Stakeholder Theory Essay

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s of strategy, structure, norms, values, and represents a radical innovation in the nonprofit sector” – Dart. The next is the characteristics of an individual entrepreneur. The term entrepreneur comes from the book of economics and it is defined as someone who undertakes a significant project. It used to identify as a venturesome individuals who stimulated economic progress by finding new things and better way of doing things. The characteristics of a social entrepreneur are those people who have entrepreneurial virtues that does not seek for profit but instead a social value. The social entrepreneur applied the entrepreneurial mindset to pursue a social m The world of non – profit organizations and social enterprises has gone through two main trends of reporting activities in recent years. First one is the growing increase…show more content…
Stakeholder theory recognizes that organizations have obligations not only to shareholders but also to these other interest groups. Also, Stakeholder theory has two branches which are the ethical and managerial. The ethical branch concerns the right of all the stakeholders to assess the information and rights in order not to be violated that can be acknowledge and can lead to improve the corporate financial performance of the company. While the managerial refers to, the commitment of corporate management to satisfying the information demands of those stakeholders who are important to its ongoing survival. Stakeholder theory requires a systematic analysis approach in order to identify their key expectations and areas of concern in their own organization. This now becomes important for the non-profit organizations and for social enterprises because they have many different stakeholders to whom they must
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