SECTION 1: BUSINESS AND ITS ENVIRONMENT
Topic 1.4 BUSINESS OBJECTIVES
(a) State to objectives of a private business sector. [2]
(b) Briefly explain two objectives a small business might have, other than profits
maximization. [3]
Briefly explain two ways in which the objectives of a social enterprise might be
similar of those of other types of business. [3]
Briefly explain the term business ‘objectives’ (line 5). [3]
(a) Define the term objective as used by a business. [2]
(b) Explain two objectives a small business might have in the first year of trading. [3]
(a) Define the term mission statement. [2]
(b) Briefly explain two benefits of setting corporate objectives. [3]
(a) State two aims of a mission statement. [2]
(b)Briefly explain how a mission statement might be effectives communicated to
stakeholders of a business. [3]
Briefly explain two limitations of mission statement. [3]
Briefly explain two reasons why many businesses set growth as an objective. [3]
Explain why it is important for a business to have clear objectives. [5]
Explain the importance of the profit maximization objective to a business. [5]
Explain how the ethics could influence the objectives and activities of a private
sector business. [5]
Explain why the objectives of a business could change over time. [5]
Explain to the importance of a mission statement to the employees of a public
limited company. [5]
Explain why many businesses have corporate responsibility as an objective. [5]
Explain why a mission statement might be important for a multinational business. [5]
Explain why corporate objectives are important to a business. [5]
Explain how a business might benefit from acting ethically. [5]
Explain the link between marketing objectives and corporate objectives. [8]
Explain why the marketing objectives of a business need to be closely linked to its
corporate objectives. [8]
Explain how the objectives of a social enterprise might differ from these of other
private sector businesses. [8]
Explain why a business might not behave ethically. [8]
Discuss with example, how unethical business behavior could damage the reputation
of a company. [12]
Analyses the importance to a large business of setting corporate objectives. [8]
Discuss how a large food retailer, with many shops, could effectively communicate
corporate objectives to its workforce. [12]
Discuss how ethics may influence the decisions of private sector banks. [12]
Analyse the importance of corporate objectives and departmental objectives to the
success of a business. [8]
Discuss why a bank might change its corporate objectives over time. [12]
Discuss the view that only purpose of private sector businesses is to make profit, not
to pursue corporate responsibility objectives. [12]
Discuss why some businesses do not set a growth objective. [12]
Discuss how ethics may influence the activates of a business. [12]
Discuss why senior managers leading large public limited companies might decide
not to have corporate social responsibility (CSR) as business objectives. [12]
Discuss why the shareholders of a public limited company might disagree with
having corporate social responsibility (CSR) as a business objective. [12]
Discuss how the activities of a business might be constrained by ethical issues. [20]
Discuss the benefits to a business of setting ethical objectives. [20]
Discuss how the ethical decisions of a large clothing retailer might help or hinder its
business performance [20]
Discuss the advantages and drawbacks for a business of setting corporate
responsibility objectives. [20]
Discuss how and why a multinational food manufacturer might have corporate social
responsibility (CSR) as a business objective. [20]
“Because there is conflict between profit and corporate social responsibility (CSR),
private sector businesses should not have CSR as an objective.” Do you agree? Justify
your view. [20]
“A business mission statement is only important if it directly affects the strategy and
tactics of that business.” Discuss this view. [20]
In recent year a significant number of businesses have been accused of being
unethical. Discuss whether senior managers should consider ethics when making
business decisions. [20]
Discuss the extent to which the stakeholders of a large clothing retailer might want
the business to become more ethical and socially responsible. [20]
