Why Should Long-Run Objectives Take Precedence Over Short-Run Objectives

question 27

Multiple Choice

Why should long-run objectives take precedence over short-run objectives?

• A)The focus is placed on improving performance in the near term.
• B)Long-run objectives are necessary for achieving long-term performance and stand as a barrier to undue focus on short-term results.
• C)Long-run objectives will satisfy shareholder expectations for progress.
• D)Long-run objectives will force the company to deliver performance improvement in the current period.
• E)None of these are correct.

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Definitions:

Financial Success

The achievement of financial goals and the accumulation of wealth or resources to a level deemed successful by individual or societal standards.

Mission

The fundamental purpose of an organization, clearly stating its goals and guiding principles.

Socialization Process

The process by which individuals learn and adopt the norms, values, and behaviors appropriate to their society or culture.

Role Models

Individuals admired for their achievements and behaviors, serving as examples for others to emulate.