Business and the Business Environment

Business and Business
Environment

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Explain different types and purposes of organisations; public, private and voluntary sectors
and legal structures.................................................................................................................3
P2 Explain the size and scope of a range of different types of organisations........................4
TASK2 ............................................................................................................................................4
P3 Interrelation in between the function of the northern trust investment bank....................4
TASK3 ............................................................................................................................................6
P4 Identify the positive and negative impacts the macro environment has upon business
operations, supported by specific examples...........................................................................6
TASK4 ............................................................................................................................................8
P5 Conduct internal and external analysis of specific organisations to identify strengths and
weaknesses.............................................................................................................................8
P6 Explain how strengths and weaknesses interrelate with external macro factors...............9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
Books and journals...............................................................................................................11

INTRODUCTION
Business is the process of producing, buying and selling of the product for the
achievement of profit and satisfy the needs of customers in exchange of money. So the business
environment is comprise the macro and micro environmental factors which is also known as
internal and external factors of the organisation (Aithal, 2017). Micro factor is basically internal
elements of the organisation which highly influence the goals and achievement of the company
and this factors is can be change by the management. But external factors can not change by the
organisation so they have to plane according to macro elements for success of the company. In
this report types of the organisation along with its purposes is evaluate. Scope with the different
range of organisation is consider in context to the selected organisation. Here the relationship of
other organisation function with the selected company is analyse along with the identification
and study of the macro and micro factors.
TASK 1
P1 Explain different types and purposes of organisations; public, private and voluntary sectors
and legal structures.
Organisations are classified into various categories to earn profits and revenues and social
objectives. There are various organisations divided in various sectors. These are:
Private sectors: private sector organisations are those who are independent and started
with any form. The major objective of these organisations to focus on their mission and vision.
For example Tesco is one of the private company (Bah and Fang, 2015). As company is the
largest retailer in all over the world. The legal structure of company consist of ten board
members and have department of corporate governance that deals with shareholders.
Public sectors: Public sectors organisations are those that are tracked on stock exchange.
The goal of these organisations is to maximise the welfare of society and works towards the
achievement of their objectives. For example Northern Trust Corporation bank is the financial
service company of Chicago. It is one of the largest bank in the US. The [purpose of this bank is
to provide corporate and institutional services and wealth management. This bank has ranked
486th on the Fortune 1000. this bank provides various financial services to customers and there
clients which helps them to earns profits through investments (Beynon-Davies, 2020).

Voluntary sectors: These are the organisations that are controlled and guided by the
government of country as there activities are performed by volunteers to work on the social
improvements of society. For example American red cross is the organisation that is
humanitarian organisation that provides emergency assistance, or disaster relief to the person
who are affected. Company was founded in 1881 and it legal structure follows board of
governors.
P2 Explain the size and scope of a range of different types of organisations.
Small term organisations: Theses re those organisations that are has 10- 49 employees
working in the company. These are very limited in the UK market. For example Bright star is the
organisation that is engaged in lodging and residential mortgages. There are 50 employees
working and and its probability is 71 %. the legal structure of company poses specific heirchaical
structure (Bustinza, 2018).
Medium term organisations: These organisations consist of 250 employees approx .
Company called Smith brother was founded in 1999 as a contract business. Its legal structure is
managed by top management according to the directions provided by board of directors.
Large term organisations: These organisations are Tesco, Sainsbury etc which shares a
lot market share and deals in retailing company and these organisation consist of many
employees working there (Čepel, 2018). Tesco earns profits of 300 millions in a year and its
overall turnover is about 63.11 at the end of year. The legal structure of company is matrix
structure that consist of mix of functional and divisional structure. The size of shareholders is
450000. its market share is in all over the world which includes Asia, Europe, Thailand and
Ireland etc.
TASK2
P3 Interrelation in between the function of the northern trust investment bank
Interrelationship in between the various departments are important as no company can
run individually on the basis of their own performance. Every department must coordinate and
manage with the others in order to achieve the targets of the company (Doh, McGuire and Ozaki,
2018). All the department make a separate structure on the basis of their functional activities.
Make a proper planning in the organisation related to the responsibilities and roles are very
important as it help in determining the success and failure of the company. There are various