Explain why corporate objectives are important to a business.

Mark scheme

Marking points from the official mark scheme (May/June 2017). The mark or mark type is shown in brackets.

1. [1] Objectives are important at every level of a business – gives focus and clarity - allows control and review of operations.
2. [1] Corporate objectives – are designed to make specific the aims and mission of a business – they provide a much clearer guide for management and workforce action throughout a business.
3. [1] They are set at the highest level of a business – examples include: profit maximisation, market share, growth, return on investment, cash flow, sales revenue, shareholder value, corporate image and reputation.
4. [1] (Importance) they express the aims, purpose and mission of a business.
5. [1] (Importance) the main, and primary, business objectives.
6. [1] (Importance) set the frameworks and guidelines for all activities in a business.