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Business and Business Environment Assignment - Sainsbury supermarket plc

   

Added on  2020-11-12

18 Pages5652 Words174 Views
Business and Business Environment

Table of ContentsINTRODUCTION...........................................................................................................................1TASK 1............................................................................................................................................1Explaining different types of organisation with their size, scope and legal structure withexample.......................................................................................................................................1TASK 2............................................................................................................................................4Analysis of organisational structure and interrelation between different functional areas oforganisation.................................................................................................................................4TASK 3............................................................................................................................................7PESTEL analysis of Sainsbury plc and its impact on business decision and on businessobjectives.....................................................................................................................................7TASK 4..........................................................................................................................................101. SWOT analysis of Sainsbury plc with its relationship with macro environmental factors. .102. Evaluating the impact of macro and micro factors on Sainsbury decision making and itsbusiness objectives....................................................................................................................13CONCLUSION..............................................................................................................................14REFERENCES..............................................................................................................................15

INTRODUCTIONBusiness environment can be defines as a person, institution and all those factors that areuncontrollable for a business entity and can affect the business operations and its growth can betermed as business environment. It can also be said that business environment is every thing thatare connected with the business from its customer to a country it is operating in. These factorstogether constitute the business environment for a business. As they all are outside the businessand thus it can affect the business operation which are controllable. Report will also lay emphasison Micro, macro, small and large enterprises. The present study is based on different aspects ofbusiness environment which will assist in analysing the impact of business environment factorson the growth and performance of a company. The study is based on Sainsbury supermarket plc,one of the leading supermarket chain of UK. The report will analyse the impact of Brexit on business environment which has affectedthe business operations of Sainsbury. Different impact from the consequences of Brexit will behighlighted in the report. Further, report will discuss the different type of organisation with theirpurpose, scope and legal structure. Report will provide a deep insight of operational structure ofSainsbury plc with the interrelationship of different functional areas. The report will than analysethe impact of macro and micro factors on decision making process of Sainsbury and theirinterrelationship in achieving business objectives.TASK 1Explaining different types of organisation with their size, scope and legal structure with example.There are various types of organisation that are varies as per there size, scope, legalstructure and business operations. Some of these organisation are as follows:Private company: Such organisation are a valuable part of the country's economic that isrun by individual or by a group of companies. These companies are in the operations of selling ofproducts and service (private sector , 2019). There solely purpose is to make profit and growth ofthere business organisation. The main source of capital of these organisations are through issuingtheir shares and debentures in financial and capital market or through taking long-term loansfrom banks. For example, Sainsbury supermarket plc based in UK is a privately heldorganisation.Advantage of Private company:1

It is legally registered companies which assist in making goodwill of company in market.The private sector companies will survive for a longer period, irrespective of its owner,dearth, retirement etc.Disadvantage of Private company:The private organisation are obliged to pay annual fee, which leads to decrease its overallprofit and is burden at the time of less revenue.The process of registering the company is quite lengthy and complex process. Whichrequires lots of paper work.Other than this, the process of shutting down or winding up a business is also verycomplex and very costly.Public company: This kind of organisation are owned by and governed by governmentor government institution. This type of organisation are operated in order to provide services tothe citizen, create employments opportunities and develop the infrastructure. Public organisationdo not operates in the motive of making profit (Fernando, 2011). They generate profit in order toefficiently run their business operations. The different sources of funding for public organisationare through taxes, fees, financial transfer etc. For example, Bank of England is the public sectorbank and the central bank of UK. Advantage of public sector:These type of organisation generally provides products or services as comparatively l;owprices.These organisations has great opportunity of expansion as there are lots of fundsavailable for themPublic sector organisation leads to protect the public interest and assist in enhancing theeconomy of a country.Disadvantage of public Sector:In Public sector organisation do not give importance to FDI.It is difficult for the company in order to take decisions, as it is quite lengthy process.2

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