What are aims and objectives

• Business aims give a business direction and purpose for daily activities
• Business aim: the overall long-term target or goal of the business
• Business objectives: short-term steps a business needs to take to meet its overall aims
• Business aims and objectives fall into two main categories: financial and non-financial
• Financial aims and objectives are linked to money and cover:

  • Business survival: keeping the business operating for a certain amount of time
  • Profit maximisation: aim after reaching the break-even point
  • Growth: increasing employees, products sold, or income from sales domestically or internationally
  • Market share: percentage of the market a business occupies
  • Increasing shareholder value: important for a limited company
• Non-financial aims and objectives are linked to anything other than making money and include:

  • Social and ethical objectives: ethical or environmentally friendly practices or meeting a social need
  • Customer satisfaction: key objective for firms in a competitive market