Different types of organizations with their aim and lawful structures

BUSINESS AND BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK1.............................................................................................................................................3
P1 Different types of organizations with their aim and lawful structures..............................3
P2 Explaining size, scope, vision, mission and stakeholders of different organizations.......4
M1) Linkage of size, scope and Structure with enterprise offerings and objectives..............6
TASK2.............................................................................................................................................7
P3 Examining relationships between different functions and their link with organizational
structures and objectives.........................................................................................................7
M2) Merits and demerits of interrelations and effect over organizational structure..............8
TASK3.............................................................................................................................................9
P4 Positive and negative impact of macro environment on business processes....................9
M3 Application of PESTLE model......................................................................................10
M3 Application of PESTLE model......................................................................................11
TASK4...........................................................................................................................................11
P5 SWOT analysis................................................................................................................11
M4 Application of SWOT analysis......................................................................................12
P6 Determining relations of external macro environment with strengths and weaknesses. 13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Business is an economic system where products or services are exchanged in monetary
terms. Business Environment is combination of external or internal factors like management,
customers, suppliers, government, technology, trends, economic changes, etc. All these factor
affects functions and operations of organization, directly or indirectly (Corcoran and Gillanders,
2015). The present report is based on Unilever, a large scale UK based company. It is one of
largest company dealing in consumer goods in more than 190 countries. In this report various
types of organization will be studied with their purpose, size, scope and legal structure.
Interrelationships between organizational functions and other department and how they are
connected to objectives and structure. Later on, it will also examine positive and negative effects
of macro environment on business operations of respective company. Furthermore,
environmental analysis will be conducted to identify strengths and weakness of businesses. It
will also provide description about its interrelationship with the external macro factors.
TASK1
P1 Different types of organizations with their aim and lawful structures
Private Organization: These business enterprises are the one which works for earning
higher profits. Private company can be managed by individuals, partnership, associations and
agency. It includes all those firms that are operating for profit and self-sufficient without any
state interference. There are basically three main types of lawful structure in private form of
company which are described below:
Sole Proprietorship: It is wholly owned by an individual and single person who bears all
risk and enjoys profits. It requires low capital investment and small businesses like grocery
stores, salon, etc. falls under this category (vom Brocke, Zelt and Schmiedel, 2016).
Partnership: When two or more individual form organization to earn profits, such firms
are partnership firms. They divide profits, losses, roles and responsibilities equally among them.
Limited Liability: It includes big companies like Unilever which operates business as
separate entity from its owners. These companies work at international scale pays taxes under
firms name. Unilever comes under this legal structure which performs all of its activities under
the provision of company's act. Also, all of the operational activities of the company are
performed by its highly skilled and devoted 155000 number of employees.

Public Organization: It is mainly controlled and operated by governmental authority for
providing better products or service to society (Bah and Fang, 2015). British Broadcasting
Corporation is public sector broadcaster located in London and it is considered as largest
broadcasting station in world. Legal structure of public organization is described below:
(A) Local organisation: Local government monitors and control these types of
businesses.
(B) State organisation: In this, major control is under the hand of state government
which monitors business enterprises.
(C) Central organization: These types of business associations are managed, operated
and controlled by centralized government. BBC is operating its activities under central
government of United Kingdom. All of main activities that is functioning, operations and other
associated work of the entity are handled and managed by government of UK only. It can also be
said that firm has to operate under the jurisdiction of central government.
Voluntary Organization: Business enterprises belonging to the group of people, agency,
association or individual who works for societal development with nonprofit earning motive. It
works with help of volunteers who provides services to individuals, groups and nation. The
purpose of volunteer organizations to provide higher development to society (Tregear, 2015).
These volunteers enter into agreement to complete purpose like trade associations, environmental
groups, learned societies, etc. Oxfam is voluntary association that works globally to eradicate
poverty and injustice present in world. This provides individuals to know their rights, enhance
livelihoods and contribute in decisions which effects their lives. Legal structures of voluntary
business enterprises are of two types that are explained below:
 NPO: NPO basically stands for Non-profit organisations which mainly works for
serving society or individuals without working for the motive of earning profits.
 NGO: These types of enterprise carry out their operational activities without any kind
of interference of government. Oxfam is an example of NGO which is working for
the purpose of raising money for the third world countries in need of aid and funds. It
is run by the group of trustees who have developed Council of Trustees which
governs the Association of Oxfam.