Question detail
FreshFork serves health-conscious consumers while cutting delivery times; the case evidence includes cash inflow of ?8,714, sales of 729 units, and a 39% change in costs or demand. Which option best applies Explain why objectives differ between businesses, including business size, competition and not-for-profit status?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Setting business aims and objectives
Question
- A. Use competition to judge unit contribution, owners impact, and the business objective in Changing objectives and success measures.
- B. Give only a definition of Setting business aims and objectives without using the case evidence.
- C. Treat revenue and profit as identical and ignore the effect on owners.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use competition to judge unit contribution, owners impact, and the business objective in Changing objectives and success measures.
Explanation
The option is correct because Use competition to judge unit contribution, owners impact, and the business objective in Changing objectives and success measures. The case evidence gives ?10,214, 729 units, and 39%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse revenue and profit, miss the owners, or ignore the business objective.
Common mistake
Changing objectives and success measures common mistake 1
Giving a vague answer instead of directly addressing: Explain why objectives differ between businesses, including business size, competition and not-for-profit status..
Answer by clearly explaining how to explain why objectives differ between businesses, including business size, competition and not-for-profit status..
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