Report on PEP

Report on PEP

Task 1

Describe and explain PEP’s business objectives, using its mission

statement and other information

Evaluate and explain how successful PEP appear to be in meeting each

of these objectives.

A mission statement is a written statement setting out the general

aims of a business. This is also known as a business objective.

PEP is a business, which has been set up to produce good quality

products and excellent customer service, as most businesses have aims

and objectives. Examples below show some basic aims and objectives a

business might have:

· Make a profit

· Provide goods and services for their customers

· Survive and expand the business

· Improve the quality of goods and services

· Compete against other businesses

· To be environmentally friendly

PEP is a family business with a good history that provides good

quality products to customers. PEP has issued a mission statement that

shows what the business is aiming for. These are listed below,

· Preserve a good family atmosphere in keeping with our great

tradition

· Achieve increasing profit to reward our shareholders and reinvest in

our business

· Produce the best electrical appliances to the UK and export markets

· Provide excellent service to our customers

PEP’s need to maintain a good family atmosphere to meet their

objectives because… if the business starts to disagree with their

employees then the employee might decide to leave which could cause a

disturbance in the business. If PEP begins to lose their employees,

the business could risk failure. To prevent this from happening, the

employees should communicate with each other either internally or

externally and be friendly. People can communicate with each other in

many ways e.g. internal or external meaning in or outside of the

business, up, down and across the business hierarchy and formal or

informal.

Motivating the workforce can be a massive advantage for PEP because

motivating by making them feel valued and part of a team means the

employees the workforce can work better which means improved quality

of product or service to customers and therefore improve results for

PEP.

All businesses need to make a profit or a surplus. Profit is the money

left over after all the expenses has been paid. Profit provides money

for further growth, investment and rewarding the owner(s) as well as

their shareholders.

PEP need to increase their sales and market shares in order to make a

profit. Shareholders are people who have a share in the business, they

have invested money into the business so if the business does not do

well the shareholders lose out. Therefore, it is vital for the

business to increase the profit.