business objectives

Question 1

sales growth

Answer 1

make as many sales as possible

Question 2

survival

Answer 2

to maintain success in a start-up business going for at least the first year, when the economy is weak or when a new competitor enters the market

Question 3

profit maximisation

Answer 3

make the most profit as possible

Question 4

financial security

Answer 4

to build sufficient reserves of cash for when the business is struggling

Question 5

profit satisficing

Answer 5

to generate enough profit to keep the owners comfortable

Question 6

be ethical and socially responsible

Answer 6

focus on how the business treats the environment, its employees and considers how its practices affect the wider community

Question 7

provide services to the public

Answer 7

meets the needs of the public in terms of health, education, public transport and emergency services

Question 8

increase market share

Answer 8

to compete with other businesses in the market, make the most sales and sell to the highest proportion of customers

Question 9

innovation

Answer 9

to think of and implement brand new ideas for products or processes into the business

Question 10

diversification

Answer 10

manufacturing a variety of products, selling a variety of merchandise or selling into a different market
- so that a failure in or an economic slump affecting one of them will not be disastrous