Objectives of business

Objectives have to do with the goals or aims. The objectives of a business is defined as th ends which the business seeks to achieve by being in existence and engaging in operations. As individuals formulate objectives in life,business must have their objectives. Something they hope to achieve by their activities.Sometimes these main objectives also have lower objectives. Some of the objectives that businesses can adopt include:

(a) Profit Objectives: Organizations view profit as very important,since they know that if it is achieved, it would help them achieve other goals.

(b) Sales Objectives: Firms set sales objectives because in most cases,sales objectives facilitate the achievement of profit objectives.

(c) Production objectives: This appears to be very essential,but requires that the business reconciles target set with the sales target,and capacity,as well as with the available production potentials machine capacity,raw materials and manpower resources.

(D) Stock Objectives: Stock objectives have to do with the desired level at which stock of finished goods,work-in-progress.and raw materials would be maintained to ensure smooth running of the organization's business.


(E) Public Image Objectives: The perception of the organization by the public is very relevant when considering the well being of the organization.Most organizations therefore,find it necessary to set objectives as to good and continually improved image.


(F) Employee satisfaction objectives: This concerns objective set as to how much of high moral of the employees would be achieved by applying specific theories and practice of motivation in the work environment ego.


(G) Shareholder satisfaction objectives: Shareholders have invested their funds in a business in order to earn reasonabley high dividends and to enhance value of their holdings. Firms are expected to set objectives along this line too.This is because shareholder's satisfaction is of paramount importance to the growth of any business,as satisfied shareholders increase support to management.


(H) Innovation Objectives:Well managed organizations aim at finding new ways of solving organizational problems.To this end,they allocate resources for the purposeof innovation: Organizations set objectives as to level of innovations to be achieved at any given period of time,for example,introducing a number of new products in a year.