Forces That Change Business Aims and Objectives

The video discusses the pressures businesses face to evolve due to changing market conditions, customer preferences, and competition. It highlights the importance of being proactive rather than reactive in adapting to these changes. The video also covers various forces such as technology, management changes, and legislation that influence business strategies. It emphasizes the need for businesses to set clear objectives for survival, growth, and expansion while considering market entry and workforce adjustments.

Why is it crucial for businesses to evolve in response to market changes?

• To increase employee satisfaction

• To maintain their current market position

• To reduce operational costs

• To avoid becoming obsolete and to grow

What is a proactive approach in business strategy?

• Waiting for competitors to make the first move

• Making decisions in anticipation of future changes

• Ignoring market trends

• Focusing solely on cost-cutting measures

How can technology be both a benefit and a threat to businesses?

• It can increase production costs

• It can improve efficiency but requires constant updates

• It can lead to employee layoffs

• It can reduce the need for marketing

What role do social factors play in business strategy?

• They only affect non-profit organizations

• They have no impact on business decisions

• They are irrelevant in a global market

• They force businesses to adapt to changing customer preferences

What is a key consideration for businesses when deciding to enter or exit a market?

• The color of their branding

• The saturation level and potential profitability of the market

• The number of employees they have

• The location of their headquarters

Why might a business choose to decrease its product range?

• To improve customer service

• To expand into new markets

• To increase the number of employees

• To focus on core products and reduce complexity

What is a potential reason for a business to increase its workforce?

• To decrease production time

• To improve employee morale

• To support expansion and meet increased demand

• To reduce operational costs