Business Aims and Objectives
Not every business is chasing the same thing. Sort the money goals from the non-money goals, and work out why a new coffee van, a charity cafe and a supermarket each want something different.
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What is the business for? 🎯
Every business is trying to achieve something. Its overall, long-term goals are its **aims**, and the specific targets it sets to get there are its **objectives**. Some objectives are about **money**; others are not. This module sorts the two and explores **why different businesses want different things**.
Aims and objectives 🔑
Four ideas underpin the whole topic:
Aim or objective? 📌
Which of these is an OBJECTIVE rather than an aim?
- Increase sales by 10% over the next year
- To become a well-known brand one day
- To be a successful business
- To make the world a better place
Match each financial objective 💰
- Survival
- Profit
- Market share
- Sales
- Staying in business, especially vital for a new start-up
- Making more revenue than the total costs
- Winning a bigger slice of the total market
- Increasing the number or value of products sold
Two kinds of objective ⚖️
Objectives fall into two broad groups. Most exam answers need you to recognise which is which.
Which are non-financial? 🤝
Select the TWO objectives that are NON-FINANCIAL.
- Giving the owner personal satisfaction from running their own business
- Reducing the business's impact on the environment
- Increasing profit by 15% this year
- Growing the business's share of the market
Complete the definitions 🧩
A business's overall goal is its _____, while a specific, measurable target is an _____. Objectives measured in money, such as profit, market share or _____, are called financial. Objectives not about money, such as the owner's personal _____, or a _____ cause that helps the community, are called non-financial.
Why do objectives differ? 🧭
Not every business wants the same thing. Objectives differ because of the **size** of the business, its **sector**, the **owner's** motives and its **stage**. A brand-new **start-up** often puts **survival** first; an established firm may chase **profit** or **growth**; and a **social enterprise** may put its cause above profit.
Different businesses, different goals 🏪
An interactive activity.
Why survival first? 🛟
Why might a brand-new business aim to SURVIVE rather than to maximise profit in its first year?
- Cash and customers are uncertain at first, so simply staying open comes first
- New businesses are not allowed to make a profit
- Profit does not matter to any business
- Survival and profit mean exactly the same thing
Spot the true statements 🖍️
An interactive activity.
First things first 🪜
An interactive activity.
Advise the founders ✍️
An interactive activity.