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Question
Define a business objective.
Answer
A specific, measurable goal a business sets to achieve its mission.
💡 Hint
Objective = measurable goal.
Question
Define a marketing objective.
Answer
A specific goal for the marketing function that supports overall business objectives (e.g. awareness, market share, loyalty).
💡 Hint
Marketing objective supports business goals.
Question
How do objectives typically change as a business moves from start-up to maturity?
Answer
Start-ups focus on survival, growth-stage firms focus on market share/revenue growth, and mature firms focus more on profit maximisation.
💡 Hint
Life cycle drives objectives.
Question
SMART objectives must be time-_____.
Answer
Time-bound.
💡 Hint
Time-bound = deadline.
Question
What does SMART stand for?
Answer
Specific, Measurable, Achievable, Relevant, Time-bound.
💡 Hint
SMART acronym.
Question
Strategic objectives are generally (short-term / long-term).
Answer
Long-term.
💡 Hint
Strategic = big picture.
Question
State two marketing objectives.
Answer
Increase brand awareness and increase market share.
💡 Hint
Safe pair for 2 marks.
Question
Give one external factor that can force a business to change objectives.
Answer
Economic recession (a business may shift from growth to survival).
💡 Hint
Think PEST factors.
Question
Give one reason objectives change over time.
Answer
Businesses evolve through different life-cycle stages and face changing external conditions (competition, technology, economy).
💡 Hint
Life cycle + external changes.
Question
Which part of SMART requires a deadline?
Answer
T = Time-bound.
💡 Hint
Time-bound = deadline.
Question
How can a new competitor entering the market affect objectives?
Answer
The business may shift focus toward maintaining or increasing market share through pricing, promotion, or differentiation.
💡 Hint
Competition changes priorities.
Question
What is the difference between strategic and tactical objectives?
Answer
Strategic objectives are long-term, big-picture goals set by senior management. Tactical objectives are short-term steps that support the strategy.
💡 Hint
Long-term vs short-term steps.
Question
State two common business objectives.
Answer
Profit maximisation and growth (such as increasing sales or market share).
💡 Hint
Pick 2 from profit, growth, market share, survival, ethical.
Question
Why is “measurable” important in objectives?
Answer
It allows progress to be tracked using data (numbers), so managers can judge success and adjust actions.
💡 Hint
If you cannot measure it, you cannot manage it.
Question
State two common objectives for mature businesses.
Answer
Profit maximisation and shareholder value (or maintaining profitability).
💡 Hint
Mature = profit focus.
Question
Why might a crisis push a firm back toward “survival” objectives?
Answer
Because cash flow becomes critical, so the firm may cut costs, delay expansion, and restructure to stay solvent.
💡 Hint
Survival = protect cash flow.
Question
Exam rule: When writing objectives in an answer, what must you link them to?
Answer
The specific business context in the stimulus (resources, stage, market conditions).
💡 Hint
Always apply to the case.
Question
Exam skill: What should you do first when asked what objectives a business should have in a scenario?
Answer
Identify the business stage (start-up/growth/maturity) and the external pressures, then propose objectives that fit that context.
💡 Hint
Context first, then objectives.
Question
Turn this into a SMART objective: “Sell more products.” (Give one improvement.)
Answer
Add a number and timeframe, e.g. increase online sales of Product X by 15% within 12 months.
💡 Hint
Add metric + deadline.
Question
Why is “survival” a common objective for start-ups?
Answer
Because early-stage businesses must cover costs and maintain cash flow before they can focus on growth or profit.
💡 Hint
Start-ups need cash flow.
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