Do some independent research. Find an article or editorial which identifies the stakeholder model and advances its thesis. Do you think the author makes a compelling case for this model?
Stakeholder theory provides an overview of a stakeholder model (Donaldson & Preston, 1995). This model divides stakeholders into two main categories i.e. Internal Stakeholders and External Stakeholders.
Internal Stakeholders: These stakeholders consist of all the people that are directly involved in the operations of an organization. They work at different levels in an organization and are responsible for different tasks. The internal stakeholders consist of the Employees, Managers and Owners. The employees are present in each organization and are responsible for running the operation cycle. They are involved in the production processes and other businesses processes. They may work in teams to perform their duties. The managers control the employees and guide them to perform their duties. There might be different managers for different departments. Managers are the most important part of any organization as they remain in the center between the leaders and the employees. The leaders of an organization provide a vision for achieving the organizational goals and the managers are responsible to get the employees work efficiently to achieve these organizational goals. Owners are the ones who invest in the company and are expecting profits. They might act as the leaders in an organization and provide the vision and goals to the organization.
External Stakeholders: The external stakeholder consist of Suppliers, Society, Government, Creditors, Shareholders and Customers. The supplies supply different product to the organization for its production processes. The Society is where the companies and businesses are actually located in and the operations of the business have a direct or indirect impact on them like environmental impact. Government makes legal framework which enable the operations of a business. Creditors are the organizations that businesses refer to for loans and credits e.g. banks. Shareholders are the people who buy shares in a company when they are offered by the owners. Customers are the users of the products and services of an organization.
In my opinion the model is really comprehensive. It sheds light on all most all the people who are directly or indirectly related to a businesses. Understanding this model can guide us to understand how an organization affects different people in the society and how it may benefit or damage them.