Business Org 6.2 Lectures 9-10

Private shareholders hold shares in what type of company:

• Ltd

• PLC

• Partnerships

• Google

PLC means:

• Personally liked company

• People's liability company

• Public limited company

• Private limited company

A mission statement (select all that apply):

• defines the company's business

• is the important job that someone does

• defines the company's approach and objectives

• describes its desired future position

Vision Statements

• are what you can see with new glasses

• are about the desired future position of the company

• describe what the company has achieved

Vision and mission statements can either be separate or combined.

• True

• False

Mission statements (select all that apply):

• provide focus for employees

• guide thinking about strategic issues

• aren't really necessary if a company wants to be successful

• serve as a public relations tool

Customer satisfaction is an important objective because:

• it leads to customer retention

• it's more expensive to keep existing customers

• dissatisfied customers tell many people

Profit is a key objective because it's what shareholders want.

• True

• False

Growth, as an objective, can include (select all that apply):

• an improvement in reputation (leading to more sales)

• more customers

• increasing sales and profit which leads to an increase on investment

• more headaches for managers

Managers can have their own personal objectives, not related directly to improving the business, such as bonuses.

• True

• False