Types of Companies in Business Management

This report examines the different types of companies and their workings in business management. It covers micro businesses, small businesses, medium size businesses, and large size businesses. It also discusses the impact of organizational structures and external factors on business performance.

BSc (Hons) Business Management with
Foundation
BMP3002
Business in Practice
Assessment 1
Types of Companies
Contents
Introduction 2
Section 1: Different types of companies and how they work
P
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Section 2: Different companies from sole traders to cooperatives
and Limited Liability Partnerships p
Section 3: Different businesses structures and internal factors
affecting business p
Conclusion p
Reference List p
Introduction
The aim of this report is to examine the business management prospects and the
different businesses that are involved in maintaining them (Khan and et.al, 2019).
The business management is said to be one of the most and best probable means of
dealing with the aspects that are related with the auspicious deals and that results in
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being the flourishable ideas. The entire report will put forth the aspects and the type
of businesses and the strategies.
Section 1: Different types of companies and how they work
Micro business:
Micro businesses are those that deal with small employee count with the aim of
reaching greater heights. The micro businesses usually are start-ups that serve the
purpose of fulfilling the growth prospect and are in a hustle of reaching the mark of
being the best probable ideas (Belás et.al, 2019). The micro business is like the one
that is just into the marketing race and it is all the components and the formulas that
are mostly applied on the core of the business to reach the greatest heights. For
example the company Colortronic is said to be operating in the united kingdom with
the probability of reaching the crest by not just maintain the eb and flow but is in a
hustle to improve and improvise the aspects of maintaining stability.
Small business:
The businesses that operate between not being the start-ups and not being the best
flourished aspect yet they try their means to satisfy the market with their mark
(Gaganis and et.al, 2019). Small companies are said to be the underlying aspects in
the industry with their mark of maintaining the accuracy and the precision of being
the best. They try all the possible outlets to grow either by maintaining partners or by
any sorts of interventions. The small businesses main focus is the market place and
the measures that will drive them towards maintaining the pace of being the most
authentic out of which the companies will probably try being in the competition
through observation and understanding (Cepel and et.al, 2019). For example, the
company Ceangail. Ceangil is said to be one of the small business that is started as
a petite conception with the scope of being the best by not just getting limited to a
sort. It is composed of very few employees that are mostly incorporated with the
different interfaces to serve the society with the idea of reaching their potential and
learning.
Medium size business:
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Medium businesses are those that are almost close to their means of being the large
companies. These companies are said to be flourished ones by means of employees
as well as the reputation is good yet there is not much thing as being high since
these companies are only permitted to one set of region and are still not known to
many (Veselovsky and et.al, 2017). All the interventions to keep them occupied is
said to be enhanced where there are multiple strategies of inheriting the standards of
taxation policies and the government intervention. For example, Argos company.
Argos company is said to be one of the feasible medium size company which is a
retailer and is known for its furniture sales. The company Argos is developed in all
the aspects and is in a hustle to expand its company and the number of employees
in the organization to an extent. The policies and the macro environmental analysis
of Argos contribute to the core of its development.
Large size business:
Large businesses are those that have attained total reputation and are fully
developed with all the growth prospects with the most out of which the companies
can contribute to large development aspects and can withstand competition. The
employees of the organizations that run with the large business tag are said to be
immense and there seems to be the most appropriate measures to make sure that
the company forecasts all its most desirable aspects. The legal aspects of the
company are said to be most liable means and the company is ready to be
expanded or would have already expanded globally. For example, Tesco which is
one of the largest retailers of the United Kingdom is said to be operating with a large
business tag where there are more number of employees that are working to meet
the customer expectations.
Section 2: Different companies from sole traders to
cooperatives and Limited Liability Partnerships
Sole trader business:
Sole trader business is the one that is withstanding the atrocities and is operating as
a single network by not getting into partnership with any other business. This kind of
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businesses often operate on a single person tag or over a company that is delivering
the subtle products that are stipulated by its own. Its team is its main constituency
and therefore there it operates as being the one in a lot. For example, of this kind of
business is the Marks and Spencers. Marks and spencers is known for its brand and
it started of being eth sole trader by its branding it has attained the name and fame
of being the best.
Partnership:
Partnership basis companies arise mainly when the organizations expand globally
where there are different traders that are working for the organization. These
companies aim for the growth within the boundaries that are stipulated to them since
the aspects of the company are said to be limited. For example the
Limited liability business:
This is the business in which the sum of money that is invested by the business has
got all the boundaries that are stipulated to the company. The management will have
to carry out the means of being the best by not wasting the resources and maintain
the accuracy of delivering sharp outputs. Liable businesses are said to be the down
trodden and are never in lease. They try all the possible means to attain the mark of
maintain their investment that is confined.
Public limited liability business:
This type of businesses are those that are mainly dependent on the public and the
shareholders. This type of companies aim at maintaining their finances by their
minimum focus on the internal components and the major components with their
shareholders (Hrechyshkina and Samakhavets, 2019). Public limited businesses are
hard to be tackled since there is no scope that the shareholders will carry forward the
policies of the mark of maintaining the finances of the company.
Cooperative:
In order to meet the common economic targets, different companies will gather upon
maintaining the pace. This type of cooperative work comes under this business.
Various companies go hand in hand in maintaining the pace of the economic values
and the growth prospects which when invested will result in maintaining the
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standards of the company. The cooperative kind of businesses are easy to be
operated but very tough to be gathered.
Section 3: Different business structures and external
factors affecting business
3.1 Identification of different organizational structures and
explaining how does organisational structure affect business
productivity
Functional structure: This particular organizational structure mainly focuses upon
the aspects of the policies that are related to workers in the organization. Every
organization is constituted by different employees and the management is
incorporated into supplying the work force with all the requirements of being eth best
team. Organizing the team in the company is said to main component of the
functional structure. Through the functional structure of the organization the business
will be immensely flourished even though there are loop holes that are there in the
productivity with the functions of the employees the company will therefore generate
ideas of reaching the crest with the broad base.
Divisional structure: the divisional structure organization is said to be one of those
organizations in which the company is divided into different divisions of management
and therefore the different divisions work upon their work separately. With this
particular aspect the company can aim for accountability, flexibility and easier
management. This type of organizational structure is mostly seen in the big
companies like Morrisons where there will be different units in the organization that
are governed by different strategies and authorities but finally every sector of the
organization work under the same roof.
3.2 How different external factors affect the performance of a
business – PESTLE Analysis
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The PESTLE analysis stands for political, economic, social, technological, legal and
environmental issues that a business will deals with. The PESTLE analysis with
regards to the company Tesco is as follows:
Political factors:
There said to be a competition that is faced by the company on a whole. There is a
trouble in the government that keeps changing every now and then upon the means
of intervention. During these probable times the company faces the trouble of
maintaining its consistency and the taxation will be merely high.
Economic factors:
Economic factors with regards to Tesco depends on the aspects that are related to
the means of including the rate of exchange and the foreign goods taxation. These
will impact the governing policy of Tesco upon maintaining the pace of maintaining
economy.
Social factors:
There seems to be an immense amount of customer satisfaction by using Tesco
services. People are adjourned by the overall shopping through the prospects which
include the employees to assist the customers. The Tesco’s minimal pricing strategy
when compared to other retailer services which lured many of the customers. With
this reason the society is more towards opting Tesco than going for some other local
services. Tesco is said to offer services even at the order which satisfied the
community.
Technological factors:
One of the greatest innovational foundation is said to be this century where the
technology has reached great heights by introducing innovations. There are some
unique ideologies that are being implemented by the company Tesco which
contributed towards the innovational aspect of the company. The concept green
foods that will provide fresh groceries is said to be one of the incredible innovations
with regards to the services.
Legal factors:
Though the company is satisfied with all other factors, the legal factors are said to be
abide by every industry for any service. Retailing industry will have to follow the laws
of paying fine where Tesco is being one of them (Akhmetshin and et.al, 2017). Tesco
is lying on such a platform where it is only being charged by the customary
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administrations. The only legal issue that the company faces will be the resources
that are offered to which are said to be low wages for employees.
Environmental factors:
A good amount of sustainability is said to be one of the major concerns with regards
to the company Tesco. The environment is said to be the greatest concern since that
will impact the market and its operations. Tesco will abide by all the environment
related laws that will leave a mark of being the best. In order to maintain the
sustainability strategy the company has launches many programmes to meet the
crowd and to spread awareness about the sustainable measures.
Conclusion
The entire report concludes upon highlighting the various businesses through which
one can easily understand the types of businesses that are there in the marketing.
The different traders are depicted in the report which helps the company to identify
the ones that are not known to many. Th strategies that are adopted are considered
to be most liable ones and the reader can be catchy in understanding the terms that
are sued and applied. The business performance is depicted in the report that will
help to analyze the prospects of the PESTEL framework and the organizational
structures that contribute to the company.
Reference List
Khan and et.al, 2019. Perception of the selected business environment aspects by
service firms. Journal of Tourism and Services. 10(19). pp.111-127.
Belás et.al, 2019. The impact of the public sector on the quality of the business
environment in the SME segment. Administratie si Management Public.
Gaganis and et.al, 2019. Culture, business environment and SMEs' profitability:
Evidence from European Countries. Economic Modelling. 78. pp.275-292.
Cepel and et.al, 2019. Selected economic factors of the quality of business
environment. Journal of International Studies.
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Veselovsky and et.al, 2017. Business environment in Russia and its stimulating
influence on innovation activity of domestic companies. Journal of Applied Economic
Sciences. 12(7).
Hrechyshkina and Samakhavets, 2019. Foreign trade of the Republic of Belarus in
the international business environment. Bulletin of Geography. Socio-economic
Series. 44(44). pp.47-55.
Akhmetshin and et.al, 2017. Analysis of innovation activity of enterprises in modern
business environment. J. Advanced Res. L. & Econ.. 8. p.2311.
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