This may be because the managers believe that the survival of the business depends on being large.Large businesses can also benefit from economies of scale.
An aim is where the business wants to go in the future, its goals. For instance, we want to achieve sales of €10 million in European markets in 2004.
A mission statement sets out the business vision and values that enables employees, managers, customers and even suppliers to understand the underlying basis for the actions of the business. It also enables the business to measure the progress towards to its stated aims.
A business objective is more specific and easier to measure than a goal.
All our basic tools that underlie our planning and strategic activities are our objectives.
The main objectives of a small or very young business might be: Profit maximization means making as much profit as possible. Survival is also a priority for small or young companies when there is an economic crisis.
In fact, it is also a priority for many large corporations.
Stock market investors focus too much on short-term profits, they say.
Companies subsequently suffer, especially their long-term growth.
When expressing objectives, the CEO might say:“We will increase our sales of bicycles by 2.5% each quarter of this year.
We will open new branches and factories in Germany and France during the next twelve months.”Defining objectives and goals assumes great significance when selecting a great idea for small business.