Analyzing Business Models and Organizational Behavior

This assignment involves a comprehensive review of various business models, including those applicable to small and medium-sized enterprises (SMEs), public research institutions, and nonprofit organizations. It also covers the application of theoretical frameworks such as Porter's five competitive forces framework, ABCD analysis technique, Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis, and Importance-performance analysis based SWOT analysis. The assignment requires a critical evaluation of these concepts in different contexts, including finance, education, and healthcare.

BUSINESS AND BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
SECTION 1......................................................................................................................................3
1 Various types of organisation...................................................................................................3
2 Size And Reach Of Various Types Of Organisation...............................................................5
3 Organisation structures and functions......................................................................................8
SECTION 2....................................................................................................................................10
1 Pestle analysis of the retail sector company...........................................................................10
2 SWOT analysis and Porter's five forces of model.................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................12

INTRODUCTION
Business Environment is sum or series of all inner and external elements such as
personnels, clients needs and expectations, supply and demand, control, customers, providers,
proprietors, tasks through government, innovation in technology, social traits, market traits,
economic changes, and so forth. However, these components have an effect on the characteristic
of the employer and how an organisation works at once or not directly (Nowy and et.al.,2015).
Further, this report will hight about the profit organisation that is Arcadia, public organisation
that is NHS and NGOs i.e. Oxfam and along with it will outline their business purpose and
supply of goods and services. On the flip side, the project will outline about the micro, small,
medium and large business organisation. Moreover, the assignment will frame about the
organisation structure and how they interlink with the objectives. Eventually the report will
outline about the Pestle, Swot and porters five forces of the retail industry.
SECTION 1
1 Various types of organisation
Profit Organisation
A profitable company is one that generates extra money than it usually spends.
Moreover, profit corporations are enterprise that use a variety of strategies to make an earning.
Further, these corporations might also use exceptional managerial patterns and leadership
techniques to boom worker motivation and satisfaction, which has been shown to enhance
worker development. Moreover, calculating return on investment (ROI) will help these
corporations determine whether they are making a profit or not.
Arcadia is a profit earning organisation, which is an international retailing business
enterprise established in London, United Kingdom. However, it owns the excessive clothing
retailers like Burton, Dorothy Perkins, Evans, miss Selfridge, Wallis and the out of city chain
Outfit, which sells products from the other chains. Further, this organization is closely-held by
Taveta Investments, itself owned with the aid of Tina green, the spouse of Sir Philip green, who
is himself the chairman of the Arcadia group (Maier, Meyer and Steinbereithner,2016).
Business purpose: The purpose of Arcadia group is provide the right tremendous factor,
at the right time, and on the fair price so that it can reach to each client wants and needs inside

the worldwide markets for IT peripherals, aerospace additives and components, digital additives,
and wiring elements.
Supply Of Goods And Services: The Arcadia group supply various types of wearables,
accessories and shoes of high quality for all types of customers. At present, this company is
present in over 2500 outlets in UK's departmental stores and countries as well.
Public Organisation
A public corporation, as called as legitimate corporations whose primary reason is to
support public right rather than making income. However, these companies are based through a
group of individuals who come together to accomplish mutual objective i.e. to offer service to
participants and people. Further, the committees looks after its administration which consists of a
collection of people, selected via the contributors from among themselves. Thus, they may be
aimed toward supporting a social cause or helping a specific prospect (Jones and et.al., 2017).
The National health service (NHS) is the publicly funded country wide healthcare
corporation in England and one of the 4 national health services for every constitutive country of
the UK. However, it's miles the biggest company in healthcare sector operating all over the
global. Further, this company is basically funded through the government investment and
overseen via the branch of fitness and Social Care.
Business Purpose:The purpose of NHS is to deliver better fitness facilities to committees
through populace-extensive and focussed initiatives. Thus, they want to enhance health and
wellness and prevent infection, it’s all about looking to preserve people nicely and healthy.
Supply Of Goods And Services: NHS provide healthcare services and products to all the
residents of UK free or charge which are inclusive of emergency treatments, treatment of
diseases, eye check-ups, dental care etc.
Non-Governmental Organisation (NGOs)
A non-governmental agency (NGO) is a non-earnings, citizen-based organization that
functions independently of administration. Moreover, NGOs, are also called civil societies, are
formed on community, domestic and worldwide stages to serve particular social or political
functions, and are cooperative, rather than business in existence.
Oxfam is a worldwide motion of people, working collectively to stop the wrongful
conduct of poverty. However, they manage the inequality that keep the condition of people

terrible. Thus, as a network of mutualist agencies, they save, defend and make lives when
tragedies take place. Further, they assist humans by providing them better living condition for
their own self and for others. Moreover, they resolve the issues like land rights, weather alternate
and discrimination towards women.
Business Purpose: The purpose of Oxfam is to provide five widen rights to the people
that is the sustainable living, basic social facilities, protection, right to be heard and recognisance
(Dato-on,Keller, and Shaw,2015).
Supply Of Goods And Services: The Oxfam provide various types of services like
poverty elimination, disaster alleviation to the victims, protagonist services, further, this
company also sell fair-trade and donated products in their charity stores like donated books,
crafts products, toys, foods etc.
2 Size And Reach Of Various Types Of Organisation
Micro
Organisation
Small
Organisation
Medium
Organisation
Large
Organisation
Meaning A micro
organisation is a
small commercial
enterprise that
employs a small
variety of
personnel.
However, micro
enterprise will
commonly function
with less than 10
employees and is
commenced with a
small sum of
money. Further,
maximum micro
Small
corporations are
independently
owned
establishments
that require much
less capital and
much less
number of
employees and
much less or no
machines or
equipments.
However, these
corporations are
appropriate to
medium scale
enterprises means
the firms in which
the funding in
plant and
equipments is
between $0.04
million to $1.6
million in case of
a manufacturing
enterprise and
among $0.02
million to US $0.8
million in case of
a service industry.
Large scale
organisation have
greater
employees, in
greater complex
management
hierarchy than
inside the
medium-scale
groups. Further,
they have variety
of commercial
enterprise
operations day by
day. Further, such
companies are

organisation
concentrate on
imparting goods or
services for his or
her local areas.
For example, there
is a micro business
in UK names as
Manton cards who
provides best
deigns of greeting
and weeding cards
(Hillary, 2017).
operate on a
small scale to
serve a local
society and fulfil
their wants and
needs and to
offer profits to
the employer
proprietors.
For example, the
talent plus is a
small company in
UK which
operates to
provide advice to
the people
regarding how to
use their talent
and set their
career objectives.
Thus, it has
fewer number of
employees of
around 110.
For example,
there is medium
scale enterprise in
UK named as
Sykes holiday
cottages which
provide cottages
at rent for
travellers.
characterised by
using a massive
number of
customers,
business
interaction, and
tremendous
volume of
enterprise
conversation.
For example,
Marks and
Spencer is an
international
company
established in
London, operates
by selling clothes,
accessories, and
other home
products. Further,
it has around
80,000 employees
who are working
towards the goals
of the company.
Purpose The purpose of
Manton cards is to
provide best and
exclusive design
cards for all types
The purpose of
talent plus is to
provide advice
regarding the
pursuance of
The purpose of
Sykes holidays is
to deliver best and
comfortable
cottages to
The purpose of
Tesco is to
provide excellent
quality of
products and

of customers like
birthday cards,
greeting cards,
invitation cards,
weeding cards etc.
career by proper
usage of their
talent and skills.
customer to came
on a holiday for
exploring the
destinations.
services at lower
cost which could
be afforded by all
people.
Market Share It covers the market
share of around
3000 people.
This organisation
covers the market
share of around
2500 people.
The Sykes holiday
covers the market
share of around 2
lakhs people.
The Tesco is
leading company
with around 28%
of market share.
Profit Share The Manton cards
earn $10 million in
a year or can be
less.
The profit margin
of the talent plus
company is
around 15% of
total expenses
per year.
The profit margin
of the Sykes
holiday company
is around 20% in
6 months
(Massaro and
et.al., 2016).
The profit margin
of Tesco has been
increased from 57
bn to 63 bn that is
around 11 % of
total expenditure
per month.
Growth The Manton cards
have larger growth
opportunities as
they provide unique
designs for their
cards.
The growth
opportunities for
talent plus is
moderate as
today people
choose their
career by their
own self or with
the guidance of
their family and
friends.
The growth
opportunities for
this company is
higher as today
people are more
exploring and
searching for the
cottages to live
and spend their
vacations.
The growth
opportunities for
Tesco is lower as
the company is
facing
competition from
other companies
as well.
Sustainability The Manton cards
used the papers for
making the cards
The talent plus
participants in
the CSR
The Sykes
company provide
employment
The Tesco
undertake various
activities that

through natural
process and
recycling the papers
for using it back to
back. Thus,
reducing the
wastage of
resources.
practices by
benefiting the
society as whole.
opportunities to
large number of
people, thus
increasing the
employment of
the country.
contribute
towards the
society like
providing high
quality products,
natural products,
reducing carbon
foot prints etc.
(Wang, Liu and
Mingers, 2015).
3 Organisation structures and functions
Organisations are established by individuals according to available capital thus, size of a
business organisation differs with the amount of capital invested. Further, organisations are also
having different structures according to their size and scope of operations. Large, medium and
small are types of businesses according to the size. Structure of an organisation are also
determined in accordance with number of department and its functional areas.
Types of Organisation Structures
Hierarchical Organisational Structure- This organisational structure is used by large
business firms such as government and military. As this firms operate their business in many
departments and offers variety of services in many geographic areas this structure is most suited
for these organisations (Coccia, 2015). According to Hierarchical structure multiple layer of
management is developed so that each department can be controlled effectively and with this
efficiency and performance of each level of workers and employees gets maximised. It is a
vertical structure under which superior level control operations of its subordinates.
Matrix Organisational Structure- This structure is applied on both side vertical and
horizontal according to this structure companies are able to develop new products. Thus, this
structure is applicable on firms who are thinking develop a new product as this structure is
important in controlling functions of one department. This structure is used by large
multinational business firms.

Functional Organisational Structure- According to this structure groups are made with
in the organisation in accordance with different purpose and objectives. Like groups of
marketing department, sales department and production department. This structure is widely
used by small business ventures.
Divisional Organisational Structure- This structure is also applicable on companies
which are offering their products & services in many countries across the globe. Further, it also
applicable on firms which are providing wide range of facilities. Benefit of this structure is with
this structure an organisation can easily achieve its goals as all the divisions focuses on achieving
their objectives (Santos and Preta,2018).
Complexities of transnational, international and global organisation structures
Transnational Business- In Transnational business different operations are running in
different geographical areas. Thus, This business use central organisational structure so that it
can control all its operational departments in an efficient manner.
International Business-This business consists of importers and exporters all the
operations of these types of firms are controlled at their headquarter only.
Global Business- Companies which offer their products and services across the globe this
countries are also use central organisational structure.
Relation of organisational functions to mission and objectives
Functions of business organisations consists of operation, marketing, information
technology and human resources. All these functions helps companies in achieving long term
growth and success. Operational function helps businesses in enhancing their performance and
also enable companies in maximising quality of its products and services which in turn
maximises profitability.
Whereas, marketing function enables business in promoting products and services with
this companies brand image and customer base is increased. Further human resource function
support company in acquiring and retaining talented workforce with which firm is able to
produce more quality products. Thus all this function benefits organisation in achieving their
objectives and mission (Herbert,2016).

SECTION 2
1 Pestle analysis of the retail sector company
Pestle analysis is a framework that is used to analyse the effect of macro environmental
factors namely; political, economical, social, technological, legal and environmental factors on
the performance and operations of the Tesco.
Political: The brexit has impacted the income of the Tesco has due to brexit the food
prices has been increased which have resulted in the declining in the value of currency, thus due
to this reason the company have charge higher prices of its products which in turn reduces the
profitability of the company. On the other hand, the employee legislation policies proposed by
the government help the company to provide more and more employment opportunities to the
disabled person, thus, reducing the employee turnover of the company (Aithal,2016).
Economical: Due to the impact of brexit the inflation rate has been increased which in
turn reduces the capacity of customer spending which in turn declines the sales of the company
and leads to lower profits. On the other hand, the government of UK has reduces the interest rate
which in turn reduces the unemployment rate and increases the buying of the consumers which
in turn increases the sales of the company.
Social: It has been analysed in UK more and more of ageing people are increasing than
younger people who tends to eat less and not frequently visits the supermarket which in turn
reduces the sales of the Tesco and declines their profit margin. On the other hand, today people
prefer to make online payment and Tesco is the company to introduce the system of online
payment thus, due to this reason the customer base of the company has been increased.
Technological: Due to the technological advancement, Tesco has wide range of
opportunities to expand its business like providing online products, delivering the products to
customers in lesser time etc., which in turn increases the profits of the company. On the other
hand, due to the digitalized era the company have to improve its technology which in turn
increases the cost of the company (Bull and et.al., 2016).
Legal: There are various government policies which have impacted the working of the
company like the food retailing commission has proposed the policy that the company have to
provide notice to the government before changing the price of their product. On the other hand,
the rules and policies of government help the company to adopt fair practices which in turn
increases the customer base of the company.

Environmental: There are various environmental policies that impact the operations of
Tesco like using paper packaging or use recycled products which in turn increases the cost of the
company. On the other hand, if the company reduces the carbon foot prints then it will increase
their brand image and enhance the profits of the company.
2 SWOT analysis and Porter's five forces of model
SWOT analysis used to evaluate the strength, weaknesses, opportunities and threats of
the company through which the company can analyse the future opportunities available to them.
Strength: Tesco is considered as one among the biggest and maximum profitable grocery
store and retail company inside the global which many rivals of Tesco have tried to imitate.
Weaknesses: a number of Tesco's subsidiaries aren't running as well as they're greater
susceptible to external elements. for example, Tesco Finance profit degrees had been
unfavourably wedged in the course of the recent credit disaster and have not begun to rebound
from this worldwide event (Phadermrod,Crowder, and Wills,2019).
Opportunities: The nations in which Tesco is not performing well like china, India etc,
there will be possibilities for joint ventures wherein the local enterprise can assist with
marketplace studies and marketplace intelligence to improve overall performance in those
regions.
Treats: monetary recessions and credit score compression will hold to threaten market
share and profitability in regions round the arena, decreasing the quantity and size of purchases
of the Tesco products made with the aid of consumers.
Porter's Five Forces Of Model
Threat Of New Entrants: New entrants in Retail industry develops innovative products,
new methods of doing things which puts stress on Tesco for lower pricing strategy, decreasing
charges, and providing new price plan to the customers.
Bargaining Power Of Suppliers: Every other organizations within the Retail enterprise
buy their raw materials from several suppliers. However, providers in controlling position can
decrease the margins of the Tesco which they earn inside the market. Thus, the overall effect of
bargaining power is that it decreases the profit margin and revenue of the Tesco (Mathooko and
Ogutu, 2015).
Bargaining power of buyers: buyers changes their demands very ofently. Further, they
need to purchase the great services available via paying the minimal rate as viable. Therefore,

this positioned stress on Tesco to produce the products according the changing demands of the
customers.
Threats of substitute products and services: when a new service or product meets a
comparable customer needs in special approaches, the profitability of the Tesco suffers. Further,
the risk of a substitute service or product is excessive if it offers a fee proposition that is uniquely
distinctive from present offerings of the enterprise.
Rivalry among the existing competitors: If the competition among the existing
companies in an enterprise is intense then it's going to drive down charges and decrease the
overall profitability of the company (Lüttgens and Diener,2016). However, Tesco operates in a
completely aggressive Retail industry which in turn reduces the overall long time profitability of
the company.
CONCLUSION
This report briefly summarises about the profit, public and non-governmental
organisation and along with it have outlined about their purpose and the supply of goods and
services. Further, the report have highlighted about the micro, small, medium and large business
organisation. On the flip side the project have framed about the organisation structure and how
they link with the organisational objectives. Eventually, the report will comment on the impact of
Pestle, swot and porters five forces on the retail industry.
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