CCEA BUSINESS STUDIES A2 UNIT 1 EXAM
2026 QUESTIONS WITH ANSWERS GRADED
A+
⩥ Aim. Answer: Long-term plans of the business from which its
corporate objectives are derived.
⩥ Corporate Strategy. Answer: An overall plan with clearly defined
objectives that provides a clear sense of direction and assists decision
making with an organisation.
⩥ Business objectives. Answer: A goal which a business is seeking to
achieve.
⩥ Strategic Objectives. Answer: These are objectives set for the whole
organisation by senior management. They will have long-term
implications and involve major uses of resources.
⩥ Functional Objectives. Answer: These are objectives designed to
improve the efficiency of business operations in areas such as
production, marketing and sales, human resources, finance, and research
and development. They can only be effective if there is co-operation
between the business functions.
, ⩥ SMART Objectives. Answer: Objectives set by the businesses which
are specific, measurable, attainable, realistic and time-based. This will
allow for monitoring and evaluation of performance by management.
⩥ Profit Maximisation. Answer: Producing at a level of output which
generates the most profit for a business
⩥ Profit Satisfaction. Answer: Generating sufficient profit to satisfy
owners and relevant stakeholders such as management.
⩥ Growth. Answer: An objective chosen to allow the firm to become
competitive, to dominate the market, to diversify and reduce risks.
⩥ Survival. Answer: A possible objective for a business during early
stages of trading, during a recession or in response to a threat from a
takeover.
⩥ Corporate Image. Answer: An objective chosen to enhance the
reputation of the business in relation to ethics and social responsibility. It
is the mental picture that springs up at the mention of a firm's name.
⩥ Environment. Answer: An objective chosen when the firm is pursuing
policies to reduce the negative impact of its activities on the
environment.
2026 QUESTIONS WITH ANSWERS GRADED
A+
⩥ Aim. Answer: Long-term plans of the business from which its
corporate objectives are derived.
⩥ Corporate Strategy. Answer: An overall plan with clearly defined
objectives that provides a clear sense of direction and assists decision
making with an organisation.
⩥ Business objectives. Answer: A goal which a business is seeking to
achieve.
⩥ Strategic Objectives. Answer: These are objectives set for the whole
organisation by senior management. They will have long-term
implications and involve major uses of resources.
⩥ Functional Objectives. Answer: These are objectives designed to
improve the efficiency of business operations in areas such as
production, marketing and sales, human resources, finance, and research
and development. They can only be effective if there is co-operation
between the business functions.
, ⩥ SMART Objectives. Answer: Objectives set by the businesses which
are specific, measurable, attainable, realistic and time-based. This will
allow for monitoring and evaluation of performance by management.
⩥ Profit Maximisation. Answer: Producing at a level of output which
generates the most profit for a business
⩥ Profit Satisfaction. Answer: Generating sufficient profit to satisfy
owners and relevant stakeholders such as management.
⩥ Growth. Answer: An objective chosen to allow the firm to become
competitive, to dominate the market, to diversify and reduce risks.
⩥ Survival. Answer: A possible objective for a business during early
stages of trading, during a recession or in response to a threat from a
takeover.
⩥ Corporate Image. Answer: An objective chosen to enhance the
reputation of the business in relation to ethics and social responsibility. It
is the mental picture that springs up at the mention of a firm's name.
⩥ Environment. Answer: An objective chosen when the firm is pursuing
policies to reduce the negative impact of its activities on the
environment.
