6.5. Pressure groups
- Syllabus
- 0264–2027–2028
- Topic
- 6.5
- Level
- —
Learning objectives
How pressure groups influence business decisions
A pressure group is an organised group of people with a shared interest that tries to influence business or government decisions. It applies pressure; it does not directly control the business.
| Pressure-group action | Immediate pressure | Decision the business may reconsider |
|---|---|---|
| customer boycott | fewer sales and less revenue | change a product, supplier or operating policy |
| negative publicity or publishing evidence | reputational damage and weaker customer trust | respond publicly or change the criticised practice |
| demonstrations, protests or petitions | public attention and possible concern from investors | negotiate, delay or alter a project |
| lobbying or letters to government | risk of regulation or a change in law | improve standards before rules tighten |
| legal action | legal cost, delay and possible compensation | stop or modify the disputed activity |
Use a complete causal chain: action → stakeholder response → business impact → decision. For example, a boycott may reduce demand, lowering revenue; the business may then replace a polluting input if the expected loss from continuing is greater than the cost of changing.
| More likely to be effective when… | Less likely to be effective when… |
|---|---|
| many customers or investors support the campaign | the group has little public reach or weak evidence |
| the action directly affects sales, cost or reputation | customers keep buying and the business can absorb the pressure |
| government is likely to regulate the issue | lobbying is slow and no legal change follows |
| changing the decision is affordable and practical | changing suppliers or production would be very costly or impossible quickly |
No method is automatically the most effective. Compare at least two methods and judge using the business context: customer dependence, media reach, legal risk, cost of responding and how quickly each method affects the decision.