06 Outline one situation when a business might have survival as its main objective.

[Sir Afzal Shad]

06 Outline one situation when a business might have survival as its main objective. [3]

[Shaliza khawaja]

business might have survival as objective when they face intense competition or financial set back
for example cafe in a busy area might struggle to attract customers
in this case business would focus on covering cost or and fcus on survival, helping them stay open and slowly attract customers, creating a customer base which would eventually increase revenue which can be reinvested in the business to advertise more and spread more word about your business.

[shamaim shakeel]

Knowledge Point:
A business might have survival as its main objective when it is facing a difficult or risky situation that could lead to failure.

Application:
For example, a small restaurant that has just opened in a busy area with many competitors may focus on survival in its first year.

Analysis:
This helps the owner concentrate on keeping costs low and attracting enough customers to cover expenses. By doing this, the business can stay open, build experience, and later aim for growth once it becomes more stable.

[Subhan Zafar]

{KN}A business expanding into a new area or country may aim to survive the initial challenges before seeking growth.
{APP}For example, when KFC first expanded into Pakistan, it faced challenges such as adapting to local food preferences, establishing reliable suppliers, and competing with established local restaurants like FriChicks and OPTP. In this early stage, KFC’s main objective was survival to build a loyal customer base and manage its operating costs before focusing on expansion or profit growth.
{AN}By concentrating on survival first, the business could understand local consumer tastes, maintain steady sales, and strengthen its brand image. Once it became more established and financially stable, KFC was then able to pursue growth objectives, opening more branches across major Pakistani cities and expanding its market share.

[Fatima ibtehaj]

[KN]When a business is is newly established and trying to stay in the market.
[APP]A new takeaway restaurant might focus on survival during its first year because it needs to attract enough customers and cover its costs before it can think about making profits.
[AN]Focusing on survival helps the business control spending and build a strong consumer base which can increase its chances of sustaining for a long time in the market hence increasing chances for growth and possible chances for expansion.

[Abdullah Baig]

Kn
A business may focus on survival when facing difficult conditions or starting out.
App
For example, a new restaurant opening in a competitive area might aim just to cover its costs and build a stable customer base while keeping expenses low to avoid losses until it becomes established
An
Therefore, survival becomes the main objective when the business needs stability before pursuing profit or growth

[M huzaifa jillani]

(KN)
A business may focus on survival when it is facing difficult conditions such as low sales or high competition.
(APP)
For example a new cafe opening in a busy area of rawalpindi with many other cafes might aim to survive its first year before focusing on making profit.
(AN)
This is because the business needs time to build a customer base and manage its costs before it can aim for growth or higher profits.

[Arham Qadri]

[KN] When it is facing high competition or trying to stay in market.
[APP] For example opening a small cafe in LA (Loss Angelus) would not be successful because of the high competition by Star Bucks etc.
[AN] This is mainly because its needs time to build the consumer base. This helps the owner concentrate on keeping costs low.

[Wahaj Ashraf]

[KN] When it is facing high competition or trying to stay in market.
[APP] e.g. a new restaurant opening in a competitive area will aim for survival and will try to build a stable customer base while keeping expenses low to avoid losses until it becomes successful enough.
[AN] Thus in survival the business can save up finances which they can later use for the businesses e.g. marketing and advertising helping business improve their image and will help attract customers.

[areeshasaber]

[kn] A business could have survivals as its objective when its a new business or a start up.
[app] for instance, a new clothing manufacturer has survival as its objective because its new in the market.
[an] this can lead to the business keeping its costs low, attempt to attract customers and aim for growth.

[sikander ali]

[KN] when having a new competitor in the market.
[APP]for instance a book store having a new competitor selling cheaper and all kinds of books so the owner will chose survival as a objective to keep their business running.
[AN]thus this would help them reduce the other risk of losing loyal customers then giving discounts or using other pricing strategies also giving time to find a prominent solution for it.

[Shuraim Arif]

(KN) When the business enters a new market.
(APP) For example, a coffee shop has just started trading in country A and faces a lot of competition in the market. It would then most probably decide to set survival as its main objective to prevent the business from failing in its initial stages.
(AN) This means it would charge prices according to competitive pricing method so that the lower price attracts customers and it starts getting noticed. As the coffee shop gains popularity among customers and a loyal consumer base has been made, it would change this objective to something like increasing profitability as it feels it has become competitive enough to stay afloat in the market without having to focus on survival mostly.

[Abdullah Mohsin]

[KN] When the business is a startup.
[APP] For instance, a newly opened resturant would focus on surviving in a highly competitive market with many developed competitors as it would require time to catch the eyes of consumers.
[AN] This helps the business focus on one objective, survival, ensuring that every employee works together e.g cleaning the tables thoroughly after a customer leaves to improve brand image, helping the business survive its first year in the market.

[EmmanWaseem]

One cand be due to natural disaster
For example during covid they focused on the survival objective and keep their business going through making strategies
Business who survived they created good strategies and there businesses are still continuing after covid

[Aarib Saad]

(KN)When the business has newly entered into the market.
(APP)For instance, a new small restaurant opening up in a small town will have the goal of survival due to high competition in the restaurant business and lack of trust from customers.
(AN)This in turn will mean that business' will aim to only attract enough diners to breakeven, allowing it to cover kitchen costs, allowing it to at least survive until it reaches growth stage.