Business Environment of ASDA - doc

Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1&P2 Covered in PPT..........................................................................................................1
TASK 2............................................................................................................................................1
P3 Interrelationship between various organization functions and its structure......................1
TASK 3............................................................................................................................................3
P4 Positive and negative influence of external environment on business activity.................3
P5 Internal and external Analysis of ASDA company with other similar organisation.........6
TASK 4............................................................................................................................................7
P6 Interlinked of strength and weakness are with external factors of business....................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
.........................................................................................................................................................9

INTRODUCTION
Business surroundings includes many intrinsic and extrinsic element which affects the
business activities of organisation. It is the responsibility upon management of organisation to
consider all such factors regarding achievement of their objectives. Internal factors are such
which are present within the organisation. These factors include technological capacity,
organisational culture, employee morale, poor delivery etc. On all such factors manager of
organisation have control. On other hand, external environment includes political, economical,
societal, technical, judicial and environmental factors. All these component have both optimistic
and pessimistic effect upon the business operations. Manager of organisation have no control
upon such macro-environmental factors. Consideration of all such factors helps in preparation of
the effective strategies and policies which provides the direction to employees in deployment of
their operations effectively. ASDA is private organisation which deals in food market, general
commodity and fiscal services (Avramenko, 2012).
In the existing document explain about, various kind and purpose of organisation and
their legal structures, size and scope of various types of organisation, kinship between distinct
company purpose and their link with organisational objectives, positive and negative effect of
macro-environment upon commercial enterprise dealings of organisation, internal and external
analysis of organisation regarding identification of their strengths and weaknesses. Also,
interrelation of strengths and weaknesses with external macro factors of organisation.
TASK 1
P1&P2 Covered in PPT
TASK 2
P3 Interrelationship between various organization functions and its structure
ASDA is private organisation which deals in many business activities to make maximum
profits. Large number of different departments are working in organisation regarding
achievement of the common objectives. Such different departments are named as production,
financing, human resource, marketing etc. All the departments of organisation have their
different roles and responsibilities in organisation but they are linked with each other. Functions
of one department provides direction regarding effective deployment of the services of another
departments (Bovee, Thill and Raina, 2016). Maintaining effective relation among different
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departments provides large number of benefit like improved communication, coordination,
supportive nature, positive working environment, team building etc. This helps the organisation
like ASDA to effectively provide their functions and accomplish their tasks. Interrelation among
the different departments and their contribution in achievement of objectives is defined below:
 Human resource department: It is most important department of every organisation.
The main function of this department is to planning about the workforce which is needed
to effectively deploy their functions and satisfying the different requirements of their
customers. It helps the other departments by appointing talented staff. Some other major
functions which are performed by this department are appraisal of performance,
determination of remuneration, management of staff members etc. All the functions helps
in improving the existing performance of employees and different department which
contributes in achievement of common objectives.
 Finance department: The main function of this department is to plan about the financial
requirements of different departments. It also performs the function regarding preparation
of the budget for different department which is required to adhere by all departments in
performance of their different functions. These budgets are working as standards which
helps in comparison of their actual performance and removal of the issues. Proper
allocation of funds to marketing and production department helps to accomplish their
tasks. Marketing department of ASDA has the opportunity to use modern tools of
promotion which attracts large number of customers and improve their sales. Production
department has the opportunity to use new techniques of production which in reduction
of production cost and improved their profitability (Cavalcante, Kesting and Ulhøi,
2011).
 Marketing department: This department of ASDA has the responsibility to research
about the market and identifies the information regarding views of customers for their
products, competitors prevail in market, strategies used by them, actual demand of their
products etc. Such information has large number of importance for production
department to optimally utilise their given resources in development of good quality
products which satisfies the different requirements of customers. It also helps in fixing of
prices of the products as per the wants of customers. All such functions helps in
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