Differing business aims and objectives

Differing business aims and objectives

1. Survival

   • An important aim for all businesses, but particularly a new business
   • The chances of survival depends on:
     • Finance available
     • The economy (survive recession)
     • The number of competitors

2. Financial

   • Break even
     • Covering costs
   • Increase revenue
     • A business which is moving farward
   • Reduce cost
     • Control or reduce cost eg. lower prices
   • Make a profit
     • eg. money are needed to buy new equipment

3. Growth

   • Can be measured in terms of
     • number of employees
     • Increasing the value of sales
     • Increasing output
   • Why to grow?
     • To have greater market share
     • To open more stores/build a factory
     • Spreading risk by diversification

4. Reputation

   • Producing good quality products
   • Providing excellent customer service

5. Being enterprising

   • Sole traders want to have own business
     • Be own boss