Presentation on theme: "Identify the various goals of producers"— Presentation transcript:
1 Identify the various goals of producers Producer GoalsIdentify the various goals of producers
2 Producer GoalsProducers have many different goals beyond what is obvious. It is important to differentiate between long term & short term goals. Goals can also come in conflict with each other as one may prevent another from being achieved.
3 Profit Maximisation This means to make the greatest amount of profit possible within the boundaries of goodbusiness practice.This does not mean...Ripping off your customersUnder paying & overworking your staff & other resourcesTreating your customers & your staff well promotes goodwill & generally results in good business
4 Think about it...If you were in business what would you want to get out of it? What would be your goals?The first goal for all producers is to be financially viable. This means to make enough money to stay in business/keep operating
5 Satisficing..This means making a satisfactory amount of profit. It could mean that the producer could have made more profit but choose to accept less in order to pursue other goals
6 Market Share Producers may also aim to increase their market share. This means that for a certain good or service theincrease their share of sales at the expense ofCompetitors.They could do this by offering:Low pricesValue for moneyA wider product rangeGood service
7 In the spirit of good will.... People are not always in it for the money...Producers may also wish to be seen ascommunity minded. Other producer goalsinclude:Sponsoring local schools, athletes, clubs etcProviding ScholarshipsSupporting community projects..
8 Non Profit Organisations The main goal for non profit organisations orvoluntary organisations is to provide a serviceto its members, groups and or the widerCommunityThere is still the need to cover thecosts of production
9 Essential Goods & Services When a good or service is essential it is provided by the government both central & local. It is generally not viable (“do able”) for a private sector producer to provide.
10 Government Goals What could be the goal of government when producing goods & services for the public?Keeping Voters Happy…..?Providing the best good and or services that thenation can afford?“Balancing the Books”