Learn Unit 2 1.3 Changing business aims and objects

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1. Why would a business change it's objectives as it grows?
When the business starts the owners just want it to survive. As it grows the owners want it to do more than just survive.
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2. State 5 objects that a business could adopt as it grows...
1. Ethical 2. Environmental 3. Sustainable 4. Diversification 5. Grow internationally
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3. What does market leader mean?
This means selling the most items in that market. For example, Kellogs is the market leader in the breakfast cereal market.
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4. State 3 advantages of being market leader...
1. You can demand discounts from suppliers 2. Customers more likely to know you 3. You have fewer competitors so customers are more likely to come to you
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5. What does it mean to have ethical objectives?
This is where the business aims to do the right thing by its customers, suppliers and staff. For example, paying staff at least the minimum wage.
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6. What does it mean to have environmental objectives?
This means that the business tries to not have a detrimental impact on the environment. For example, they recycle paper and supermarkets have thinner carrier bags and charge for them.
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7. What does it mean to have innovation as your objective?
This is where a business tries to create products which are new and unique e.g. the Dyson ball.
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8. What does it mean to have diversification as your objective?
To sell a completely different product. E.g. Tesco bought the restaurant chain Giraffe.
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Card 2

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2. State 5 objects that a business could adopt as it grows...

Back

1. Ethical 2. Environmental 3. Sustainable 4. Diversification 5. Grow internationally

Card 3

Front

3. What does market leader mean?

Back

Preview of the front of card 3

Card 4

Front

4. State 3 advantages of being market leader...

Back

Preview of the front of card 4

Card 5

Front

5. What does it mean to have ethical objectives?

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Preview of the front of card 5
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