Stakeholders of the Alumbre Project

Table of Content

The Alumbre project has the potential to have a huge impact on Alumbre, Peru, and its surrounding area. With these changes many people (stakeholders) will be affected both positively and negatively. An example of how stakeholders would be affected would be with the introduction of electric-powered machines which would increase the production of the factory making the owners more money and happier. On the other hand the electric-powered machines would take away jobs from the local skilled workers, another stakeholder; this would negatively affect them because they would be losing their jobs. Lastly, another stakeholder affected would be the community since Ecosoluciones agreed to partner with the government and Peru Telecom to bring communication technology into Alumbre.

Conflict may arise between stakeholders within Mattel over the fact that the company wants to do business in China. One conflict might arise between the management of Mattel and its customers, who might worry about the quality and safety of the products made in China. Another conflict might be between the management of Mattel and the managers of the China’s production company over price. Lastly, there might be a conflict between the stockholders and the management of Mattel over the use of Chinese producers. The conflict might be that the management wants to use less Chinese producers so that the company has a better image, but the stockholders want the cheaper production in China for a larger profit for the company and themselves.

Stockholders that are referred to in the passage are the following employees, management (chief Executive), producers (farmers and factory Workers), Customers, the community, and the government.

The introduction of ethical principles in a business may create conflict between stakeholders. For example the management of a company might want to use inexpensive chemicals to produce some sort of good for a lower price. The only problem is that these chemicals are harmful to the environment, so a stakeholder in the business, the community brings this problem to management. The chief executive officer decides to stop using these chemical so that his company will have a positive image by introducing ethical principles. There seem to be no problems with this, but the cost of production rises and workers’ wages are cut creating a conflict between two stockholders the management and the employees.

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Stakeholders of the Alumbre Project. (2016, May 16). Retrieved from

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