Stakeholders are defined as individuals or entities that have an interest in the company. Stakeholders can influence—or be influenced by—the company’s actions, objectives, and policies. In any company, stakeholders typically include investors, employees, customers, and suppliers. The expectations of different stakeholders may vary and, at times, may even conflict with one another. The company is responsible for maintaining a balance between the interests of its stakeholders and its own interests.
Internal stakeholders refer to groups within the business organization, such as shareholders, managers, and employees.
External stakeholders refer to groups outside the business organization, such as suppliers and customers.