The Micro Environment Pt1

The business policy...

• defines the scope for decision-making in the business

• provides guidelines developed by the business to guide its action

• defines the business strategy

• consists of the vision, mission, goals and

  objectives of the business

The vision...

• is the dream of the business.

• outlines the purpose, basic activities and explains the reason why the business exist.

• is a short term goal.

A strategy...

• is a plan of action that guides management to achieve its objectives

• is put in place by management to give the business the competitive advantage

• is defined in the business policy

• is the dream of the business

The Business (a)   consists of the different beliefs, expectations, values and attitudes shared within the business.

Every business must be organised into a basic structure that will show...

• each person's tasks

• The co-ordination between the various departments

• each person's level of authority and responsibility

(a)   is the process of achieving business goals through planning, organising, leading and control (POLC)

(a)   is the process of inspiring and guiding others to achieve organisational goals

(a)   management oversees the other seven business

functions.

The (a)   function is responsible for buying goods and services needed by all the other functions so that the

business can operate efficiently.

The (a)   function transforms raw materials into finish products by combining raw materials with labour, capital and entrepreneurial skill.