BUSINESS ENVIRONMENT.

BUSINESS
ENVIRONMENT

Table of content
 Introduction
 Types and objectives of different organisations
 Size and scope of different types of organisations
 References

INTRODUCTION
Business environment is a combination of internal and
external components that affects the operations of an
enterprise. It involves customers, suppliers, employees,
demands, management, rules and regulations,
technologies etc. that enhances the performance of an
organization

Types and scope of different
organisations
An organisation comprises of several individuals, institutions
and groups that has a common objective and related to the
factors of external environment. Every business has an
operation structure that defines relationships between the
activities and employees, and subdivides and allocate roles,
liabilities and power to execute different tasks.

Types of organisations
 Public company
 Private company
 Voluntary organisations

Continued
Public company- With regard to establish a public company the
board of directors must apply in stock exchange council to
prudently check the reports. The monetary channel and analyst will
be capable to ingress the additional data about the company.

Continued
Private company- It refers to a commercial entity that is owned
and managed by a private investor, stakeholder or owners but they
can be controlled by an individual and is contrary to state
enterprises such as public and government agencies.

Continued
Voluntary organisations- It is a diverse division that
involves charities, non-profit organisation and groups of
local community who enters into an agreement ordinarily
as participant to design a body to achieve its overall
objectives.

Size and scope of different types of
organisations
Public company- It is a corporation whose possession is
distributed among the public in many portions of stock
that are freely traded on a commodity exchange. These
organisation increase their funds by selling shares.

Continued
Private company- It is a kind of confidentially held
small business enterprise. This limits the liability of
owner to their shares and number of stakeholders and
restrict them from publicly exchanging shares.

Continued
Voluntary organisation- It is the responsibility of social
actions undertaken by organisations which are non profit
and non-governmental. It is also known as third sector, in
contrary to public and private section.

References
Al-Debei, M. M. and Avison, D., 2010. Developing a unified
framework of the business model concept. European Journal of
Information Systems. 19(3). pp.359-376.
Al-Swidi, A. K. and Al-Hosam, A., 2012. The effect of entrepreneurial
orientation on the organizational performance: A study on the
Islamic banks in Yemen using the partial least squares approach.
Oman Chapter of Arabian Journal of Business and Management
Review. 2(1). pp.73-84.
Blanchard, T. C., Tolbert, C. and Mencken, C., 2011. The health and
wealth of US counties: how the small business environment
impacts alternative measures of development. Cambridge Journal
of Regions, Economy and Society. 5(1). pp.149-162.

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