1.3 Organisational objectives Flashcards
1
Q
Defi of mission statement
A
A statement of the biz’s core aims, phrased in a way to motivate employees & stimulate interest by outside groups
2
Q
Defi of vision statement
A
A statement of what the biz would like to achieve in the long-term
3
Q
Common corporate objectives? [5]
A
Increase profit Increase market share Growth Survival CSR
4
Q
Defi of corporate social responsibility
A
Business self-regulation that aims to contribute to societal goals of a philanthropic, activist, or charitable nature by engaging in volunteering or ethically-oriented practices
5
Q
Benefits of CSR [6]
A
Improve biz image Attract motivated employees No bad publicity & pressure group Increase customer base More likely to be awarded MNC & govt contracts Higher long-term profitability
6
Q
Drawbacks of CSR [4]
A
Increase in short-run costs
Unhappy shareholders because of lower short-term profits
Loss of cost & price competitiveness
Suffer loss during economic recession
