Business Mission

Last updated May 22, 2023 Edit

• Business

• Difficult to define accurately
• A generalised statement of where you are heading from which objectives can be set
• A more ambiguous and passionate way of expressing an aim

• the overriding purpose of the business
• the reason for its existence
• a strategic perspective
• supports the stated “vision” for the future

• a statement of goals or objectives
• statement of core values
• how the business intends to compete in the marketplace

See Hierarchy of Objectives

• Employees
• Customers
• Investors
• Society

• Make up core values
• Often included in the mission statements, or longer term plans

• A clear sense of business purpose
• Excites, inspires, motivates, guides
• Easy to understand and remember
• Differentiates business from competitors
• For all stakeholders, not just shareholders and managers

• Not always supported by actions of the business
• Often too vague or general
• Could just be for good PR

• Business ownership – profit or non-profit?
• The relative power of stakeholders
• Ethics - decisions made on ethical grounds might reject the most profitable options
• Business culture – “the way we do things around here”
• Resource Constraints – everyday decisions about deploying limited resources

• Pressure for short-termism – businesses focus on short-term profit objectives rather than long-term performance objectives due to shareholders demand for return on investment
• Private limited companies have an easier time focusing on long-term goals than public limited companies, because Ltds typically have closer relationships with their shareholders

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