206 aims and objectives and 207 strategy

Question 1

vision statement

Answer 1

a description of what a business sets out to achieve in the medium to long term - clear guide to senior managers of future direction

Question 2

mission statement

Answer 2

a broad statement of its aims and values - guiding everyday operations and decision making of the business

Question 3

corporate strategy

Answer 3

strategic decisions a business makes that affect the entire business (senior managers, long term)

Question 4

strategic direction

Answer 4

achievement of the stated goals of the corporate strategy (aimed at achieving the mission and vision statement)

Question 5

divisional strategy

Answer 5

corporate straight communicated to divisional managers - information shapes the plans the divisional managers create

Question 6

functional strategy

Answer 6

single function operation e.g. production, marketing etc

Question 7

strategic decisions

Answer 7

way a business operates in order to achieve its medium to long term aims and objectives

Question 8

tactical decisions

Answer 8

medium term decisions made by middle managers - adaptable

Question 9

corporate plan

Answer 9

statement of organisational goals to be achieved in medium - long term (clear measurable objectives)

Question 10

ansoff matrix

Answer 10

outljnes business options to grow
product - market
existing - new
1. market pen
2. product development
3. market development
4. diversification

Question 11

rationalisation

Answer 11

the reorganisation of a business in order to increase its efficiency