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UNIT 3


Unit 3
Functional Objectives and Strategies
Objectives:

Quantifiable targets or goals to be achieved within a given time frame

SMART- Specific, Measurable, Achievable, Realistic, Timed

Provides focus and direction
Sets a benchmark in which to measure performance

Corporate Objectives
The long term goals of a business

Informs decisions…

Page 2

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UNIT 3




Understanding Financial Objectives
Financial Objectives
The monetary targets a business wants to achieve in a given period of time.

Cash flow targets
These are set to:

Are required to meet the short term objective of survival
To meet day to day expenses
To achieve specific cash flow targets…

Page 3

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UNIT 3




The Characteristics of the firm
Capital VS labour intensive
innovative
Established
Low cost or highly differentiated

Relationship between owners and directors
within a PLC these can be the same or different
What is the power of individual shareholders?

Public or Private sector
A key influence of the overall…

Page 4

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UNIT 3


Understanding Operational Objectives
Operational Objectives

The target a firm sets I order to produce goods/service in the most effective way.

Operational Objectives looks at the aims of a business in producing goods and providing services. It will include the
following areas:

Meeting Quality
Cost and volume targets
Innovation…

Page 5

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UNIT 3




Assessing influences ­ Nature Of The Product
A firm will have to take into account the nature of the product:

Target market ­ niche might require specialist operations management such as expertise in that field; mass
might lead to highly automated, capital intensive operations
Regulatory environment ­ legal…

Page 6

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UNIT 3


14th September

Understanding Marketing Objectives
(Pg 106-144)

Successful organisations base their functional objectives and strategies on the organisations overall targets
(corporate objectives)

Planning Process
Planning within the marketing function should follow these stages:

1. Corporate Objectives
2. Marketing objectives
3. Market and marketing analysis
4. Marketing strategies
5.…

Page 7

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UNIT 3


External Factors affecting the setting of marketing objectives:




(E.g. the upgrading of cassette
walkman to cd walkman to mp3 player)




Tesco choosing to produce small scale local small stores in Japan and the USA is a good tactic to penetrating a market,
to see how the public react…

Page 8

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UNIT 3




Page 113,
Case Study 2

On an overall look at Tesco's progress over 07/08 they have not met most of their aims, however they were very
close to a lot of them. As much as they have not met their aim to increase growth in sales volume by…

Page 9

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UNIT 3




14th September

Understanding Marketing analysis and marketing


Ways of analysing a market

1. Quantitative analysis
2. Qualitative analysis

Methods used in market analysis (quantitative)
1. Moving averages
2. Extrapolation
3. Correlation

Moving Averages
Allow an organisation to calculate a trend scientifically using a series of calculations designed to…

Page 10

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UNIT 3




Limitations of quantitative forecasting
Past trends do not always continue into the future
Correlation changes over time. E.G the major influence on sales might change from the price to the amount
spent on advertising
External influences such as competitors' actions, consumers' tastes or stages of the business cycle,…

Comments

Guy

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Thank you

Avromi E

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Thanks, Great Notes.

nogghfd

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nice Notes. Thanks

Mohsin

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Danke

sabah mariam

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