3.1.1 - Corporate Objectives

Question 1

What is a mission statement?

Answer 1

A mission statement communicates the purpose of a business and why it exists

Question 2

What is the order of the components of the Hierachy?

Answer 2

1. Aims
2. Mission Statement
3. Corporate Objectives
4. Functional Objectives

Question 3

What is an aim?

Answer 3

Long term goals of a business (Overall vision)

Question 4

What are corporate objectives?

Answer 4

Specific, realistic and measurable goals which an organisation plans to achieve within a given period of time.
- Derived from firm’s aim
- Based on innvoation/growth etc

Question 5

What factors impact corporate objectives?

Answer 5

• Economic conditions
• Natural disasters
• Competitors
• Technological change
• Internal factors

Question 6

What are functional objectives?

Answer 6

Relate to the goals of departments/functions (marketing etc) and derived from and to aid corporate objectives

Question 7

What does SMART stand for and what objectives should meet these standards?

Answer 7

S - Specific
M - Measurable
A - Agreed
R - Realistic
T - Time bound

Corporate and functional objectives should meet these