Exploring the Types and Purposes of Business Organizations

Business and Business Environment
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Table of Content
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Explain various kinds and purposes of organisation: private, public & voluntary sectors and
legal structures.............................................................................................................................3
P2 Define the size & scope of various kind of business organisation.........................................5
TASK 3............................................................................................................................................7
P3 Explain the relationship among various organisational functions and how they link to
objective and structure of organisation........................................................................................7
TASK 3............................................................................................................................................8
P4 Favourable and Adverse impacts of external environment of organisation of
Intercontinental hotels group.......................................................................................................8
TASK 4..........................................................................................................................................10
P5 Internal and External Analysis of Intercontinental hotels group..........................................10
P6 Interrelation of Strengths and Weaknesses with Macro Environmental Factors................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
Books and Journals....................................................................................................................13
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INTRODUCTION
Business environment is considered as a process in which accretion of entire persons, firms
& other element which imposes direct impact on profit as well as growth of business
organisation. This permits the company to assess the different strategies and tactics which is
followed by its competitor firm. The business environment is dynamic, so it is necessary to build
strategy by considering the environment at workplace. This report is undertaken on
Intercontinental hotels group which is located in Denham, Buckinghamshire, England, UK. This
hotel was founded by Keith Barr in the year of 2003. This assignment discusses different kind &
purpose of company, its dimension as well as scope. In addition to this, the interrelationship
among various organisational elements is also considered. At last, the SWOT & PESTLE
analysis is a framework which is used to assess internal capability as well as external
environment which imposes direct impact on success and growth of business organisation
(Biloslavo, Bagnoli and Edgar, 2018).
TASK 1
P1 Explain various kinds and purposes of organisation: private, public & voluntary sectors and
legal structures.
There are different types of business organisation in the market which are designed with
numerous goal and objectives. There are three types of entity that included public, private as well
as voluntary organisation which is going to be mentioned below:
Private Organisation: It signifies those business firms which is possessed as well as organized
entirely by an individual person in order to gain more and more profit. This kind of company is
not enclosed under any community form. In this assignment the Intercontinental hotel groups is
chosen. The primal motive of business firm is to earn revenue as well as profit. Furthermore, in
reference of business environment, there is kind of firm which possess the private ownership.
The manager of this hotel is to offer high quality services to its customer (Ding, Qu and Wu,
2016).
Legal Structure of Private Organisation:
Sole Trader: In this kind of organisation, the single person is only proprietor of business
firm as well as liable for whole income and expenses which occur at marketplace. The major
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advantage of this company is to take decision quickly as proprietor does not require preceding
the consent of any other individual person at workplace.
Partnership: It signifies that there are more than two people who come together with the
aim to gain profit within business organisation. Therefore, the entire profit is separated into the
partner of company. And also, it is necessary to take decision through the permission of all
partners of firm which will be advantageous for the success and growth of company in future
period of time (Whyte and Lohmann, 2016).
Companies: The total number of person within private establishment is seven as well as
also could be of infinite numbers. Herein, the business firm have an unlimited liability. Due to
larger number of person, there is a difficulty arises in taking appropriate decision in timely
manner. In addition to this, the person comes in & out within organisation does not impose direct
impact on success of business firm (Falkner, 2017).
Public Sector Organisation: This kind of firm is possessed and organized by
government agencies. Herein, the primal aim of business is not to gain profit but is to offer
superior quality services to its client. The example it can be taken is British Broadcasting
Company is to provide high quality services to its customer in order to increase the living
standard. The primal aim of public organisation is to better serve society. In context of public
organisation, the legal structure which is going to mentioned below:
State Government: This is the kind of business organisation which is possessed as well
as organised by state government.
Central Government: This is the type of business firm that is organised and possessed
by central government.
Local Authorities: The following kind of entity are monitored and controlled by local
government.
Voluntary Organisations: This kind of business organisation is to better serve society as
well as not related with overall profit. In other words, voluntary organisation is also known as
Non-profit Organisation. The government authority offers fund to satisfy the working need and
requirement of business organisation (Gauthier and Gilomen, 2016). It also helps in performing
different activities and operations in better way. It can be taken as an example of well come trust
which is originated by Henry well come. The primal aim of this company was biomedical
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