Business Environment and Marketing Strategies

The provided report concludes that business environment is a wide concept which includes both internal and external factors that impact organizational functions. The management of an organization has power to overcome negative impacts of internal factors, but not external ones. The assignment references various books and journals on the topic.

Business and Business
Environment

Table of content
Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Types and purposes of different types of organisations along with their legal structure..3
P2 Size and scope of different organisations..........................................................................5
P3 Interrelation between different organisational departments and their link to objectives. .6
TASK 2............................................................................................................................................7
Covered in PPT.......................................................................................................................7
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................18

INTRODUCTION
Business environment contains many factors which have direct and indirect impact upon
organisational activities. This will include the two different factors named as internal and
external. Internal factors are those which are present within an organisation and under the control
of management but having significant impact upon business activities (Business environment,
2018). External factors are those which are not under the control of management but having
positive and negative impact upon business activities. Aston Martin is auto-mobile
manufacturing organisation which provides their products and services in around 50 countries.
This organisation is founded in 1913 at London.
This report covers description of public, private and voluntary organisation, size and
scope of all these organisations, interrelation between different departments and PESTLE
analysis to analyse its positive and negative impact upon organisational activities. Also, SWOT
analysis and interrelation of external factor with strength and weaknesses of an organisation is
also covered in this report.
TASK 1
P1 Types and purposes of different types of organisations along with their legal structure
There is various organisation who are operating their businesses in the country. All of
them are working for their personal objectives such as social welfare, profit maximisation and
sales maximisation (Hilton and Platt, 2013). These organisations are public, private and
voluntary sector. The management of the organisation have to follow a particular legal structure
which has been set by the government in order to enhance their effectiveness. Purpose and types
of the organisations are explained below:
Private company: All the company who are running their business under private
supervision are the part of such type of organisations. Major objectives of such type of
companies is to earn and maximise the profits. The organisations are allowed to issue share to
the public. Legal authority of the country has less control over the functions of such
organisations.
Aston Martin is an auto mobile manufacturing company which is a private company and
running its business operating smoothly in the market. It was founded in year 1913 in London by
3

Lionel Martin and Robert Bamford. Currently 1850 employees are currently working in the
organisation.
Purpose of Aston Martin:
 To maximise the profits in upcoming years to strengthen the financial position in the
market.
 To set a good market image and promote the business all around the world.
 To be more popular as compare to the competitors.
Legal structure of the private company:
 Partnership: It can be defined as a firm which is formed by two or more persons with
mutual understanding. If there is any agreement between the partners than all the profits
and losses are distributed among all the partners.
 Sole proprietorship: it includes those business that are set or operated by an individual
person who is liable for all the operations and will receive all the profits and losses.
 Limited companies: It refers to the companies who have different members who have
limited liabilities within the company.
Public company:
these are the organisations that are run by the government of the nation in order to
achieve the goals of social welfare. Legal authority of the country has total control over the
business execution activities. All the responsibilities of police, educational and healthcare
institutions are considered as the tasks of these companies (Savrul, Incekara and Sener, 2014).
NHS is a public organisation who is working in the market for the purpose of providing
free medical services to the poor persons of the society. Health care services are provided all
around the world by the company.
Purpose of NHS:
 Provide medical services to the helpless individuals of the country.
 Supply such type of services to the people so that it may result in good health or poor
people.
Legal structure of public company:
 Central government: It is liable to control and monitors the activities of central
government departments.
4

 State government: It is responsible to assure proper functioning of the agencies that are
run by state government.
Local government: Main duty of them is to assure that business are run according to the
government policies (Boons and Lüdeke-Freund, 2013).
Voluntary company:
These organisations are concerned with the activities of social welfare and they do not
operate business for the purpose of profits maximisation.
Oxfam is a voluntary company who is providing free health care services to the persons
who are not able to afford the same. Various activities are performed by the company which
includes disaster relief, food to the needy persons etc.
Purpose of Oxfam:
 To reduce and remove poverty from the society so that all the poor persons can live a
happy life.
 Provide education to the individuals of society who are not able to afford the same.
P2 Size and scope of different organisations
Every organisation having their different size and scope. This will depend upon their
organisational activities and the sector in which they operate their business. The size and scope
of the different organisation can be understood from the points mentioned below:
Aston Martin
Size: Aston Martin is manufacturing organisation which operates their business in many
countries. This organisation is known for their luxury sports car and grand tourers. Aston Martin
is known for their quality cars in all over the world. They have more than 150 dealerships in
around 50 countries. The net amount of income which is earned by an organisation through the
operations in 2017 is around £ 79 million. The employees who are presently provide their
services within an organisation is around 1800 (Hamilton and Webster, 2015).
Scope: This can be defined by the activities in which an organisation indulges throughout
the year. Scope of Aston Martin is quite clear as they deal in manufacturing activities of auto-
mobile and also announced to be part of the different activities termed as speed boat, bicycles,
real estate and clothing.
NHS
5

Size: The number of employees working within an organisation is around 1.5 million in
NHS. There are different objectives of an organisation that served by them with the help of their
employees in all over the world. They ensure none of the individual of society become deprived
from the basic medical facilities.
Scope: NHS is public organisation which provides their services in all over the world.
The three-different type of services which are provided by NHS includes medical, dental and
optical care services. They ensure that best services are provide to individuals of the society to
secure their health (Wetherly, 2014).
Oxfam
Size: There are 20 charitable organisations who are running under Oxfam and working
for social welfare. It was founded in year 1920. Currently the organisation is providing services
all around the world and have large number of volunteers who are working for it.
Scope: Main aim of the organisation is to remove poverty from society so that everyone
can live a happy life. Now organisation is performing various activities such as disaster relief,
advocacy, policy research and pro migration.
P3 Interrelation between different organisational departments and their link to objectives
Aston Martin is a private company and running its business to earn maximum profits by
acquiring large market share. To attain the objectives, the organisation, need support of different
departs who are working under Aston Martin. All the departments have different goals and
objectives but they are totally related to each other. This relationship of them help the
organisation to reach to the predetermined goals and objectives so that long term sustainability
can be attained. The relation of the divisions is explained below:
Human resource with Marketing: Hr department of the organisation is responsible to hire
skilled and well-educated employees so that they may contribute toward the achievement of
organisational goals (Smith, 2016). This division of the company assures that hired staff
members have good ability to perform their duties and the tasks that are allotted to them. The
relation of HR department with marketing can be understood with the help of the point that aid in
providence of candidates which have adequate amount of knowledge about marketing
approaches and theories that are going to be applied practically by the company in order to
enhance profitability. This can help to attain the marketing and promotional objectives which is
to enhance sales.
6

 Finance with Operation department: Finance department of the company is concerned
with the fund allotment activity in which finance is allotted to the different departments
of the company. Allocation of adequate amount of fund provides aid to each and every
department of an organisation to optimally utilise their resources. Well-organized
allocation of monetary resources proved as an actual financial aid through which
manoeuvres department of Aston Martin able to present all the new structures in their
cars and optimal consumption of their specified possessions. This will result in the
achievement of goals and objectives and also help to satisfy the needs of customers.
 Research and Development department with Marketing: This department of the
company is concerned with the process of analysing market trends and changes so that
all the operations can be executed effectively. Research department of Aston Martin is
liable to analyse the marketing strategies of competitors so that the company can select
appropriate marketing strategies for itself to acquire more market share. This will help to
attain the marketing as well as organisational objectives.
TASK 2
Covered in PPT
7

8

9

10

11

12

13

14

15

CONCLUSION
From the above project report, it has been concluded that business environment is a wide
concept which includes both internal and external factors which impacts the organisational
functions. These factors are considered as political, social, technological etc. Management of an
16

organisation have a power to overcome from the negative impact of internal factors as they have
sufficient control over them.
17

REFERENCES
Books and Journals
Andersson, U., Forsgren, M. and Holm, U., 2015. Balancing subsidiary influence in the
federative MNC: A business network view. In Knowledge, Networks and Power (pp.
393-420). Palgrave Macmillan, London.
Boons, F. and Lüdeke-Freund, F., 2013. Business models for sustainable innovation: state-of-
the-art and steps towards a research agenda. Journal of Cleaner production. 45. pp.9-19.
Bryman, A. and Bell, E., 2015. Business research methods. Oxford University Press, USA.
Charter, M., 2017. Greener marketing: A responsible approach to business. Routledge.
Chen, H., Chiang, R. H. and Storey, V. C., 2012. Business intelligence and analytics: from big
data to big impact. MIS quarterly, pp.1165-1188.
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
Hamilton, L. and Webster, P., 2015. The international business environment. Oxford University
Press, USA.
Hilton, R. W. and Platt, D. E., 2013. Managerial accounting: creating value in a dynamic
business environment. McGraw-Hill Education.
Savrul, M., Incekara, A. and Sener, S., 2014. The potential of e-commerce for SMEs in a
globalizing business environment. Procedia-Social and Behavioural Sciences. 150.
pp.35-45.
Shenkar, O., Luo, Y. and Chi, T., 2014. International business. Routledge.
Smith, B., 2016. Nature and Geography: Tragic Voids within Marketing Textbooks and the
External Business Environment. In Global Perspectives on Contemporary Marketing
Education (pp. 47-64). IGI Global.
Wetherly, P., 2014. The business environment: themes and issues in a globalizing world. Oxford
University Press.
Online
Business environment. 2018. [Online]. Available through:
<http://www.economicsdiscussion.net/business-environment/business-environment-
types-external-micro-and-external-macro/10095>
18