business objectives

Question 1

profit

Answer 1

the surplus remaining after total costs are deducted from total revenue

Question 2

market share

Answer 2

a businesses percentage of total sales within an industry

Question 3

characteristics of market share

Answer 3

its a proportion of the industries sales that you control and is a sign of competitive advantage,

Question 4

importance and how to increase market share

Answer 4

important as its provides a competitive advantage, reputation of company, and awareness, to increase - lower costs, lower prices, increased sales, increase quality, increase advertising, damage occurs to competitor ect.

Question 5

efficiency

Answer 5

how well resources are used to achieve objectives, including raw materials, labor, machinery, time,

Question 6

effects of efficiency

Answer 6

when a business is not efficient costs go up, prices go up, its less competitive, sells less.

Question 7

productivity

Answer 7

the ratio of outputs produced compared to inputs require

Question 8

effectiveness

Answer 8

the degree to which a business has achieved its stated objectives

Question 9

market need

Answer 9

the desires or demands of customers

Question 10

social need

Answer 10

to fulfill a social need is to make society a better place through the actions of the business. e.g. Westpac’s lifesaver rescue helicopter

Question 11

share

Answer 11

portion of ownership in a company

Question 12

shareholder

Answer 12

a person who owns at least one share in a company making them a partial owner

Question 13

business objectives

Answer 13

. to make a profit
. to increase market share
. to fulfill and market need
. to fulfill social need
. to meet sharholder
expectations
. to improve efficiency
. to improve effectiveness.