Changing Aims & Objectives

An aim is the main goal of a business, while objectives support that aim. Both aims and objectives are dynamic and will change as a business evolves or reacts to various internal and external factors.

Internal factors include business performance (improvements or worsening), new stakeholders with increased influence, and changes in leadership. External factors encompass economic conditions (recession or boom), shifts in competition, technological advancements, and new legislation or laws.

Businesses react to these factors in various ways. For instance, poor business performance or an economic recession might lead a business to shift from a growth focus to a survival focus. Conversely, strong performance in a booming economy might encourage increasing product range due to anticipated higher sales.

New stakeholders might push a business towards environmentally conscious practices, leading to entry into 'green' markets. New tariffs or legislation in a region could force a business to exit that market. Additionally, technological improvements making capital cheaper than labor might lead a business to reduce its workforce size.