It is possible to classify aims into different categories:
Commercial aims have a direct effect on the commercial efficiency or profitability of the business. Businesses’ aims often include increasing profit but they could also include increasing market share, increasing competitiveness and producing a better or bigger range of products.
A large business will often tie its aims into its overall policy or strategy. These may be included in the business’s mission statement (sometimes referred to as a ‘vision statement’). A mission statement states the overall aims of the business and its values; although it may have more to do with the image that a business wants to project than its actual aims. Johnson and Johnson’s mission statement begins “We believe that our first responsibility is to the doctors, nurses and patients, to mothers and all others who use our products and services”. This projects a very positive image of Johnson and Johnson. Later on in the mission statement we find a commercial aim, “We must constantly strive to reduce our costs in order to maintain reasonable prices”.
Some aims are ‘social’ rather than commercial. The Body Shop aims ‘to dedicate our business to the pursuit of social and environmental change’. This is an aim that is for the good of society rather than a commercial one.
Few businesses state their aim as “maximising profit”. This may be because customers might think they are only interested in profit and do not care how they make it. It is argued that most businesses will have the aim of maximising profit as that is what will lead to its owners making the most money.
Some organisations, such as schools, hospitals and councils who are responsible for providing services may have aims such as increasing efficiency and the effectiveness of the service provision to the local community. These organisations, which are often funded by the government or charities, may be more concerned with providing their service than making a profit.