1 Explain one difference between the shareholder concept and the stakeholder concept. [3]

4 Explain one difference between a business acting legally and acting socially responsible. [3]

A business acting legally means that it follows all the laws and regulations set by the government. On the other hand, acting socially responsible means that the business goes beyond legal requirements and takes initiatives to address social and environmental issues. In other words, while legal compliance is mandatory, social responsibility is voluntary and demonstrates a business's commitment to society and the planet beyond just making profits.

5 Explain one way in which there might be conflicts between stakeholder aims. [3]

One way in which there might be conflicts between stakeholder aims is when shareholders prioritize maximizing profits and increasing their dividends, while employees prioritize job security and fair pay. This can lead to conflicts when a company needs to cut costs or increase productivity, as shareholders may push for layoffs or reduced benefits, while employees may resist these measures. Additionally, shareholders may prioritize short-term gains, while customers may prioritize product quality and long-term sustainability, leading to conflicts over investment decisions and corporate strategy.

6 Explain one difference between internal stakeholders and external stakeholders. [3]

One difference between internal stakeholders and external stakeholders is that internal stakeholders are individuals or groups within the organization, such as employees, managers, and shareholders, who have a direct interest in the company's success, while external stakeholders are individuals or groups outside the organization, such as customers, suppliers, and the local community, who are impacted by the company's actions and decisions.

7 Explain one responsibility a business in the oil industry might have to a stakeholder group. [3]

One responsibility that a business in the oil industry might have to a stakeholder group is to ensure the safety of its workers. This includes providing proper safety equipment, training, and protocols to prevent accidents and injuries. Oil and gas operations can be dangerous, and it is the responsibility of the company to take measures to protect its workers. Additionally, the company may need to work with local communities to mitigate the environmental impact of its operations, such as reducing emissions or addressing concerns about water pollution or land use. By taking these actions, the company can demonstrate its commitment to responsible and sustainable practices, which can help build trust with stakeholders and maintain its social license to operate.