Pursuing both sales maximisation and profit maximisation simultaneously can be challenging due to the inherent trade-offs between these objectives. Sales maximisation often involves lowering prices or increasing expenditure on marketing and promotions to boost sales volume, which can reduce profit margins. Conversely, profit maximisation might require pricing strategies or cost-cutting measures that could limit sales volume. A firm trying to achieve both objectives may face internal conflicts in strategy and resource allocation. Balancing these goals requires a nuanced understanding of the market, the firm's competitive position, and consumer behaviour. The firm must carefully analyse how pricing, product quality, marketing efforts, and cost management impact both sales and profits. Achieving a balance is possible but requires a strategic approach that considers short-term trade-offs against long-term benefits.

A firm might prioritise profit satisficing over maximisation for several reasons, including the desire to balance financial goals with ethical considerations, employee welfare, customer satisfaction, and community engagement. This approach aligns with a broader corporate responsibility perspective, where the firm seeks to make a positive social impact alongside achieving financial objectives. Profit satisficing also allows for more stable and predictable business operations, reducing the risks associated with aggressive profit-maximising strategies that may overlook long-term sustainability. However, the potential drawbacks of this approach include lower financial returns, which might not satisfy shareholders seeking maximum profitability. Additionally, in highly competitive markets, a focus on satisficing might lead to missed opportunities for growth and expansion, potentially leaving the firm vulnerable to more aggressively profit-driven competitors.

A firm may shift its focus from revenue maximisation to profit satisficing in scenarios where the pursuit of maximum revenue no longer aligns with its long-term strategic goals or stakeholder interests. This shift can occur when a firm has successfully established a strong market presence and now seeks to consolidate its position while maintaining a balance between profitability and other objectives. For instance, in mature markets or after achieving desired levels of market penetration, a firm might find that further revenue growth is less impactful compared to the benefits of stabilising profits and investing in quality improvements, employee welfare, customer satisfaction, or sustainable practices. Additionally, changes in external factors such as market saturation, increased competition, or shifts in consumer preferences might prompt a firm to focus on maintaining satisfactory profit levels while diversifying its goals to include social responsibility and ethical business practices. This shift represents a strategic realignment towards long-term stability and sustainable growth.

External market conditions play a significant role in a firm's decision to pursue revenue maximisation over profit maximisation. In highly competitive markets, where gaining and maintaining market share is challenging, firms may prioritise revenue maximisation to establish a strong market presence. This strategy is often seen in industries with high fixed costs or where the benefits of economies of scale are substantial. Additionally, in markets characterised by rapid technological change or shifting consumer preferences, revenue maximisation can provide the flexibility needed to invest in innovation and adapt to new trends. By focusing on maximising sales and overall revenue, firms can reinvest in research and development, marketing, and expansion strategies that help them stay relevant and competitive. However, this approach might lead to lower profit margins in the short term, so firms need to balance the long-term benefits of market dominance with the immediate financial implications.

In the business lifecycle, a firm's objectives are often closely tied to its stage of development. For start-ups and emerging businesses, survival is a paramount objective due to the initial challenges of establishing a market presence, securing funding, and managing cash flow. As a business matures and gains stability, it may shift towards sales maximisation to expand its market share and build brand recognition. This is particularly true in competitive markets where establishing a dominant position can be critical. In later stages, when a firm has a secure customer base and stable revenue streams, profit satisficing becomes more relevant. Here, the focus is on maintaining satisfactory profit levels while balancing other goals such as ethical practices, employee welfare, and customer satisfaction. This shift in objectives reflects the evolving priorities of a business as it moves from establishing its presence to consolidating and then maintaining its position in the market.