Characteristics of business policies

      

Characteristics of business policies

  

Answers


Faith
1. Business policies must be long-term perspective
This usually helps management to plan for the long term utilization of the factors of production. Also helps business to have a vision of long germ survival even in the face of competition.
In management must be able to different the cost benefit analysis between short term and long term survival.

2. Policies must have the overall view of the whole organization
This implies that policies must be made for all operational areas of the business, departments sections, production areas etc.

3. Policies must be intellectual in nature
In policy makers must utilize their conceptual skills when making policy decision

4. Policies must be entrepreneurial in nature
Must be based on opportunities, must be based on availability of the factors of production based on the benefits profits or gains to the start.

5. Policy decisions must have the best mix between the resources, environment and the opportunities to be exploited.
6. Business polices must ensure continuous scanning of both internal and external environment.
7. Business policies must be relatively fixed for a period of time between them and have an element of flexibility that allows them to incorporate any new opportunities arising from the environment.
8. Policies must incorporate all the stakeholders i.e. before policies are made the needs of all stakeholders must be identified, priorities established and as much as possible develop policies which stakeholders needs can be met. Stakeholders needs must be identified and met irrespective of whether they are contributing directly or indirectly to the performance of the organization.
9. Business policies must be demand driven, customer focused and market oriented i.e. polices must be sensitive to the ………and preferences of the customers.


Titany answered the question on November 29, 2021 at 12:51


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