Business and Business Environment

Business and business
environment
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Table of Contents
INTRODUCTION...........................................................................................................................4
P1 Explain different types and purposes of organisations; public, private and voluntary sectors
and legal structures. ....................................................................................................................4
P2 Explain the size and scope of a range of different types of organisations.............................5
P3 Explain the relationship between different organisational functions and how they link to
organisational objectives and structure. .....................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9
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INTRODUCTION
Business environment can be defined as a combination of internal and external factors
that effect functioning of an organisation. It is the most important aspect for running any
business (Boone and et.al.,2019). However, it keeps on changing according to the situations
arising and thus, it is dynamic in nature. This report is based on Tiger European which is a
coach and van hire business that is operate by a family having an experience of over 300 years in
the industry. The report covers various organisational types, along with their scopes and sizes
inherit by them. Furthermore, relations between different organisations is analysed to know how
they are linked with respective organisation.
P1 Explain different types and purposes of organisations; public, private and voluntary sectors
and legal structures.
Public sector company: Such companies are usually owned and operated by government of
respective country. For example, NHS is a public sector company that works for social welfare
of citizens.
 Purpose: The purpose of this company is to provide free healthcare services to the
citizens of the country.
 Supply of Services: It majorly supplies health regarding services to the individuals in
order to save their life.
Types of Public sector organisation
 Statutory Corporation: It is a corporate body created by state legislature or parliament
with the objective of defining powers needed to be followed by management for
accomplishing goals and objectives (Chan and Cui, 2016).
 Government Company: These companies are generally operated by government with
almost 51 percent or more paid up capital is held by government itself.
Legal structure: The legal structure of NHS is central government which aims at providing
healthcare services to needy patients.
Private sector company: These organisations are usually run and operated by private
individuals. The prior objective of this sector is to earn as much profit as possible. For example,
Tiger European is a private sector company which works for making profit.
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