P2 Impacts on Primark and their stakeholders

The owners of Primark will be affected by the actions of Primark having factories in third world countries which have children as young as 11 working for them in very poor working conditions and for as little as 60p a day. The owners of Primark will be affected by this as it has given Primark a very bad reputation with the public and has led to pressure groups getting involved organising boycotts and protests which has got members of the public involved. This has led to a number of customers not shopping at Primark anymore which has meant Primark's sales has gone down leading to their revenue and profit decreasing which means the Owners have had less money to take away from the business and will have had less money to pay for costs and loans.

The staff of Primark will be affected by the actions of Primark having factories in third world countries which have very poor working conditions which are illegal. The staff of Primark will be affected as some of their wages may be cut due to Primark having to cut costs due to the boycotts which will mean the staff will have less money to spend on essential items needed for survival. Also some of the staff may be made redundant meaning that they will lose their job and will become unemployed meaning they will not be making any money giving them a lower quality of life. The staff who work in the factories will be affected by it as they will be made to work very long shifts everyday with no breaks for very little amounts of money in very poor conditions without any benefits such as free healthcare which they cannot afford themselves so when they become ill they cannot afford to see a doctor. The conditions of the job makes the employees very unhappy which has made some workers sew messages for help in the labels of clothing and it has been reported some people have committed suicide.

The environment will be affected both positively and negatively by the actions of Primark. The environment will be affected negatively by the actions of Primark having poorly built factories in third world countries because they will not have an effective way to get rid of waste meaning they will most likely dispose of it in a river or on a street which will pollute the habitats of certain species of animals. Also the factory will have alot of fumes coming out of the chimney leading to air pollution which can lead to acid rain and will break away the ozone layer. However, Primark also help the environment by making their carrier bags out of 100 per cent recycled cardboard which prevents more trees from being cut down to be used for more cardboard and paper and to slow down the usage of non renewable materials. Primark also help the environment by cutting down their road usage by 160,525 miles which decreases the air and nose pollution Primark generating reducing the amount of damage the ozone takes.

 There will be conflict between the interests of the owners of Primark and the environment because the owners will have the bigger focus on making money and increasing the profit of the business so they will make the decisions that will increase the profit margin of the business. However, the environment will  want the business to make decisions that will protect the environment and prevent the environment from being destroyed as their focus will be to protect the enviroment and will not care about the financial health.