Explain ‘objective’ and ‘strategy’ as types of plan.

(i) Objectives: Objectives are those end points for the attainment of which all the activities are undertaken. It is a special target to be achieved by an organisation, e.g., it can be the objective of a school to impart education in the subject of commerce to 100 students during an year.

(ii) Strategy: Strategies refer to those plans which are prepared in view of the move of the competitors and whose objective is to make possible the optimum utilisation of resources. For example, if a rival organisation in an effort to increase the sale of its product is going to reduce the price of its product or is thinking about new methods of advertisement or is going to introduce some gift scheme to attract the consumers, we shall have to plan our strategy accordingly in the light of all these things.