Excersise 1 : case FONTERRA
1. Fonterra’s shareholders and key stakeholders

Fonterra´s most important shareholders are farmers who own the business and who are suppliers at the same time and the only way how to become a shareholder is to become a supplier. The share of every each farmer depends on the quantity of milk they supply (Knott 2014).
Key stakeholders of Fonterra company are New Zealand´s economic markets as a whole, because economics of the company also influences the economics of New Zealand owing to high contribution in export revenues. Also Fonterra controls very high proportion of a liquid milk in domestic markets as well as some other dairy products which has significant impact on a price. Another stakeholders are connected to environmental which is affected by a firm. As a major water consumer and potential polluter of the water sources and ecosystem by fertilizing and methane emissions Fonterra has and impact on New Zealand´s environment and of course on the entire population living within this environment.
For stakeholders we can also take overseas partners and suppliers with whom Fonterra established partnership agreements (Knott 2014).

2. Fonterra’s governance structure
Fonterra´s governance structure can be described as a cooperation constitution. There is a Board of directors that is responsible for leadership, direction and oversight of Fonterra. The shareholders elect 9 of 13 members and the next four are appointed by the Board and approved by the shareholders at the Annual Meeting. The shareholders participate on a business performance via the Council of shareholders witch is national body of farmer-shareholders and its role is to represent the views of all Fonterra shareholders as suppliers, owners and investors, performance monitoring, providing co-operative learning and development. The Council also appoints an independent Milk