Business and Business Environment

BUSINESS AND BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
1 – Types, purpose and legal structure of organisation....................................................................
2 Scope and size of different organisation ......................................................................................
3. The interrelationship between different marketing function of organization..............................
4. Positive and negative impact of macro environment within business operation.........................
5 Internal and external analysis of Sainsbury and NHS to identify strengths and weaknesses.......
6 Strengths and weaknesses interrelate with external macro factors.............................................
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business environment is the sum of collection of all internal and external factors such s
employees, customer needs and expectations, demand and supply, clients , suppliers and various
other. Business if the group of people who are being gathered together to achieve common goals.
Business environment consists of all the factors that affect the business operation. Sainsbury is
the second largest chain of supermarket in United Kingdom that provides wide variety of
products and services in the range of clothing, food, electricals, home- wares, beauty and various
others. Present report will assess to explanation of different types,size and scope of organisation,
will demonstrate interrelationship with various functions within the company such as marketing,
human resource, finance and various others and will account to use various contemporary
examples to demonstrate negative and positive influence or can be in effects of macro
environmental factors and lastly will brief into strength and weakness of a specific business and
there interrelationship with external factors
1 – Types, purpose and legal structure of organisation
There are variety of types of organisation which have there own purpose and legal
structure industry in which they operate. The three different type are public, private and
voluntary organisations
Public organisation – this are defined as the organisations which are being operated and owned
by the government of that country that exists to provide products and services to the citizens of
the company, it is publicly and government owned enterprises that deliver goods and services to
the public.
The purpose of public organisation is to helps the government of the country to exercise
social control on industry and trade for equitable distribution of services and products. The main
purpose of this organisation is to provide services to public rather than accounting to make
profits out of them (Sani, 2018).
As public sector refers to the companies which are being accountable with central and
local government, this enterprises are being funded by the government directly . This are being
run by certain board of directors and accounts to annual general meeting and are being listed on
stock exchange of the country where it sells its shares. Example of public sector undertaking is
National health services that provide health care services to people of UK.

Private sector – This are the companies whose shares are not offered top public and which are
being subject to various legal requirements. This are the companies held under private ownership
where business accounts to separate legal entity from that of its owners
purpose of this companies is to maximise profits for its shareholder and to be the leading
player in there line of business by capturing huge customer base. This are being focused around
setting right kind of structure that helps in meeting with there interest of business.
Legal structure of private company that its shares can be sold to public, each share
entitles owner for one vote in time of company annual general meeting and share in profits at
time of end of financial year which is being know as dividend. Company is being run by various
director, and a chairman is being appointed to run the business where members liability are
limited to number of shares they account held to (Ihm, 2019). Example of private sector In UK
is Sainsbury which is giant player in retail sector.
Voluntary sector- this are the companies which are collection of individual who work together
to account to various activities for the benefits of the company.
Purpose of this companies to identify with the needs of groups, individuals and accounts
to initiating programmes in collaboration of government of that country. The purpose is to give
concrete expression to fundamental rights to group of members and individuals.
This companies exist as people of community perceive a need and account to work
together top bring a change (Ingram, 2016) This are being managed by various executive
committee, management committee and various board of directors that exercise control in the
same. Example of voluntary organisation in UK is Red cross society which encourages to
humanitarian activities and reduce human sufferings.
2 Scope and size of different organisation
Public sector
NHS -These types of micro enterprise have low employee according to their business
development.
Mission- To ensure affordable and accessible quality healthcare by compassionate medical
professionals to all
Vision- To be the centre of excellence for medical research and academics and to cultivate an
environment of trust, mutual respect, honesty, ethics and equality