Businesses in Hong Kong
The godfathers consist of a tiny group of very wealthy business people.
The fate of Singapore, Malaysia Indonesia, Thailand, Philippines and Hong Kong depends on their mercy. These tycoons are about eight of the wealthiest twenty five people in the world in the nineties. These shrewd, ruthless and mysterious men continue to command fortunes worth of billions of dollars. Their venture is much concentrated on the banking, gambling, real estate and shipping industry. These tycoons command the Far East economies and the natives refer to them as pests because they have invested very little in their home country yet they control almost all the means of production. They grabbed a strong grip over their political and economical lives of the more than 500 million people of the region.
Studwell finds that these men have survived the financial crisis of Asia that begun in 1997, and have sustained that endurance. This has taught their people about the country they live in (Studwell, 2007). A variety of stakeholders has the right to control the decisions made by the company. This is because they directly command respect from these companies. The business policies have to be formulated to fit the requirements of most stakeholders in order to have successful businesses.
This is due to the influence exerted by shareholders. The term stake means a portion or share in the business. Examples include; employees, investors, partners and shareholders. Stakeholders are consequently conceptualized as those factors that affect the daily functioning of the industry and those that the business affects. The suppliers, trade unions, organisations, community, banks, consumers are all incorporated. A stakeholder also refers to an individual or organization that the company must have and cannot survive without.
The principle here is that each stakeholder has something that he/she wants from the organization. They also make certain burden to the organization to which they are allied to. For instance, employees claim remuneration and insurance; Financiers and investors will claim interest rates; customers require favorable, quality prices and constant supply. Shareholders claim dividends. Phillips &Freeman claim that the shareholders who have a direct resource risk in any firm should have an ultimate obligation to influence policies and decisions taken by the firm.
Other stakeholders such as the suppliers and customers possess no influence to the firm because they have the freedom of exit. Stakeholder claims can certainly affect the firm’s activities. This entails the market products when the product market is directly interrelated with consumers’ satisfaction (Sowell, 2011).