Question

‘Management seeks to achieve certain objectives, which must be derived from basic purpose of the business’. In the light of this statement, explain organisational and social objectives of management.
or
Survival, profit and growth are essential targets of every enterprise. Identify and discuss the objective of management mentioned here.

Answer 1

(i) Organisational objectives It refers to the goals for the benefit of all stakeholders such as employees, government, shareholders and investors.Organisation objectives are:
(a) Survival When the organisation earns enough revenue to cover its cost,
(b) Profit When the organisation earns enough revenue to cover costs and risks of the business.
(c) Growth It implies growth in terms of sales, profit, number of workers, products produced and sold, etc.