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Microlesson · 5-min read

Stakeholder Analysis – Mendelow's Matrix

## Mendelow's Matrix (Stakeholder Power–Interest Grid)

Mendelow's Matrix is a tool used to classify stakeholders based on two dimensions: their power (ability to influence the organisation) and their interest (level of concern in the organisation's activities).

### The 2×2 Matrix

Low InterestHigh Interest
High PowerKeep SatisfiedKey Players
Low PowerMinimal Effort (Low Priority)Keep Informed

### Quadrant Descriptions

1. Key Players (High Power + High Interest)

  • Most important group — must be actively managed
  • Involve in decision-making; seek their input; communicate regularly
  • Failing to satisfy them poses the greatest strategic risk

2. Keep Satisfied (High Power + Low Interest)

  • Can exert significant influence if provoked
  • Keep content; avoid giving them reason to increase their interest negatively

3. Keep Informed (Low Power + High Interest)

  • Care deeply but cannot force change alone
  • Provide regular updates; they can become Key Players if their power increases

4. Minimal Effort (Low Power + Low Interest)

  • Lowest priority; basic communication is sufficient

### Applying the Matrix

  • First determine where each stakeholder sits on the grid
  • Then design engagement strategies accordingly
  • Stakeholders can move between quadrants over time as circumstances change

Worked example

### Example 1

Chic Threads – Environmentally Conscious Consumers (MTP1 Jan 2025): Chic Threads launched an eco-friendly clothing line. Environmentally conscious consumers who actively shape industry standards through advocacy and purchasing decisions possess high power (they influence market trends and brand reputation) and high interest (they align with the brand's sustainability values). → They fall in the Key Players quadrant. Recommended engagement: regular updates on sustainability efforts, transparent communication, involving them in product design decisions, targeted marketing campaigns, and collaboration initiatives.

### Example 2

Quntik Software – CEO of Acquisition Target (RTP May 2024): Quntik, a strong software company, plans to acquire a smaller company. The CEO of the smaller company has high power (decision-maker for the acquisition) and high interest (the deal directly affects their company). → They fall in the Key Players quadrant and must be managed closely throughout the M&A process.

⚠️ Common exam mistakes

  • Placing stakeholders in the wrong quadrant by overlooking indirect power — a stakeholder may have low formal authority but high informal influence (e.g., through social media advocacy).
  • Treating Mendelow's Matrix as static — stakeholder positions shift over time and must be reassessed periodically.
  • Confusing 'Keep Satisfied' with 'Key Players' — the key differentiator is level of interest, not just power.
  • Assuming 'Minimal Effort' means ignoring the stakeholder entirely — basic communication is still required.
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