Aims of business

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  • Aims of business
    • Survival
      • Short term
      • Cannot achieve other aims if not
    • Growth
      • Tend to be more profitable
    • Gain a good reputation
      • e.g conforming to ethics
      • Seen as reliable and efficient
    • Increase market share
      • Sales of firm's products / total sales of the market
      • Bigger market share = greater ability to control the market
    • Profit
      • TR>TC (total revenue > total cost)
      • Not always: not-for-profit organisations
      • Source of wealth creation for the economy
    • Increase turnover
      • Increase sales per year
      • Quantity sold- not profit made
    • Maximise customer satisfaction
      • Encourage customer loyalty
      • Measure with customer opinion surveys


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