CIMA Fundamentals Of Business Economics (BA1) Practice Exam

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Primary stakeholders are those who have a direct interest in the business and include which groups?
Correct Answer:
Have a direct interest in the business; internal and connected stakeholders
Explanation:
Primary stakeholders are those with a direct stake in what the business does and in its outcomes. They are not just customers; they include internal stakeholders—people inside the organization like employees and managers—and connected stakeholders—external groups that have a direct relationship with the business, such as suppliers, lenders, investors, and other parties tied to its operations. Because their interests are directly affected by the company’s actions, these groups can influence decisions and are central when evaluating how the business performs. The other options miss the full picture: focusing only on customers ignores internal staff and other direct relationships; calling out only external parties excludes internal stakeholders; and saying they have no direct influence contradicts the idea of a direct stake.

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