Business Environment of H&M group : Report
Added on -2020-07-23
| 19 pages| 6291 words| 33 views
Trusted by 2+ million users,
1000+ happy students everyday
Showing pages 1 to 4 of 19 pages
BUSINESS AND BUSINESSENVIRONMENT
Table of ContentsINTRODUCTION...........................................................................................................................1TASK 1............................................................................................................................................1P1. Evaluating different types and purposes of organisation.................................................1P2. Structure, Scope and Size of different organisations.......................................................3M1. Evaluating different structure, scope and size of different companies...........................4D1 Complexities of different business structures interrelated with other organisationalfunctions.................................................................................................................................5TASK 2............................................................................................................................................5P3 Relationship and impacts between different organisational structures.............................5M2 Advantages and disadvantages of interrelation between different organisation..............6P5 Analysis to identify the strength and weakness internally and externally........................9P6 Evaluating the relation of strength and weakness with macro environment...................11M3 Evaluating the impact of PESTEL ................................................................................12M4 Analysis the impact of SWOT on decision making.......................................................12D2 Evaluating the impact of micro and macro environment on business activities...........12CONCLUSION..............................................................................................................................13REFERENCES..............................................................................................................................13
INTRODUCTIONA business can be defined as an economic activity, which is related to production and exchangeof goods and services for acquiring wealth or earning economic returns (Cavusgil and et. al.,2014). Environment refers to the aggregative conditions, events and influences that affects orsurround a business. So it has a great impact on function, performance and decision making ofany business either positively or negatively that consists of all external and internal factor.Hennes & Mauritz AB (H&M) group is a Swedish company, it is one of the world's leadingfashion company which has expanded over in 60 countries. It has a multi-brand matrixorganisation with 8-well defined brands. This report is presenting a brief discussion on differenttypes, sizes and scopes of organisation, explaining the interrelationship of various functionswithin a company as well as how they link to its structure and also demonstrate the impact ofmacro environment on business operation using PESTEL model and SWOT analysis.TASK 1P1. Evaluating different types and purposes of organisationIn the present scenario, there are different types of business firms which are dealing withseveral products but their business environment is totally different from each other. Advantage ofthis purpose is to achieve high profit and give benefits to society (Chandrasekar, 2011). Thishelps their customers to identify the internal surrounding, management system and working styleof any company. Thus, analysing business environment is important to determine the currentposition and status of any organisation. There are three main types of organisations whichinclude public, private and voluntary with different business operations.TypesPurposeAimPrivate SectorMain focus of company is toearn high profit whether frominternal or external market inprivate sector. Their businessis operated on individual basisand don't take any help fromgovernment bodies. Theyprovide several opportunitiesThey are totally different frompublic sector firms. Theymainly focus on achieving highrevenues in order to make theircompany more established fora long term in the market. Thefirms under this include tradersand partnership business. They1
which are beneficial for thesociety so as to enhance theirskills and capabilities. As theyare not under any governmentbodies, they take betterdecisions which are effectivelyapplied by them in theircompany.are the sole enterprises.Partnership business mayinclude two individuals ormore. Example: H&M is a privatecompany and they are gaininghigher revenues and profitthrough their industry.Public SectorThese types of businessescome under governance body.Thus, they are being run by thegovernment. Services providedby them to their clients arevery effective and helpful forsociety. Many companies enterin this sector to achieve highermarket share and profit ratio.They work for the benefit ofsociety and are controlled bylegal authorities. They providecustomers with the best qualityproducts and services at a verycheap rates which areaffordable and any smallcompany can opt that.Customers can get propersatisfaction towards theirneeds and demands. Forexample: Nike is a publicsector and deals in apparel andshoes.Their aim is not to focus onhigher profit shares rather theygive good quality of servicesand products. For example:Army, government schools,hospitals, etc. They areproviding services not to gainprofit but to help the citizens. 2
Found this document preview useful?
You are reading a preview
Upload your documents to download
or
Become a Desklib member to get accesss
Paid Plans
Free Plan
Single Unlock
Monthly Plan
Yearly Plan