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Q75 What are the key distinctions between a ‘stockholder’ and a ‘stakeholder’ model of modern capitalism?...

Q75

What are the key distinctions between a ‘stockholder’ and a ‘stakeholder’ model of modern capitalism? [2 Marks]

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Answer #1

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Shareholder are normally considered primary stakeholders as their are considered as owners of company since they are holding stocks of company. But stakeholder cannot be considered as shareholder as they only have interest in performance of company. Shareholder can be anyone like individual, company or any organization who own at least one share of company. stakeholders of company are shareholders, owners, customer, suppliers and vendors of company.

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