A pressure group has little formal power over a pharmaceutical company, but a news story about unsafe practices makes it very interested and gives it influence over customers and regulators. According to Mendelow's matrix, how has its position changed and what is the right response?

Answer and explanation

Correct answer: B. It moves towards high power and high interest

  1. Step 1: Stakeholders' positions on the matrix can change as events occur.
  2. Step 2: Here interest rises and so does effective power, because the group can influence customers and regulators.
  3. Step 3: High power and high interest means key player: manage closely.
Answer
It moves towards high power and high interest, so the company should manage it closely.
Why not the others: The story has increased its influence through customers and regulators, so power is no longer low. Its interest has risen sharply because of the news story, so interest is no longer low. Both power and interest have increased in the scenario.

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