Stakeholder’s Analysis
STAKEHOLDER | EXPECTATIONS | POWER |
Customer | Price Commensurate with Quality | Switches loyalty to competitor |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Shareholder | Maximize earnings with appreciation in share price | Exercise voting right to remove the top management |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Employees | Higher compensation with job satisfaction | Low productivity |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Suppliers | Prompt payment | Stoppage or delay in delivery, or supply of defectives |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Distributors | Commission on sales | Discouragement of sales |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Financiers | Prompt payment of principle and interest | File bankruptcy application |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Government | Prompt payment of tax | Enforcement |
To introduce at least one breakthrough product every two years that satisfies customers at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Society | Social protection | Powerful lobbying through NGOs and legislation |
To introduce at least one breakthrough, environment-friendly product every two years that satisfies customers and meets the company’s social responsibilities at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
CEO | Overall growth and development of the company | Change the objective |
To introduce at least one breakthrough, environment-friendly product every two years that satisfies customers and meets the company’s social responsibilities at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 | ||
Competitor | Failure in all fronts | Intensified, fierce competition |
To introduce at least one breakthrough, environment-friendly product every two years that satisfies customers and meets the company’s social responsibilities at a cost not exceeding 65% as against the current 70% on sales, maintaining a growth in revenues of at least 15% per year before 2015 |
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