jerry has just been appointed the director of Foodgo Pic, an international supermarket chain.

CIMA BA1 Question Answer

jerry has just been appointed the director of Foodgo Pic, an international supermarket chain. He outlines his main priorities to his staff, which are as follows:

1: To increase sales from £23bn per year to £30bn per year within the next five years.

2: To increase the number of items stocked in Foodgo stores to attract more customers.

3: To prioritise sales figures over profits, which have been stagnant for five years.

Which of the following best describes why shareholders may be unhappy with jerry's approach to the business?

A focus on sales rather than profits would mean shareholder dividends may decrease

An increase in the number of products in Foodgo stores will likely lead to increased footfall and hence increased sales and profits

The increase of sales from £23bn a year to £30bn a year is not ambitious enough and needs to be revised

An increase in sales will lead to a fall in the price of shares in Foodgo Pic, meaning shareholders will receive less in dividends

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Vendor: CIMA
Product: BA1
Update on: Jul 28, 2025
Questions: 468

Price: $52.5 ~~$149.99~~

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jerry has just been appointed the director of Foodgo Pic, an international supermarket chain.

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