Business Objectives (DP IB Business Management: HL)

Sustainable Horizons Ltd (SHL) specialises in eco-friendly packaging solutions, producing biodegradable materials for food and beverage companies. Its mission is “To redefine packaging for a sustainable future.” SHL has set a strategic objective to grow its market share by 20% within three years while maintaining a profit margin of 15%.

To achieve this, SHL emphasises corporate social responsibility (CSR), working with ethical suppliers and investing in R&D to create innovative, recyclable products. However, these initiatives increase production costs, limiting SHL’s ability to compete with low-cost rivals offering similar products. Additionally, SHL has faced criticism for inconsistent quality in its biodegradable packaging, with some products failing to decompose as promised.

To address these challenges, SHL plans to automate parts of its manufacturing process, aiming to reduce costs by 10% within 18 months. While automation may improve efficiency, it requires significant upfront investment and risks layoffs, potentially undermining SHL’s ethical commitments.

Sustainable Horizons Ltd (SHL) specialises in eco-friendly packaging solutions, producing biodegradable materials for food and beverage companies. Its mission is “To redefine packaging for a sustainable future.” SHL has set a strategic objective to grow its market share by 20% within three years while maintaining a profit margin of 15%.

To achieve this, SHL emphasises corporate social responsibility (CSR), working with ethical suppliers and investing in R&D to create innovative, recyclable products. However, these initiatives increase production costs, limiting SHL’s ability to compete with low-cost rivals offering similar products. Additionally, SHL has faced criticism for inconsistent quality in its biodegradable packaging, with some products failing to decompose as promised.

To address these challenges, SHL plans to automate parts of its manufacturing process, aiming to reduce costs by 10% within 18 months. While automation may improve efficiency, it requires significant upfront investment and risks layoffs, potentially undermining SHL’s ethical commitments.

FlexiFit Ltd is a UK-based fitness clothing company founded in 2015 with the mission “To make high-quality fitness accessible to everyone.” The company’s vision is to become a global leader in sustainable sportswear by 2030.

FlexiFit currently operates in a competitive market dominated by larger brands. Its strategic objectives include increasing revenue by 25% over the next three years and achieving 10% market share in the UK sportswear sector. To achieve this, FlexiFit plans to launch a new eco-friendly product line made from recycled materials, emphasising its commitment to corporate social responsibility (CSR).

However, the company faces several challenges. The production costs for the sustainable product line are higher than its current range, which may impact profitability. Additionally, FlexiFit is relatively unknown compared to established brands, making it difficult to capture market share. To address this, FlexiFit has set a SMART objective to “double social media engagement within 12 months” as part of its marketing strategy.

FlexiFit Ltd is a UK-based fitness clothing company founded in 2015 with the mission “To make high-quality fitness accessible to everyone.” The company’s vision is to become a global leader in sustainable sportswear by 2030.

FlexiFit currently operates in a competitive market dominated by larger brands. Its strategic objectives include increasing revenue by 25% over the next three years and achieving 10% market share in the UK sportswear sector. To achieve this, FlexiFit plans to launch a new eco-friendly product line made from recycled materials, emphasising its commitment to corporate social responsibility (CSR).

However, the company faces several challenges. The production costs for the sustainable product line are higher than its current range, which may impact profitability. Additionally, FlexiFit is relatively unknown compared to established brands, making it difficult to capture market share. To address this, FlexiFit has set a SMART objective to “double social media engagement within 12 months” as part of its marketing strategy.

CleanCo Ltd is a start-up producing innovative water purification devices aimed at low-income communities in developing countries. Its mission is “To ensure access to clean drinking water for all.” The company’s strategic objective is to supply 500,000 devices annually within five years.

To achieve this, CleanCo focuses on ethical supply chain management and Corporate Social Responsibility (CSR), including partnerships with NGOs to distribute its products. However, CleanCo faces significant hurdles. Many of its customers cannot afford the devices without subsidies, and the company relies heavily on grants to keep prices affordable. Additionally, CleanCo has received criticism for delays in delivering devices due to supply chain inefficiencies.

To address these issues, CleanCo has set a SMART tactical objective to “reduce supply chain delays by 50% within 12 months” through improved logistics and supplier partnerships.

CleanCo Ltd is a start-up producing innovative water purification devices aimed at low-income communities in developing countries. Its mission is “To ensure access to clean drinking water for all.” The company’s strategic objective is to supply 500,000 devices annually within five years.

To achieve this, CleanCo focuses on ethical supply chain management and corporate social responsibility (CSR), including partnerships with NGOs to distribute its products. However, CleanCo faces significant hurdles. Many of its customers cannot afford the devices without subsidies, and the company relies heavily on grants to keep prices affordable. Additionally, CleanCo has received criticism for delays in delivering devices due to supply chain inefficiencies.

To address these issues, CleanCo has set a SMART tactical objective to “reduce supply chain delays by 50% within 12 months” through improved logistics and supplier partnerships.