1) On the basis of Home Depot’s response to environmental issues, describe the attributes (power, legitimacy, urgency) of this stakeholder. Assess the company’s strategy and performance with environmental and employee stakeholders. A stakeholder framework helps identify the internal stakeholders and the external stakeholders. Internal stakeholders such as: employees, boards of directors, and managers. Customers, special interest groups, regulators, and others who agree are external stakeholders who collaborate and engage in confrontations on ethical issues. ) As a publicly traded corporation, how can Home Depot justify budgeting so much money for philanthropy? What areas other than the environment, disaster relief, affordable housing, and at-risk youth might be appropriate for strategic philanthropy by Home Depot? Home Depot is about giving back and recycling money through the community. Giving to the community in return gives to Home Depot. Consumers motto after what they have set forth and help fulfill the need to give back to those in need.
Those in need and those who help are a part of the environment, disaster relief, and youth. They are hitting every corner possible. Other areas could be the elderly in the community and schools in the community. What Home Depot does spreads out to consumers and the community. 3) Is Home Depot’s recessionary strategy of eliminating debt and halting growth a wise one? What would you recommend to the CEO? Wiser more than likely, the strategy Home Depot has set forth goes well in hand with their do good model.
Home Depot has shown it doesn’t have to expand and add to in order to remain the top home improvement store. With the circulation of money from stakeholders and consumers, money does not have to be borrowed from outside lenders. Receiving payback money would add to the recession by borrowing what you do not need to owe at a later time. I recommend the CEO to not forget about employee incentives and keep the funds in circulation through the community and consumers.
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