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Subjects

Business Studies

Objectives

In Class 12 Business Studies, students learn how objectives form the starting point of the planning process. The topic explains objectives as clearly defined results that an organisation aims to achieve within a specified time. Students explore how objectives guide decision-making, direct employee efforts, coordinate activities across departments and provide standards for measuring performance and control. This understanding helps them connect organisational goals with practical business planning and implementation.

Hard · Level 1 · 25 questions

Practice questions

01When should an entrepreneur change a business goal?

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02Which statement is most analytical in the meaning of planning?

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03If planning is treated only as a decision process and objective focus is ignored, what weakness remains?

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04A company sets the production department a target to reduce the defect rate from 5% to 2% within six months. Which feature of an objective is most clearly shown?

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05The marketing department aims to increase brand awareness, but the target gives neither a measurable standard nor a time frame for achieving it. What is its main weakness?

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06The finance department sets a cost-reduction target, while the production department plans to use more material to improve quality. Which issue does this situation illustrate?

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07A target says that all branches should provide better service from next month onward, but gives no way to assess improvement or deadline for achieving it. What should be added to make it a stronger objective?

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08A company's main objective is to increase profit, and its human resource department sets a target to complete employee training. What should be the relationship between these objectives?

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09If actual sales are far below the target, how does the objective help in controlling?

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10A manager says that objectives should be challenging but not beyond the organisation’s capacity. Which principle does this express?

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11A company wants to improve customer satisfaction next year. Which option best turns this aim into a measurable objective?

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12An organisation sets targets for profit, social service, and employee development. Which feature of objectives does this illustrate?

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13What is the correct difference between an objective and a policy when both are used in planning?

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14If a target is known only to top management and is not clearly communicated to departments, what problem may result?

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15The sales department sets a target to increase monthly sales, but production capacity is fixed. Which consideration may have been overlooked when setting the objective?

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16Which statement identifies a rule rather than an objective?

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17In which situation is a target measurable but still not a good objective?

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18A company will set separate targets for each branch next year, and all the targets will support improved customer service. What does this show?

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19A company sets an objective that, within two years, new products should account for 20% of its total revenue. What does this objective primarily represent?

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20If objectives are too many and have no priority what effect can occur?

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21A factory aims to increase output and reduce workplace accidents. Why should it balance these objectives?

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22Which option is the best example of an operational objective?

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23Why would controlling be difficult if an objective only says that the company should become “better”?

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24Which option correctly describes the relationship between an objective and a budget?

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25A target says that product quality should be “good.” What weakness should be noted before treating it as a clear objective?

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