The Importance of Stakeholders In Business

Stakeholders are essential to the corporation’s well-being. The first study which was conducted by the Research Institute of the University of Stanford gave us a definition of “stakeholder”. Stake-Holder is a someone (usually a person or a group of people) who can affect in a positive or negative way the overall existence of a single corporation.

Stakeholders can have several roles toward corporations’ existence: we can find “primary” and “secondary” stakeholders – primary stakeholders are essential to the corporation’s existence, while secondary stakeholders are not essential and do not affect the corporation’s existence in a direct way.

One of the best books I can suggest you is “Strategic Management: A Stakeholder Approach” by Edward Freeman. Freeman stated that stakeholders are essential to the organization’s mission and success. Corporations today can be seen as entities with a socio-economic approach in terms of relationships with other companies. The “atomic” approach is considered too ancient in today’s Economic Theories – companies do not act and implement their actions alone, but they’re in relation with other companies who can have different values and different purposes. We find, in the post-industrial economy, that corporations work together toward the accomplishment of their objectives.

That’s also true for individuals. Everyone wants to achieve something is his or her life, and this won’t be possible acting all alone. We all need the help and the cooperation of other people (colleagues, family, classmates and co.) in order to achieve great goals in our lives. Individuals and corporations are all striving to get better relationships, both with other individuals or stakeholders. We live in a world which is hyper-connected thanks to digital technology and electronic devices.

businessmen

Corporate Communications wants to be a tool which every organization can use in order to get better results. Corporate Communications can be divided into four main areas:

  • Marketing Communications
  • Institutional Communications
  • Economic and Financial Communications
  • Organizational Communications

Marketing Communications is usually addressed to potential customers (prospects). Marketing Communications represent the soul of the “product offering”. They can be implemented in order to get more revenues and more sales.

When we talk about Organizational Communications, we can involve in our discussion a lot of different ways which every organization can use: internal-communication addressed to employees – Employer Branding is another kind of Organization Communication which is addressed to potential employees in the job market.

Financial Analysts are the main recipiens of Economic Communications.

Communication professionals know well that is impossible not to communicate in our fast-moving world. We communicate our values and our goals and our personality through a large variety of tools which can be used by anyone online (LinkedIn, Facebook, Twitter etc.)

Online presence of corporations is fundamental for companies operating in a fast-moving environment. Stakeholders can be a source of revenue for companies. A positive message shared through social media can have the same power to predict a company’s success or complete failure.

I’d like to share with you this book, which can be of high interest for you if you would like to increase your level of knowledge about Stakeholders and Corporate Communications:

 

 

FL

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