Tutorial 2 - Individual Questions Graded

L. Maxime Q16
16. Newstart Company bought a banana chips factory from the government. The Board of
Directors of Newstart wants to develop a new vision and mission statements, and strategic
objectives that will guide the business to profitability within the first twelve (12) months.
a. Discuss THREE ways in which a well-written mission statement for Newstart Co.
Ltd. could assist the business in becoming more profitable.

Three ways in which a well-written mission statement for Newstart Co. Ltd. could assist the
business in becoming more profitable are:

1.It will give a clear indication of the purpose of the organisation. It will give employees
purpose and improves engagement in their work. Mission statements help employees see
the meaning and purpose of their work by giving them clear reasons their job benefits a
larger goal. A mission statement also helps to motivate the organization to

2.It will clearly describe the organisation’s values, objectives or targets and reason for
existence. Thereby outlining a clear path to achieve the organization’s objectives which
will ultimately lead to profitability.

3.The mission statement will outline the legitimacy of the organisation, allowing the
business to have a good work structure. This will also facilitate smooth transition from
the planning phase onto the organizational structure phases as employees would know
their roles and where they stand.