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CS Professional · Strategic Management and Corporate Finance · Introduction to Strategic Management

Surya Foods Ltd states: 'We exist to provide affordable, hygienic packaged foods to Indian households through a efficient distribution network.' This statement mainly answers which question?

The statement is a mission statement, because it explains why the firm exists, what it offers and whom it serves. It does not describe a future aspiration, which is vision, nor a measurable annual target or acquisition decision, which belong to objectives and strategy.

  1. AWhat does the firm want to become in twenty years?
  2. BWhat is the firm's business, whom does it serve and why does it exist?Correct
  3. CWhat profit will the firm earn next year?
  4. DWhich competitor should the firm acquire?

Explanation

The statement defines the purpose, customers and offering of the business, which is the function of a mission statement. The question about the future state relates to vision. Profit for next year is a specific objective, and acquisition choice is a strategic decision, not mission.

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