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Representation Of A Stakeholder From A Corporation

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Abstract Within a company, a stakeholder is a person who has a specific interest in a project or ventures that exist within. Typically, the primary stakeholder of a major corporation is the employers, customers, suppliers, and even investors (2012 Report on Sustainable and Responsible Investing Trends in the United States, 2012). However, with a more modern and contemporary premise the more conservative idea to embrace other stakeholders to include people from the community, representatives of the government, as well as representatives from trade associations. The basic premise of a stakeholder from a corporation is to further enhance the value of the shareholder and to ultimately maximize its profits.
The model of stakeholder capitalism in Germany allows employee representatives the opportunity to sit on its company’s board of directors. This is mainly allowed due to Germany’s own model of business, where it is presumed that both the laborer or employee representative and the capital which is the shareholder representatives both maintain very high stakes. In the United States; however, the board of directors is typically only represented by the owners of the respected businesses. Throughout the following research both the advantages and disadvantages that are employed by stakeholders in both Germany and the United States of America. As well as how organizational units function to accomplish their given operations and mission utilizing their individual techniques.

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