Internal and external influences on the mission of a business

Question 1

Define corporate objective

Answer 1

Goals of the entire organisation that are set in order to coordinate the activities of, give a sense of direction to, and guide the actions of the whole organisation. E.g. increasing the level of profit.

Question 2

Is a missions statement relevant to the customers?

Answer 2

No, it is at a corporate level, meaning it has a holistic view of the entire business and is not really made to entice customers

Question 3

List influences on the mission of a business

Answer 3

Personal beliefs, values and objectives of the leaders/founders
Business ownership
Values and relative power of stakeholders (Different stakeholders will have varying degrees of power/influence)
Nature of the industry and how it changes over time (Can be impacted by PESTLE)
Performance of the business
Degree of competition
Economic conditions
Core competencies (what a business is good at) or strengths of the business
Attitude toward corporate social responsibility (Most important ethical issues can change over time e.g. there could be a disaster)