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Paper 1 · November 2019 · Business Ethics

Which of the following is an internal stakeholder of a business enterprise?

AA supplier delivering raw materials each week
BThe local authority collecting rates on the premises
CAn employee working in the packing department
DA bank that has lent the enterprise working capital

Explanation

Internal stakeholders are the people inside the enterprise, namely its owners, managers and employees, whose livelihood depends directly on it. Banks, suppliers and the local authority all have an interest in the enterprise but stand outside it, so they are external stakeholders.

Derived from ZIMSEC Business Enterprise Skills Paper 1, Nov 2019, Q1

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