Different Types of Organisations with Their Purposes and Legal Structures

Business and the business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1 .......................................................................................................................................3
P1. Different types of organisations with their Purposes and Legal Structures..........................3
P2. Size and Scope of various types of Organisations................................................................5
TASK 2............................................................................................................................................7
P3. Interrelationship between different Organisational Functions and Their Linkage with
Organisational Objectives and Structure.....................................................................................7
TASK 3 ...........................................................................................................................................8
P4. Positive and Negative Impact of PESTLE Analysis on Macro Environment of Public and
Private Sector Organisation.........................................................................................................8
TASK 4............................................................................................................................................9
P5. SWOT Analysis of Both Public and Private Sector Organisation........................................9
P6 Explain how internal strength and weakness affect the external factors.............................10
REFRENCES ................................................................................................................................13

INTRODUCTION
Business Environment in this forces is included which are not controlled by an business
organization. Such factors includes investors, customers, suppliers, technologies, market
condition and various other things. It makes influences of performance within an organization.
All business organization weather public, private and voluntary sector of an organization needed
for making aware regarding changes that responds over dealing with such changes. Tesco PLC
is that kind of public limited organization having largest retail of grocery products ranging form
households items with non households products. In this report things that has to be covered is
based upon public, private and voluntary sector organization as per which size, scope, purpose
and legal structure and linkage within various departments of an organization or has been
enlighten. Interrelationship between external macro factors and strengths with weaknesses
TASK 1
P1. Different types of organisations with their Purposes and Legal Structures
Organization is considered to be that kind of human association that has been formed in
order to make attainment of some purpose. Aim of establishing the organization can be for profit
earning with social welfare. Different kinds of organization is explained as follows:
1. Public Sector Organizations : These kind of sectors is included within an
organization that is owned with finance on behalf of government with general public. The main
objective with public organization is to make sure that profit generation is there. It is focused
upon social welfare of public and society. This can be understood with the helps of an example
of BBC which is an public based government organization for broadcasting all over the world. Purpose – Purpose of public organization is there to provide services to general public by
using of resources in optimal manner (Rialp-Criado and Komochkova, 2017).
 Legal Structures – Legal structure within public organization include and it includes:
a. Central Government – These are there to collect funds in form of Income Tax from
public.
Local Government: They have been collecting funds in the form of community charges
that has been formally to be known as Council Tax.
c. State Government – These are being provided with specialized power on a
particular department.

2. Private Sector Organizations – Such organizations is being established and
controlled by private individuals. In this owner of private organization can either be single
individual or a group of individual. This can be understood with the help of example Tesco PLC
is a public limited company indulged in retailing businesses in various countries like UK, US and
many more. Purpose – Aim of private organizations is to make sure that profit has been providing
adequate competition to public sector of an organization that leads for improving
efficiency with effectiveness.
 Legal Structures – It includes :
a. Sole Proprietorship : Under these kinds of organizations only single employee exists
and is known as sole trader. There is necessity which makes obtaining the license from local
authority with various kins of businesses lie tax driving or trading.
b. Partnership : Partnership is that kind of association that has been formed with the
help of one individual. In this legal obligations in partnership is similar to sole trader. Partners
are bound for signing an partnership agreement for making legally bound by paying debts or
sharing profit in agreed manner (Löfsten, 2016).
c. Limited Company : This entity is required to be registered. In this limited
organization profit belonging to an organization not to shareholders. They get profit in the form
of dividend. Then corporation tax must be paid over profit earned last year.Tesco PLC is also
registered as a limited company.
3. Voluntary Organizations – These organizations includes group or individuals that has
been willingly enter in an agreement for forming a organization and making objectives to be
accomplished. Oxfam is an global charitable organisation structure who works towards reducing
the poverty in the nation. Purpose : Main aim of Voluntary organization for working with betterment of social
welfare. Social welfare includes development of individual with growth of society
overall.
 Legal Structure – The voluntary organization's legal structure involves :
a. Trust – Trust is illegal that means they enter into an agreement within the
organization. They are formed within their own name. This makes trustee to make personal
liability.