Name ___________________________________

Date ____________________ Period _________

AICE Business Chapter 4 – Business objectives
Syllabus Objectives
 Business objectives in the private and public sector
o The nature and importance of business objectives at corporate, departmental and individual levels
o Corporate social responsibility (CSR) as a business objective
o Relationship between mission statement, objectives, strategy and tactics.
 Objectives and business decision
o The different stages of business decision making and the role of objectives in the stages of business decision
making
o How objectives might change over time
o Translation of objectives into targets and budgets
o The communication of objectives and their likely impact on the workforce.
o How ethics may influence business objectives and activities.

Chapter Vocabulary
1. Corporate social responsibility (CSR) 3. Ethical code (code of conduct)
2. Management by objectives

Chapter Questions
1. Why are objectives important? (1)

2. Effective objectives are known by the acronym _________________ (6)

Give a brief summary:

3. A corporate aim is a ______________________ goal that a business hopes to achieve. (1)

4. Copy figure 4.1 – Hierarchy of objectives (3)

5. Corporate aims can help __________________________________and direction for the
______________________________ if they are clearly and unambiguously communicated in the
workforce. (2)

6. __________________________________ are an attempt to condense the central purpose of a business’s

existence into one statement. (1)

7. Give an example of a mission statement as provided by the book: (1)

8. Some people argue whether mission statements should or should not be used. What are some arguments
for or against the use of mission statements: (4)
In favor of mission statements: Often criticized for being:

In favor of mission statements: Often criticized for being:

9. ___________________________________ mission statements is almost as important as establishing

them. (1)

10. Some common corporate objectives and some of their limitations: (please complete the chart below) (24)
Objective what does it mean? limitations

11. Understand the relationship between mission, objectives, strategy, and tactics. To aid in understanding,
recreate figure 4.3 on page 44. (4)

12. The role of setting clear and realistic objectives is one of the primary roles of
________________________________________. (1)
13. The essential link between decisions and objectives can be illustrated in a
____________________________________________. The stages of this are as follows: (8)
 14. What are 2 reasons that a corporate objective might change? Please describe (4)

15. There are a variety of factors that determine the corporate objectives of a business They can be
summarized in the following chart: (10)

Factor Brief definition/explanation

16. What is management by objectives? (1)

17. What is essential for the effective setting of aims and objectives? (1)
18. What are two benefits of effective communication? (2)

19. How do companies make decisions when faced with a dilemma? (2)

20. Give an example of a SMART objective that could be set for your applying to college: (1)