CHAPTER 2 - Business objectives

Question 1

BUSINESS OBJECTIVES

Answer 1

• growth and wealth creation
• survival
• increase market share
• profit
• imagine, reputation and social responsibility

Question 2

Financial objectives

Answer 2

• survival ( keep the business going )
• profit maximisation
• sales objectives ( increasing revenue or units )
• market share
• financial security

Question 3

Non - financial objectives

Answer 3

• social objectives ( environment / charitable )
• personal satisfaction
• challenge
• independence
• control ( expansion / ownership impact )

Question 4

Why do objectives change?

Answer 4

• market conditions
• technology ( development )
• performance ( new objectives )
• legislation ( changes )
• internal reasons ( hierarchy changes )

Question 5

S M A R T

Answer 5

S - specific
M - measurable
A - achievable
R - realistic
T - time specific

Question 6

Why are objectives set?

Answer 6

Business set objectives so their employees are focus in their work and have motivation to achieve the objective that has been set.

Question 7

PUBLIC SECTOR OBJECTIVES

Answer 7

NOT TO MALE A PROFIT!

• facilities ( school )
• response time ( emergency services )
• crime rates ( policeman )
• landfill ( aiming to reduce waste )
• students ( higher education )