Business and the business environment introduction Introduction

BUSINESS AND THE
BUSINESS ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Different types and purposes of organisations; public, private and voluntary sectors and
legal structures............................................................................................................................3
P2 Explain size and scope of a range of different types of organisations...................................6
TASK 2............................................................................................................................................7
P3 Explain relationship between different organisational functions and how they link to
organisational objectives and structure.......................................................................................7
TASK 3............................................................................................................................................8
P4 Identify positive and negative impacts macro environment has upon business operations...8
TASK 4..........................................................................................................................................10
P5 Conduct internal and external analysis to identify strengths and weaknesses.....................10
P6 Explain how strengths and weaknesses interrelate with external macro factors.................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business is an activity where products and services are exchanged from one to another
for seek of money. All the business and their action took place in competitive market. In order to
survive, sustain and grow in market rules and regulation should be followed. Similarly, business
environment is combination of internal and external factors which can influence organisation or
business. The environment plays vital role in running of enterprise successfully to gain
competitive edge (Avramenko, 2012). The present report is based on TESCO which was founded
in 1919 at England, United Kingdom. It is retail business which deals in various products such as
hypermarket, supermarket, convenience shop and superstore. Here all three public, private and
voluntary organisation has been selected such as NHS, TESCO and Oxfam and their scope,
purpose, structure, size has been discussed respectively. It also highlight about different
organisational functions, external, internal and macro environment along with positive and
negative aspects.
TASK 1
P1 Different types and purposes of organisations; public, private and voluntary sectors and legal
structures
Organization is a group of people who are engaged in a particular purpose in a business
or government department. There could be different motives of different organizational types
such as public, private and volunteer. All of these organizations have different task and different
motives. As per scenario given in this questions three organisation has been selected in terms of
public, private and voluntary. All these has different vision, mission, purpose, types, structure
and others which are explained below:
Public Organisation
These organizations are managed and operated by government and have main purpose of
providing services to the citizens of country. These organizations does not focus on earning
profit but wants to do better for the society. The public sector organisation used here is National
Health Services.
National Health Service (NHS) was established in 1948 at England. This was mainly
formed to provide health care service to individuals. The main motto was to provide service
rather than earning profits (Ballard and et. al., 2012). It is also considered as largest single payer

healthcare group in world. This deals in providing emergency and infectious diseases treatment
to everyone at free cost of cost including visitors. The types, purpose and legal structure of NHS
are as follows:
Types- There are three types of public organisation such as:
 Public Corporation- This is created through special act of parliament which has separate
scope, power, legal status and guided by motive of service. This is managed and financed
by Board of Directors an d government and accountable to parliament.
 Government Company- The organisation created under company act which has separate
status. The ownership of government ranges from 51% to 100% and follow regulations
and rules.
 Departmental Undertaking- This type of organisation is developed by government and
has no legal separate status. This follows rules and regulation of government. All the
activities are based on business oriented having service motive (Charter, 2017).
Purpose- The purpose is to work together for achievement of healthiest life for every
individual. It also includes:
 Vision- To deliver better care, value and health to people.
 Mission- To provide quality care to each and every person per day.
 Objectives- The objective is to keep individual healthy and reducing inequalities. They
provide open access regarding information of performance, services and treatment.
Legal Structure- After analysing all types of public organisation, it can be concluded
that NHS follow public corporation legal structure as it is created through special act of
parliament and works with motive of providing service.
Private Organisation
These are the organizations which are operated and maintained by the an individual and
group of individuals. These organizations have the main purpose of earning profit as much as
possible. Although, they have operate their activities within the regulations set by the
government but still their main focus is on earning the profit. The private sector organization
taken here is Tesco.
TESCO is multinational British general and groceries retailer which was founded in 1919
at England, United Kingdom. It is considered as third and ninth largest retailer in world in terms
of gross revenues and revenue (Belás and et. al ., 2015). It is serving its goods and service