Get premium membership and access questions with answers, video lessons as well as revision papers.
1. An overall purpose of business
This is the main reason as to why the business exists i.e. what does business do? What does it plan two achieve? What customers does it serve? What stakeholders does it relate to? How does it perform in a given ministry? Number of products and services, branches or organization programs undertaken etc.
2. Identity of the business
This is the unique characteristics that the business is known for. This helpf the business to curve a niche in the industry. Also help business to ensure survival in the midst of competition.
3. The activities
This refers to what the business does to achieve its overall objectives. This may involve, designing and marketing of products and services, providing social services to that surrounding communities motivating and encouraging the stakeholders to be better off, acquisition of the factors of pattern etc.
4. The resources
Includes all factors of production that are used as the activities are undertaken when developing policies the management must identify, mobilize, allocate, utilize and control all the factors of production. The management must ensure that the costs are in line with the identity of the business. Also that the quality and quantity of the factors of production are maintained.
5. The Environment
Environment as a variable of business policy framework sets the limits of business survival depending on whether the environment is controllable or non-controllable. Controllable environment includes all the factors within the business that the policy maker can change e.g. the organization climate, organization culture, organization structure, channels of communication and devolution, the quality and quantity of resources, the relationships within the business, the control systems within the business etc.
Titany answered the question on November 29, 2021 at 12:50