Tag: internal & external stakeholders and distinction between shareholders, stakeholders and customers

Questions Related to internal & external stakeholders and distinction between shareholders, stakeholders and customers

In a company person making investment are called _____.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. partners

  2. members

  3. shareholders

  4. contributors

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Correct Option: C
Explanation:

In a company person making investment are called as shareholders. Shareholders are the owners of the company. They buy shares of the company there by investing money in the business. The shareholders of the company do not wholly manage the business but they do have voting rights in the decision making of the company.

As a stakeholder, Government expects ________.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Quality goods at reasonable prices

  2. More and more non-monetary benefits

  3. The company to pay taxes promptly and is environment friendly

  4. All of the above

Show answer
Correct Option: C
Explanation:

Stakeholders refer to any individual or organization whose interest or concern lies with the business.As a stakeholder, Government expects the company to pay taxes promptly and is environment friendly.

External stakeholders get influenced by the company's activity.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. True

  2. False

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Correct Option: A
Explanation:

External stakeholders get influenced by the company's activity this is a true statement. Bu external stakeholders are entities who belong outside the business organizaton. For example: customers.

Which of the following represent Executive Managers as internal stakeholders of a company?

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Managers

  2. Auditor

  3. CEO or CFO

  4. All of the above

Show answer
Correct Option: C
Explanation:

CEO and CFO represent Executive Managers as internal stakeholders of a company. CEO stands for Chief Executive Officer and CFO stands for Chief Financial Officer.

Only a company, which is limited by shares have shareholders. Whereas every company or organization have stakeholders.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. True

  2. False

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Correct Option: A
Explanation:

Only a company, which is limited by shares have shareholders. Whereas every company or organization have stakeholders. This is a true statement since stakeholders refer to any individual or organization who have interest or concern regarding the business.

Responsibility of the company towards internal stakeholders is _____.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Secondary

  2. Primary

  3. Additional

  4. Optional

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Correct Option: B
Explanation:

Responsibility of the company towards internal stakeholders is primary since internal stakeholders are entities within the business organization. For example: employees, managers, etc.

For meeting the expectations of the stakeholders, the key aspect(s) is/are ________.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Providing value to the stakeholders on a regular basis

  2. Defining the requirements out of projects clearly before they begin

  3. Execute the project towards its objective for being successful

  4. All of the above

Show answer
Correct Option: D
Explanation:
Stakeholders refer to any individual or organization whose interest or concern lies with the business.For meeting the expectations of the stakeholders, the key aspects are:
a) Providing value to the stakeholders on a regular basis
b) Defining the requirements out of projects clearly before they begin
c) Execute the project towards its objective for being successful.

The survival of any business can be directly linked to the ability of business to retain its customers. This is because ______________________.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Customers look beyond the intrinsic product quality attributes

  2. It is mandated by Law that companies take care of customer loyalty

  3. Customers are the one and only factor that bring profits or losses to a business

  4. None of the above

Show answer
Correct Option: A
Explanation:

The survival of any business can be directly linked to the ability of business to retain its customers. This is because customers look beyond the intrinsic product quality attributes. Customers are the king pin of any business organization.

As profits increase, more and more non-monetary benefits are expected by which of the following stakeholders?

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Government

  2. Creditors

  3. Debtors

  4. Employees

Show answer
Correct Option: D
Explanation:

Stakeholders refer to any individual or organization whose interest or concern lies with the business.As profits increase, more and more non-monetary benefits are expected by employees. Employees refer to persons who work for the business organization.

Among the stakeholders, shareholder mainly focuses on ___________________.

commercial studies stakeholders in commercial organisation internal & external stakeholders and distinction between shareholders, stakeholders and customers stakeholders final accounts of companies

  1. Performance of the company

  2. Return on Investment

  3. Appointment of Auditors

  4. Managing customers

Show answer
Correct Option: B
Explanation:

Among the stakeholders, shareholder mainly focuses on Return on Investment. ROI refers to the proportionate return on the capital employed by the investors.