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Only those with an ownership interest in a company are known as stakeholders. True or False?

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User Twalthr
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1 Answer

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Final answer:

No, the statement is False. Shareholders are a narrow group of individuals who have invested capital and own a portion of a corporation, while stakeholders refer to a wider group of individuals who have a stake in a business's operations.

Step-by-step explanation:

No, the statement is False. Only those with an ownership interest in a company are not the only ones known as stakeholders. Stakeholders refer to a wider group of individuals who have a stake in a business's operations. This includes employees, customers, shareholders, communities, and more. Shareholders, on the other hand, are individuals who own a share of a corporation and have invested capital in the company.

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User Jachguate
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