Apply It 1.3: Who Is Involved in a Business?

  • Recognize the main functional areas within a business
  • Identify the people and activities within each functional area of a business
  • Understand the difference between an internal and external stakeholder
  • Describe stakeholders’ relationship with business organizations
In this video, see if you can recognize workers from different functional areas and stakeholders with different interests. Then answer the questions that follow.

You can view the transcript for “Why Starbucks Workers Fought to Unionize” here (opens in new window).

Many service workers experience stressful working conditions. Labor shortages add to the stress because fewer workers are available to handle the same amount of work. Large corporate businesses such as Starbucks and Amazon have experienced efforts by workers to unionize, or organize themselves into a united group. If workers successfully unionize, the labor union then negotiates with the employer through a process called collective bargaining. The goal of the union is to negotiate better pay, benefits, and other working conditions than each worker would be able to achieve by negotiating individually. Management often opposes efforts to unionize because it adds to the cost of doing business. What are some reasons that management should NOT automatically oppose unionizing?

 Click here to read more about why American companies tend to oppose unions and what the evidence really says about whether management fears are true.