What is the difference between an aim and an objective?
An aim is the overall goal and objectives are the steps to achieve it
An objective is the overall goal and aims are the steps to achieve it
A aim is where the business wants to be in 10 years and the objectives are where the business wants to be in five years
What are the two main types of objective?
Short-term and long-term objectives
Big objectives and small objectives
Financial and non-financial objectives
Which of the following is one of the two main reasons that each business has different aims and objectives?
The owners want different amounts of profit
Different businesses operate in different sectors
Different businesses sell different amounts of products
Which of these objectives for a small business follows the SMART acronym?
To earn £100,000 in 2020
To earn £1,000 profit each month for the next year
To earn £150,000 profit each week for the next month
What is the difference between financial and non-financial objectives?
Financial objectives mostly relate to money, whereas non-financial objectives relate to things other than money
Financial objectives relate to profit, whereas non-financial objectives relate to the types of products a business sells
Non-financial objectives relate to money, whereas financial objectives relate to things other than money
Which of these is a financial objective?
To make a profit of £6,000 in the first 12 months
To use 100% renewable energy within the first two years
To use 100% organic coffee beans in all coffee sold in the first 12 months
What does ‘business survival’ mean?
Making a profit after 12 months
Breaking even within 12 months
Keeping operating
What are the five types of non-financial objective?
Social concerns, personal satisfaction, challenge, control and independence
Social concerns, personal satisfaction, survival, control and independence
Social concerns, personal satisfaction, challenge, ethical considerations and environmental challenge
What does ‘profit’ mean?
Profit is the money raised from selling products
Profits is the amount of money a business brings in
Profit is any money left after all costs have been taken away from revenue
Which of these is a non-financial objective?
To use 100% renewable electricity within the first two years
To have a 5% market share of the coffee industry within 100 miles in 12 months