Advertisements
Advertisements
Question
As an external stakeholder, what interest would a company's supplier have in a company?
Options
The supplier would want to be paid for the purchases made by the company on a timely basis.
The supplier would want to know that employees will continue to have jobs.
The supplier would want to know how much it will receive in dividends.
The supplier would want to know how much it will make from its investment.
Advertisements
Solution
The supplier would want to be paid for the purchases made by the company on a timely basis.
Explanation:
Suppliers are concerned primarily with the financial stability and payment practices of the company they supply to. They want to ensure that they receive timely payments for the goods or services provided, which impacts their cash flow and financial health.
APPEARS IN
RELATED QUESTIONS
Write any two differences between Internal stakeholders and External stakeholders.
Local community is an example of ______.
The primary stakeholders in a typical corporation are:
Stakeholders who contribute to the business enterprise from outside the organisation are known as ______.
Who among the following is not an internal stakeholder?
Which of the following are the external stakeholders in a company?
Match the Column I and Column II:
| Column - I | Column - II | ||
| (a) | External stakeholder | i | Shareholders, employees |
| (b) | Government | ii | Creditors, suppliers |
| (c) | Internal stakeholders | iii | Pay taxes on time |
| (d) | Not the stakeholders | iv | Customers |
Match the Column I and Column II:
| Column - I | Column - II | ||
| (a) | Board of Directors | i | Reasonable return |
| (b) | Society | ii | Freedom to manage |
| (c) | Employees | iii | Help weaker section |
| (d) | Employers | iv | Fair remuneration |
Classify the six stakeholders of a firm into internal and external stakeholders.
Distinguish between Primary stakeholders and Secondary stakeholders.
