miss duddigan-cooperate objectives

Question 2

mission statement

Answer 2

written desciption of aims
intended to make shareholders aware of what business does
helps encourage employees to work towards aim
tell you purpose of business and aims
can give staff a sense of shared purpose

Question 3

advanatgs of mission statment

Answer 3

gives employees feel of shared purpose encourages them to aim towards common goal

Question 4

disadvantages of mission statements

Answer 4

they can lie, dont have to prove what they put on mission statement as accurate
can say what they feel customes want to hear
business reputation damaged if customers figure out that actions dont reflect
limited doesnt go into much detail

Question 5

what does a mission ststement need to be

Answer 5

CLEAR/STRAIGHT TO THE POINT

Question 6

what are the two types of objective departments

Answer 6

cooperate objective
departmental objectives

Question 6

cooperate objectives

Answer 6

goals of the business as a whole
e.g small new business goal may be to surive
large business aim may be to grow bigger

Question 7

why are objecgtives set

Answer 7

way to achieve your mission

Question 8

departmental objectives

Answer 8

objectives for each department
more detailed and more specific
first cooperate objective set then boss of each depatement thinks how they can input and reach this aim by setting departmental objectives which are more specific

Question 9

advantages of objectives

Answer 9

motivating for employees as have somethig to aim for
coordicnation increase within departments

Question 11

objectives should be SMART
what does SMART stand for

Answer 11

specific
measurable
agreed
realistic
time bound

Question 12

specific

Answer 12

havig objectives that are specific are more liekly to be acheived
e.g imporve qulaity is not specific enough

Question 13

measurable

Answer 13

if not measurable business wont know if achieved or not
e.g imporve profit by 5%

Question 14

agreed

Answer 14

everyone apart of objective needs to know it and agree to it

Question 15

realistic

Answer 15

dont set objectives which are too ambitious as wont be met then demotivate staff

Question 16

timely

Answer 16

should be specific timeframe
if no time limit, staff wont feel an urge

Question 17

ainsoff matrix

Answer 17

Market penetration
product development
market development
diversification

Question 18

market penetration

Answer 18

trying to increase market share in existing market
e.g. business achieving 25% market share but wants to achieve 30% market share
may use sales promotion, advertising etc

Question 19

new product development

Answer 19

selling new products in existing market
maket has high market share good potential growth

Question 20

market development

Answer 20

selling existing products in new market
done by repostioning-business focuses on a different segment of market
needs to research and find out how it can adpat ts product to match needs of another segment
may use different channels of distribution e.g ecommerance
can also be done by changing georgriphical loactions

Question 21

diversification

Answer 21

selling new products in new markets
most risk

Question 22

advantage of ainsoff matrix

Answer 22

makes managers think of level of risk when going in a new direction

Question 23

disadvnatge of ainsoff matrix

Answer 23

doesnt show the singificant chnage these would make to everyday working

Question 24

porter genetic strategies
are competitive strategies

Answer 24

Cost leadership
Differnetiation
Focus

Question 25

what is cost leadership

Answer 25

calls for lowest cost of production for given quality
good for businesses who are efficent and achieve economies of scale
where business has low costs
beneficial if prices decline, firm can stay profitable

Question 26

what is differentiation

Answer 26

provides product with unique attributes that consumers value
belive its better then rival products
unique allows businesses to charge higher premium prices
risks-imitation from competitiors, changes in consumer tastes

Question 27

focus

Answer 27

concentrates on niche markets
focuses on either minimising costs or showing differentiation