Copyright 2002 TecEd

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Exam Guide
The Grid
E Criteria

“explain the different ways in which competition affects different stakeholders in businesses”

Explanation

Given a business and information about it, can you clearly describe how stakeholders are affected by the policies followed by the business.

Assistance

A straightforward criteria. You need to understand the meaning of a stakeholder - both internal and external - and this is often the biggest problem for most students! Once you’ve covered that, you then need to look at the business situation - let’s say it’s profits are falling - and how that situation may, or may not, affect a particular stakeholder. So, if profits were falling, then employees might be affected by either:

• reduced overtime
• reduced wages
• reduced number employed and so, for some, reduced income

You just have to think things through....