the interests of owners. Rather, they recognize the inherent conflicts that arise among the demands of the various stakeholders, as well as the need to endeavor to attain symbiosis among the various stakeholder groups.

An Organization Is Responsible to Many Different Entities