Who are individuals or groups that have an interest in and are affected by the activities of a business?

The correct answer is stakeholders. Stakeholders are defined as individuals or groups that have an interest in, or are affected by, the activities and decisions of a business. This includes a broad range of entities such as employees, customers, suppliers, investors, the community, and even the government, all of whom can influence or be influenced by the company's operations, performance, and decisions.

Understanding the concept of stakeholders is crucial because they can significantly impact a business’s success and reputation. For example, if a company makes a decision that pleases its employees, it can lead to increased productivity and satisfaction. Similarly, maintaining good relationships with customers and suppliers can enhance profitability and ensure a smooth supply chain.

In contrast, while consumers, shareholders, and partners are specific types of stakeholders, they do not encompass the full range of individuals and groups involved. Consumers are just part of the customer group, shareholders represent the financial investors in the company, and partners may refer to entities or individuals with whom the business collaborates. Therefore, the term stakeholders is the most comprehensive and accurate choice to describe all parties affected by a business.