Aims And Objectives Of A Business

Question 1

Aim

Answer 1

A strategic target for a business

For example: to make profit

Question 2

Objective

Answer 2

A specific measurable target for a business to reach whithin an amount of time

Question 3

Survival

Answer 3

When a business prioritises not failing. Just to continue trading.

Question 4

Profit maximisation

Answer 4

When a business tries to make the most profit possible by increasing prices and reducing costs

Question 5

Growth

Answer 5

When a business expands (opening new branches, entering new markets). Domestic growth is within the same country and international growth is into other countries.

Question 6

Marketshare

Answer 6

What percentage of a market’s total sales are from one business. For example nike has a large marketshare in the sports clothing industry

Question 7

Customer satisfaction

Answer 7

How pleased a customer is with a product or service after purchasing it

Question 8

Social/ethical objectives

Answer 8

When a business works to avoid negatively affecting people and avoiding doing anything immoral

Question 9

Shareholder value

Answer 9

The extent to which a business rewards/ enriches it’s shareholders