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negative 
power
, 
in other words power to impede or disrupt the decision, their likely response might be 
considered.
3.7 The strategic value of stakeholders 
The firm can make strategic gains from managing stakeholder relationships. Over the years various 
theories and studies have revealed the following correlations. 
(a) 
A correlation between 
employee
and 
customer loyalty
(eg reduced staff turnover in service firms 
generally results in more repeat business). 
(b) 
Continuity
and 
stability
in relationships with employees, customers and suppliers is important in 
enabling organisations to respond to certain types of change, necessary for business as a 
sustained activity. 
Responsibilities towards customers
are mainly those of providing a product or service of a quality that 
customers expect, and of dealing honestly and fairly with customers.
 
Responsibilities towards suppliers
are expressed mainly in terms of trading relationships. 
(a) 
The organisation's size could give it considerable power as a buyer. One ethical guideline might 
be that the organisation should not use its power unscrupulously. 
(b) 
Suppliers might rely on getting prompt payment in accordance with the terms of trade negotiated 
with its customers.
(c) 
All information obtained from suppliers and potential suppliers should be kept confidential. 
3.8 Measuring stakeholder satisfaction 
We have already considered ways in which stakeholders may be classified and given some instances of 
their probable interests. Measuring the success the organisation achieves in satisfying stakeholder 
interests is likely to be difficult, since many of their expectations relate to 
qualitative 
rather than 
quantitative 
matters. It is, for example, difficult to measure good corporate citizenship. On the other 
hand, some of the more important stakeholder groups do have fairly specific interests, the satisfaction of 
which should be fairly amenable to measurement. Here are some examples of possible measures.