In this assignment you will be asked to apply stakeholder management theory to the following scenario:

In this assignment you will be asked to apply stakeholder management theory to the following scenario:

A public corporation of 980 employees manufactures a popular brand of garments (mostly jeans) that are primarily made and sold in the United States. It has a large contingent of employees in several small rural communities in the eastern United States and is the primary employer in all of those communities. Two of its 5 shops are unionized, but the union and management have a good working relationship. The company has traditionally marketed its clothing line as “Made in the USA” and attracted a bit of a “cult-like” following as a result, but an outside consulting firm has suggested that significantly greater profits are possible if a different strategy is employed. The corporation is subsequently considering whether to off-shore its manufacturing facilities to a poor nation to save money on labor. It would also discreetly discontinue its “Made in the USA” marketing ads and hopefully ride the wave of its previous marketing campaigns for a while. It is estimated that total cost per unit of production will be decreased by one third which equates to tens of millions of dollars.

Please write a 2- to 3-page paper in which you respond to the following:

Provide a paragraph summarizing the concept of stakeholder management based on your readings.

How do you think the following stakeholder groups in the above scenario will be impacted?




What would you recommend the employer described above should do?

Your 2- to 3-page paper should be double-spaced and in 12-point type.

Your paper should have a separate cover page and a separate reference page. Make sure you cite your sources.

Use APA style, and proofread your paper.


stakeholder management theory


Stakeholder management is a strategy that involves getting stakeholders involved in the decision-making process. It’s important because it can improve efficiency and produce better results for everyone involved in the project. In this article, we’ll look at what stakeholder management is, why it matters, and how to do it well.

Who are stakeholders?

Stakeholders are the people or groups who have an interest in a company, product or service. They can be internal (employees, customers, suppliers) or external (partners and investors).

Stakeholder management is about understanding what your stakeholders need from you to get what they want out of business together.

Why is stakeholder management important?

Stakeholders are the people who have a vested interest in the organization. They may be internal or external to the organization, and they can be individuals or groups.

Stakeholder management is important because stakeholders want to see their interests taken into account when decisions are made about how an organization operates.

What are the different types of stakeholders?

Stakeholder is a person, group or organization that affects or is affected by the achievement of an organization’s objectives. It can be internal to the organization as well as external to it.

There are two types of stakeholders: active and passive. Active stakeholders take part in decision-making processes, while passive stakeholders do not participate at all. This difference may cause problems when trying to reach an agreement with active participants because they may not want to compromise their own interests but rather seek greater benefits for themselves alone (e.g., senior managers).

Passive stakeholders include suppliers, customers and employees who benefit directly from working relationships with companies such as yours; governments may also be considered passive since they provide tax breaks and other incentives that affect how much money we spend on goods/services produced locally by local businesses (i.e., “Buy Local”).

How to manage stakeholders

Identify the stakeholders.

List the needs of each stakeholder.

List the resources you have available.

List the constraints you have, such as time, money, or people (for example, if you only have one employee who can handle everything).

Make a plan to meet those needs by listing all possible solutions and then prioritize them based on their impact on your business and other stakeholders’ satisfaction with them (or lack thereof). Then communicate this plan to everyone involved so they know what’s happening during this process—and what they should expect when it’s completed!

The model of power in stakeholder management theory

The model of power in stakeholder management theory is a framework that helps you understand the different levels of influence stakeholders have over your organization and how they can be used to your advantage.

The five power bases are:

Advocacy – this includes groups that are not necessarily directly affected by the decision made by an organization but may still have an interest in seeing it implemented correctly; the most common example would be unions or other labor organizations who want their members to receive fair treatment when it comes time for them to negotiate contracts with employers.

Commitment – this is where people feel personally invested in an issue or concern because they care about its outcome or ramifications on their lives; it may also mean attending meetings or events related to an issue because doing so further supports their beliefs and causes rather than simply having opinions based solely upon what’s best for themselves alone (even though this type will probably still benefit from being involved). For example: someone who cares deeply about animal welfare may attend rallies outside factory farms where workers abuse animals because she believes those actions must stop immediately!

You can motivate yourself without being mean to yourself.

Motivation is not the same as self-esteem, self-worth, self-confidence and so on.

Motivation can be a powerful tool in your arsenal, but it’s not the same as any of those things. Motivation is simply making yourself do something by setting goals and making sure you have a plan to achieve them. You don’t need to feel good about yourself before motivating yourself; you just need some desire (e.g., “I want this project completed”) and then action steps (e.g., “I’ll start working on my task list starting tomorrow morning”).

Remember: motivation doesn’t mean being nice to yourself!


This is just the beginning of your journey. You may not always agree with what I say, but I hope that the information provided here helps you understand yourself better and how to manage yourself.

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