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Question
Distinguish between shareholders and customers.
Distinguish Between
Solution
| Basis of Distinction | Shareholders | Customers |
| Stakeholder | Shareholders are stakeholders. They have a financial stake in the company. | Customers are not stakeholders as they do not have a financial stake in the company. |
| Investment | Shareholders invest money in the company by buying its shares. | Customers do not invest money in the company. |
| Dividend | Shareholders receive dividends from the company. | Customers do not receive dividends from the company. |
| Risk | Shareholders undertake the risk of loss on the investment made in the company. | Customers do not undertake risk as they do not invest in the company. |
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Distinction Between Stakeholders and Customers
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