The objective of the independent business function stage is __ 1. Core competency 2. Maximization of profitability by more expenses 3. Cost reduction 4. Maximisation of profit by sales volume Cost reduction Core competency Maximization of profitability by more expenses Maximisation of profit by sales volume

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The objective of the independent business function stage is __ 1. Core competency 2. Maximization of profitability by more expenses 3. Cost reduction 4. Maximisation of profit by sales volume Cost reduction Core competency Maximization of profitability by more expenses Maximisation of profit by sales volume

Answer 1

Cost reduction

Answer 2

## Step 1: Understanding What an 'Independent Business Function Stage' Is The objective of the independent business function stage’ refers to the intention or desired result of a separate or distinct operational segment of a business as it transfers inputs into goods or services. This could involve a wide range of operations-from production to marketing. ## Step 2: Analyzing the Answer Options Let's dissect each alternative: ### **Option 1: Core competency** →A core competency refers to a high degree of proficiency in one's primary line of business or performance. It functions as a beneficial quality in an organization that may offer some competitive advantage. Still, it is not usually reckoned as a goal of a specific functional phase in a business – it's more of an assessment. ### **Option 2: Maximization of profitability by more expenses** →The prospect of maximizing profitability through enhancing costs is incoherent because generally, profitability is augmented by minimizing expenses rather than expanding them. Increased expenses without a proportional or larger increase in income will typically result in rearward profitability position, not maximization. ### **Option 3: Cost reduction** →Reducing cost relevant to different operational domains is typically observed as one objective of an independent business function stage. When operations are automated, streamlined, or revamped to improve efficiency, costs can be condensed which might lead to an augmented return on investment onto activities following the aforementioned stages. Indeed, controlling and cutting operational and production costs is an extensive aspect that companies focus on in order to improve the bottom line. ### **Option 4: Maximization of profit by sales volume** →Maximizing profit by enhancing sales volume can be the goal across business function sections such as marketing and sales, that look at expanding penetration into existing markets, looking for new markets, as well building relationships with current customers, all aimed towards stimulating sales and eventually magnifying revenue and profit. Nevertheless, each of these functions counts as an altogether diverse stage. Evaluating steps 2 and 3 collectively, we find that while options 3 and 4 might both be applicable, possibility 3, which centralizes cost reduction, fits more directly onto what’s referred in the question. The cogent argument is towards choosing option 3 as the most relevant response.

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