Discuss the goals of a firm and analyse the issues that impact on the ability of Australian firms to engage in external economies of scale.

Businesses and crockeds are a vital part of the economy. They are organisations that effectively combine the factors of employment to provide a good or a service. Firms are the major production units deep shine the Australian economy. Their size, doings and performance impact upon the overall racy capacity. Firms convey towards the egression of the economy with the production of goods with festering in sales, economic consumption and regional development. Growing businesses allow for hire more mess and in turn reduce the level of unemployment and allow for the growth of the economy to the production possibility switch off for the economy. With the growth of industries, firms for press continue to open throughout opposite areas of the country which will bring out improved alkali and services to the area. The victory of the firm depends upon its application of its goals or objectives. maximising profits, meeting per centumholder expectations, increasing securi ties industry share, maximising growth or satisficing behaviour are some of the goals or objectives that a firm whitethorn employ. The objective of maximising profits appears to apply to the mass of firms at bottom the economy. To maximise revenue whilst achieving minimum production costs results with upper limit profits. However, maximum profits are not the only goals of a firm to increase market share and to maximise growth may also be associated with the maximising of profits.

These profits apprise be used to expand upon the firm to grow. The firms market share can be increase with the profits being reinvested within diversifying the companys production. Shareholder expectatio! ns are also goals that a firm may be committed towards just now may be hostile towards the firms greater objectives. Shareholders are very much more interested in maximising short cut back returns upon their investments rather that the long term value of the company. Satisficing behaviour is a mix of all... If you want to get a full essay, coif it on our website: BestEssayCheap.com

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