Explain why the objectives of a business may change over time.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2019). The mark or mark type is shown in brackets.

1. Answers could include:
2. Define business objectives – the stated measurable targets (tactical, strategic, corporate, departmental) that move an organisation to achieve its aims and purpose.
3. Objectives can include survival, growth, profit maximisation, sales growth, socially responsible aspirations.
4. Changes may take place in response to:-
5. Initial objectives achieved (survival).
6. Competitive environment.
7. New leadership and management.
8. Technology developments may suggest new production possibilities.
9. New opportunities arise with internal and external growth such as multi-national trade.
10. Economic/external situation changes such as recession.
11. Accept any other valid response.
12. [4-5 marks] Effective explanation of at least two reasons why objectives may change over time.
13. [3 marks] Explanation of at least two reasons why objectives may change over time or effective explanation of one reason.
14. [2 marks] Explanation of one reason why objectives may change over time.
15. [1 mark] Descriptive information about business objectives.
16. [0 marks] No creditable content.