Presentatsioon Corporate Financial Management
The objective of the firm
When people have to make choices in the harsh environment in which modern
businesses have to operate, it is necessary to be clear about the purpose of the
organization; to be clear about what objective is set for management to
achieve.
It is imperative that the management teams are aware of, respect and
contribute to the fundamental objective of the firm; otherwise the function of the
company will become random and rudderless.
Some possible objectives
Achieving a target market share In some industrial sectors to
Survival achieve a high share of the
Creating an everexpanding empire market gives high rewards.
There are circumstances where
the overriding objective becomes
the survival of the firm.
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