An underlying issue raised by this part is to analyse the reason behind the desirability of stakeholder model rather than

shareholder model in todays business environment. Before start looking at the causes of this matter, its good to see what stakeholder means and what their expectations from business are. This will be followed by looking at opposing group which is shareholder and their prospect. Who are those stakeholders? Stakeholders are those individuals or groups who dependent on an organisation to fulfil their own goals and on whom, in turn, the organisation depends. (Grry Johnson-2005) Organisations have constituencies. Furthermore, organisations are dependent upon these constituency groups for their success. Refer to these constituencies as stakeholders, however, and the disagreements appear continual. ... It was more relevant for businesses five years ago to argue that considering shareholders profit is moral. Recent events have proven, however, clearly moral suggestions to the use of finance tools, just as with the use of pens. Anyone making the argument that use of the tools of accounting and finance for the shareholders benefits are moral. However,