Report on Types of Organisation : Sole Trader, Partnership and Volutary Sectors

BUSINESS AND BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different types and purposes of organisations..................................................................1
P2 Size and scope of a range of different types of organisations...........................................3
TASK 2............................................................................................................................................5
P3 Relationship between organisational functions and how they link to organisational
objectives and structures.........................................................................................................5
TASK 3............................................................................................................................................8
P4 The positive and negative impacts that macro environment has upon business operations
with PESTEL..........................................................................................................................8
TASK 4............................................................................................................................................9
P5 Internal and external analysis of Barclays in order to identify their strengths and
weaknesses with SWOT analysis...........................................................................................9
P6 How strengths and weaknesses interrelate with external macro factors discussed above for
Barclays bank.......................................................................................................................11
Conclusion ....................................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Business environment plays an important role in business activities and operations. The
introduction of business and business environment includes the different types and purposes of
organisations such as public, private and voluntary sectors as well as legal structures plus how
they link to business objectives and goals with services offered by Barclays bank. The size,
scope, range, legal structures and objectives of these organisations is also explained. The
relationship between different organisational function and their link to organisational structure
and objectives is also included. Macro environment impact upon business operations and
activities in both positive and negative terms is also included with the help of PESTLE model.
Internal and external analysis of Barclays organisation is also evaluated with the help of SWOT
analysis to identify the strengths and weaknesses effectively. Finally, the interrelationship
between external macro environmental factors and business strengths and weaknesses is also
justified to make an effective decision-making process within the firm.
TASK 1
P1 Different types and purposes of organisations
Organisations have different types such as sole trader, partnership, private, public and
voluntary. The purposes are also different for each of them. Organisations are group of people
who works together to accomplish the business objectives and goals. Private sector firms work
for making special profit to develop and improve their own business effectively. Public sector
firms’ operations and management are owned by government. On the other hand, voluntary
sector organisations are known by non-profit which is managed by both government and
individual charities (Belás, and et.al., 2014).
Sole trader: This type of business is managed by only one person that he is only one to operate
the business activities and operations. Sole traders usually earn less profit from their business
and he is responsible for the profits and losses. He has sources of funding with his savings, bank
loans and overdrafts plus profits.
Partnership: Partnership businesses are run by two or more than two people with common
objectives and goals. People in partnership firms can share their skills, knowledge and workload.
It also helps business to raise its capital and make it wider in the market. The profits and losses
are divided among the partners and each of them try to expand business effectively.
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Private organisation: These are the firms in which a person works for providing goods and
services to customers at a profit. Private business is in form of small or medium size which is
often run by a small group of workers or a family. Private limited firms have limited liabilities
and those shares which represent share percentage of ownership. Ordinary people are not able to
purchase the shares of private companies through the open market. These businesses are
restricted by laws and company rules. These companies are also flexible in nature that enterprise
blends elements of corporate and partnership structures effectively. Private companies work in a
legal framework which governs what they can do or cannot do. Private sector employees are
most of the workforce and activities managed by the owner to earn more profit effectively. These
sectors are wider in free economy countries and with more government authorities, the business
makes up most of the economy of respected country effectively (Cohen and Kietzmann, 2014).
Public sectors: Public firms are the part of economy concerned which provide different
governmental products and services effectively. It is a non-profit firm which provide services to
public such as health care, education, public transit, water supply, telecommunications etc.
Services provided by public firms is beneficial for the society and not for individuals who uses
the services. Organisations and businesses are not a part of private sector, it is composed of the
business sectors, which initially works for earning profits for their enterprise. The organisations
of the public sector take forms including production decisions considered by government, direct
funding of administration through taxation etc. Public sector levels are organised at three levels
which is national, federal and regional. Thus, public organisations provide essential services and
products for the society effectively and efficiently.
Voluntary sectors: Voluntary sectors includes different organisations such as business
community, voluntary bodies and charity. These organisations are basically non-profit
enterprises and non-governmental organisations, which works for providing services and
products to those who are not able to catch them (Hardy, and et.al., 2013). The business structure
of Barclays depends on different factors such as corporate social responsibility, market share and
profit effectively. Voluntary associations can be unincorporated or incorporated. It is also
defined as third sector in order to private and public-sector organisations. Voluntary sectors help
in the growth of economy with a growing number of non-profitable firms. These sectors are
made up of many categories of activity which affect the society aspects. The trade unions, public
arts organisation, community interest, voluntary organisation, general charities, social enterprise,
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