AC1.1 possible Objectives And Actions

Question 1

Profit maximisation

Answer 1

making the most profit posible

Question 2

Groth

Answer 2

to increase profits and avoid takeovers

Question 3

Diversify

Answer 3

Spread risk – reduce dependence on one product.

Question 4

To Maximise shareholder wealth

Answer 4

PLC objective cause share price to rise

Question 5

Focus on company strengths

Answer 5

Focus on innovation or quality

Question 6

To increase Market share

Answer 6

Actions to steal share of market from rival companies