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internal stakeholder and connected stakeholder

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA BT – FIA FBT › internal stakeholder and connected stakeholder

  • This topic has 5 replies, 3 voices, and was last updated 8 years ago by AvatarKen Garrett.
Viewing 6 posts - 1 through 6 (of 6 total)
  • Author
    Posts
  • October 3, 2017 at 12:43 pm #409333
    Avatarhagun527
    Member
    • Topics: 17
    • Replies: 2
    • ☆

    hello

    in the note , shareholders are the internal stakeholder, however in the bpp text book they say shareholders are the connected stakeholder

    October 3, 2017 at 7:06 pm #409355
    AvatarKen Garrett
    Keymaster
    • Topics: 10
    • Replies: 10653
    • ☆☆☆☆☆

    To the extent that they can attend and vote at annual general meetings (eg to dismiss directors) they are connected. Most of the time, however, in large companies shareholders are passive and un-involved so then are more like external stakeholders.

    October 6, 2017 at 12:25 pm #409651
    Avatarhagun527
    Member
    • Topics: 17
    • Replies: 2
    • ☆

    thansk you for answering the question, so it means that shareholders may have three posibilities in some extent?

    October 6, 2017 at 5:18 pm #409689
    AvatarKen Garrett
    Keymaster
    • Topics: 10
    • Replies: 10653
    • ☆☆☆☆☆

    Yes. I have always thought the categorisation of stakeholders into internal, external and connected is pointless: what’s important is their power and influence. For example, government is external, but it can send you to jail! Employees are internal but often powerless.

    (….but I could say that lots of the F1 syllabus is pointless… what a heresy!)

    October 26, 2017 at 3:28 pm #413308
    Avatardanny969
    Participant
    • Topics: 24
    • Replies: 31
    • ☆☆

    But I still think, it needs to be corrected in the notes. That little variation costed me 4 marks from 2 questions yesterday. I came here to point this out and was surprised to see someone had already mentioned it.

    October 26, 2017 at 7:39 pm #413328
    AvatarKen Garrett
    Keymaster
    • Topics: 10
    • Replies: 10653
    • ☆☆☆☆☆

    The notes are not wrong. As I said, it depends on the type of company and the categorisation of shareholder cannot be made until that is known.

    However, rather against my better judgememt we will probable change the notes in some way.

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Viewing 6 posts - 1 through 6 (of 6 total)
  • The topic ‘internal stakeholder and connected stakeholder’ is closed to new replies.

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