Organisations are of many types and they all operate to fulfil different purposes. A public limited company which is listed on the stock markets will have to fulfil all the stakeholders’ requests and operate for the main purpose of creating profits for all, or sometimes they also serve customers at a cost. These are owned and run by the Government.
A private limited company is a company operating purely for profits and it does it through manufacturing and selling a product. It has limited liability of debts and enjoys certain privileges not available to public sector enterprises. In addition, there are not for profit organisations called as Non-profit organisations that are primarily run by charities or trusts and they serve the disadvantaged and the needy by raising money from rich people and using them for providing to the poor. These are non-profit and their purpose is to serve without profit. And one more organisation type is the proprietorship companies which are individual ownership firms having interests in providing services for a fee and purely operates with an intention of making profits.
Describe the extent to which an organisation meets the objectives of different stakeholders
Samsung has been doing substantially well in meeting the objectives of their owners and investors because the main activity of the company is to create profit which aligns with the owners and investors (Morris, 1996). It creates quality products for its consumers who are ready to pay for a quality product and meets their objectives as well. Because of its economic activity, the government as a stakeholder gets revenues in the form of taxes through business operations in various countries and Samsung meets their objectives as well. This also depends on the type of taxing system and its effects on the company’s profits.
The company may not be effective in meeting the environment’s concerns as a stakeholder because the electronic waste that deteriorates the environment is a negative factor that it may not eliminate. Their business is concerned with making electronic products and it is bound to create waste which will spoil the environment. Through Samsung, the society at large does benefit in a way by getting quality products, but the effects of the environmental damage that it creates may also affect the society in many different ways which are intangible to assess.