CANS 406 Lecture Notes - Lecture 7: Deepwater Horizon Oil Spill, Capital Market, Social Capital
22 May 2018
School
Department
Course
Professor
Stakeholders and social responsibility
Jan 25th 2018
Stakeholders
• Individuals/groups/organizations that can affect or are affected by the firm's vision and outcomes
o Primary stakeholders: those who have direct connection with the firm and have sufficient
bargaining power to affect firm's activities
• Ex: customers, employees, suppliers, shareholders, creditors
• Government not primary stakeholder (Wheelen & Hunger), yet Carroll argues social
responsibility is essential to avoid future government regulation
o Secondary stakeholders: those with indirect interests
• NGOs: Greenpeace, WWF, Oxfam
• Activists, local communities, trade associations, competitors, governments
o Assess impact of proposed strategic decision on each stakeholder group with particular
attention to economic impacts on primary stakeholders (Wheelen & Hunger view)
• Social responsibility
o Socially responsible for whom?
• Link between social responsibility and stakeholder analysis
o Ways of identifying, assessing, prioritizing and addressing stakeholders claims
• When to seek stakeholder input
▪ BP oil spill in Gulf of Mexico
• When might one ignore stakeholders
• Primary stakeholders: impact due to multiple factors
• Three stakeholder groups: capital market, product market and organizational stakeholders
find more resources at oneclass.com
find more resources at oneclass.com
find more resources at oneclass.com
find more resources at oneclass.com
