P4 Positive and Negative Impact of macro environment on business operations

Business and business
environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................4
P1 Explain different types and purposes of organisation with their legal structures..................4
P2 Explain the size and scope of range of different types of organisations chosen for purpose.
.....................................................................................................................................................7
TASK 2..........................................................................................................................................10
P3 Explain relationship between different organisational functions and how they link to
organisational objectives and structures chosen for purpose....................................................10
TASK 3..........................................................................................................................................11
P4 Positive and Negative Impact of macro environment on business operations.....................11
TASK 4..........................................................................................................................................13
P5 Internal and external analysis of organisation and their strength and weaknesses..............13
P6 Interrelation of strength and weaknesses with external macro factors................................15
CONCLUSION..............................................................................................................................17
REFERENCES..............................................................................................................................19

INTRODUCTION
Business and business environment is one of the important factor that focus on internal
and external factors in works and proceedings of business. In internal factors consist of
employees, expectation of consumers and demand with supply and clients etc.. In it consist of
many factors such as individuals, entities and many more factors that helps in achieve
organisational goals and objectives that affects their business performance and their profitability
and growth to survive for long period of time. Business and their factors depends on above
mentioned factors that highly depend on organisational success. This report is based on
Sainsbury which is a largest chain of supermarket in UK with 16.9% share of super market. It is
one of the large retailer and financial service provider that suffer from the Brexit referendum
with currency exchange rate that fluctuate between Euro and sterling. It also suffers from high
inflation rate and increased cost that impacts on their economic stability. This report is based on
different types and function of organisation and their purposes with their size and scope.
Further it explains about relationship between different functions with their objectives and
structures. It also includes interrelationship between micro and macro factors and their role in
organisational growth.
TASK 1
P1 Explain different types and purposes of organisation with their legal structures.
In business environment, there are different types of organisation that help in achieve
goals and objectives for growth and enhancement. Following are the types, purposes and legal
structure of different organisations.
Public sector organisations:
Public sector is an type of organisation which is owned and operated by the government
and their main purpose is to provide services to their citizens. Similar to voluntary organisation,
they do not seek to generate profit (Avramenko, 2012). Funds are raised from different sources
such as taxes, fees and financial transfers from different levels. Different government agencies in
worldwide use different methods to get funding through public services. To grab large
opportunities sometimes public sector organisations engage with private organisations by
outsourcing public private partnership for citizens (Ballard and et.al., 2012). There are three
levels in government that are federal government, regional government and local or municipal

government. In that report the chosen organisation in public sector is NHS that is national health
services. NHS is a publicly funded healthcare system of England and one of the four national
health services in each continent country in UK (Bharadwaj and et. al., 2013.). It has largest
leader in health care industry. NHS established in 1948 and it currently deals with 64.6 million
people in all over UK and 54.3 million only. It take care of 1 million patients in every 36 hours.
It has large scale of employees about 1.5 million people and top of the five largest workforce.
Legal structure of NHS:
it obtained an structured legal structure that are as follows:
The secretary of state for health and social care:
In NHS the secretary has the responsibility to take care of department of health and care.
It is accountable for strategic leadership for public health and social care in England.
The department of health and social care:
The DHSC department is responsible for getting strategic leadership and health and
social care department that supported by 23 agencies and public bodies.
NHS England:
It is an independent main body of government. Its main work is to set priorities and
direction for improvement in health and care of people in England (Craig and Campbell, 2012).
It is an commissioner that take care about primary care services with help of Gps, pharmacists
and dentists and military healthcare services.
Purposes:
The primary objective of national health services is to take care about needs and wants of
consumers and provide appropriate environment to protect their self interest.
Legal structure of public sector:
There are majorly three main levels of government in which
Federal government:
A federal government is a system of government that bifurcate power into larger central
government and local with regional governments. Its power resides in constitution and
responsible for maintaining supremacy in states and possess various powers and authorities.
NHS work under central government and resides supremacy in it.
State government: