CIPS Exam L3M1 Topic 3 Question 25 Discussion

Actual exam question for CIPS's L3M1 exam

Question #: 25
Topic #: 3

[All L3M1 Questions]

Which of the following might be objectives of private sector organisations? Select all that apply.

ATo maximise taxation

BTo minimise profit

CShareholder value

DMarket share

Show Suggested Answer

Suggested Answer: C, D

To gain market share and to create shareholder value (increase the value of shares) are common aims of private sector organisations.

The other two answers are the antithesis of what firms usually want.

by Ona at Oct 21, 2024, 08:49 AM

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Tennie

2 days ago

This is easy. C and D are the only correct answers here. Unless we're talking about some sort of bizarro world where businesses actually want to pay more taxes and make less money. In that case, sign me up!

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Sunny

5 days ago

C and D, for sure. I mean, who doesn't want to make their shareholders happy and dominate the market? Maximizing taxation and minimizing profit? That sounds like a recipe for disaster.

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Yen

14 days ago

I think C is correct because private sector organisations aim to create value for their shareholders. D is also important to increase their presence in the market.

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Bernardo

21 days ago

C and D

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Marion

23 days ago

Haha, minimizing profit? Yeah, right. I'm pretty sure the only objective for private sector organizations is to make as much money as humanly possible. Anything else is just crazy talk.

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Jennie

3 days ago

User 2: Yeah, shareholder value and market share are key objectives for private sector organizations.

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Precious

9 days ago

User 1: Haha, I agree. Making money is definitely the main goal.

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Andrew

24 days ago

Shareholder value and market share? That's a no-brainer. I can't believe they'd even consider maximizing taxation or minimizing profit. What kind of business would do that?

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