Interrelationship between Departments in Travelodge

Business and Business
Environment

Table of Contents
INTRODUCTION ..........................................................................................................................1
LO1..................................................................................................................................................1
P1.Organisation's various types and their purposes...............................................................1
P2. Scope and Size of different enterprises ...........................................................................2
LO2..................................................................................................................................................5
P3. Interrelationship between various departments of an enterprise......................................5
LO3. ................................................................................................................................................7
P4. Critical determination of external factors impact.............................................................7
LO4..................................................................................................................................................9
P5. Analysation of internal and external forces .....................................................................9
P6. Interrelation between internal and external forces.........................................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Business environment refers to the combination of external and internal forces that has
impact over business operations and functioning. These factors includes suppliers, customers,
social, political, legal, economical, and other factors that has influence over the organisational
processes. This report is based upon Travelodge which is UK based private limited company and
it operates in the hospitality and hotel industry (Beatty, Samuelson and Abril, 2018). This report
includes various types of organisation and the purposes towards which they operate their
business activities. It also covers size, scope, legal structure and organisational structure of
various enterprises. This report includes relationship formulated among various departments of
an enterprise and its relation to objectives and structure. Further, it covers positive and negative
impact of external environmental factors upon business operations by using PESTLE analysis.
At the end, it includes external and internal analysis of a particular enterprise for identifying
company's strengths and weakness by applying SWOT analysis.
LO1
P1.Organisation's various types and their purposes
Different enterprises are available in market and each of them has various purposes and
objectives towards which they operate their business activities. These enterprises are categorised
as private, public and voluntary organisations. All of them has different objectives and legal
structure which are elaborated as follows-
Private Organisation- It is defined as an association, corporation, individual, agency or
partnership that is not a public entity and carry on its operations for the purpose of achieving
profits. The example of private enterprise that can be taken is Travelodge, which is UK based
business enterprise which deals in hotel and hospitality services.
Purpose- The objective of private organisation is to achieve profits by providing goods and
services in return (Bocken and Antikainen, 2018).
Legal Structure- The legal structure of private enterprises are elaborated as follows-
Sole Proprietorship- In this, a person or individual operates all of its business activities
and is determined as a solo owner of this entity.
Partnership- This kind of organisation is an agreement and contract that exist between
more than one individual that work together achieving business objectives.
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Limited Liability Companies- Such business entity has various owners and the generated
profit is distributed among them.
Public Organisation- Such enterprises are operated and owned by government with an objective
for providing certain services to society. The example of one of the public enterprise is BBC
which is a broadcasting channel of UK.
Purpose- The main purpose of these organisations is not to make profit by providing customers
with high quality services (Briggs, Kalra and Agnihotri, 2018).
Legal Structure- Public organisations follows certain legal structure which is elaborated as
follows-
State Government- In this, all the processes and activities of a business are owned and
operated by state government.
Central Government- Here, all the activities are incorporated by central government of
UK.
Local Government- At this level, all the business activities are incorporated by
municipality's government structure or nation itself.
Voluntary Organisation- These enterprises operates its business operations and activities for a
specific social cause. These organisations are also known as non-profit companies as they do not
operate their activities for earning profits. The example of voluntary organisation can be taken as
Wellcome Trust which is an UK based organisation that work for improvement of human and
animal health.
Purpose- The objective of voluntary enterprise is to serve the society by providing them certain
benefits and perks.
Legal Structure- The legal structure of voluntary enterprise is elaborated as follows-
Charitable company limited by guarantee: It is company with limited liability which is
registered under the company house.
Trust: These are incorporated by trust deed and they do not have any statutory
framework.
P2. Scope and Size of different enterprises
Each organisation is different on various basis such as size, scope, legal structure, aims,
objectives, organisational structure, and so on (Brotspies and Weinstein, 2019). The description
of the following organisations with their different characteristics have been provided as under:
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