LO 1 Organizational Purposes of Businesses
Added on 2019-12-03
13 Pages4503 Words461 Views
BUSINESS ENVIRONMENT
TABLE OF CONTENTSINRODUCTION........................................................................................................................3LO 1 Organizational purposes of businesses.............................................................................31.1 Purposes of different types of organisation .....................................................................31.2 To meet the objectives of different stakeholders..............................................................41.3 The responsibilities of an organisation and strategies to meet them................................4LO 2 Nature of national environment in which business operate..............................................52.1 Economic systems help to allocate resources effectively................................................52.2 Impact of fiscal and monetary policies on British Airways.............................................62.3 The impact of competition policy and other regulatory mechanisms .............................7LO 3 Behaviour of organisation in their market environment...................................................73.1 market structures determine the pricing and output decisions of business......................73.2 The way in which market forces shape organisational responses....................................83.3 Business and cultural environments shape the behaviour of British Airways.................8LO 4 The significance of global factors ....................................................................................94.1 Significance of international trade ..................................................................................94.2 The impact of global factors on British Airways.............................................................94.3 The impact of policies of the European Union...............................................................10CONCLUSION.......................................................................................................................10REFERENCES.........................................................................................................................11
INRODUCTIONBusiness environment refers to those internal and external factorswhich affectsbusiness function. It means that what all factors any business possess to work efficiently inorder to achieve goals (Dave, 2012). The environment of business which includes bothinternal and external factors which determines business to run efficiently. In this report,British Airways analysis has been done to know the mission, vision, goals and objectives ofcompany. The organization fulfils all needs and responsibilities to meet the objectives ofdifferent stakeholders. The impact of fiscal, monetary and competition policies on BritishAirways. The importance of international trade to the business organisations and whichmarket forces helps in shaping the business. LO 1 Organizational purposes of businesses1.1 Purposes of different types of organisation The purposes of different types of organization which includes public organisation,private organisation and non- government organisations. These all organisations serve thepublic for different purposes and help in different ways to maximise the needs and wants(Miller and Cross, 2009). Public organisations play an important function in serving thepeople and not earning profits. They serve general public to make them feel and utilise all thenecessities and don’t want to make profit out of it. In order to this private organisations servepublic for the main reason of making profits. Their main purpose is that to satisfy the peopleand through that earn revenues and become leader in that segment by defeating allcompetitors. The last type of organisation is non- government organisation whose main aimor purpose is to do welfare of public and not with the motive of earning profit.They serve people to do welfare and make them feel better. British Airways is anorganisation which is private organisation which serves people to make them satisfied andearn profit. While satisfying the customers they earn profits so to have maximum revenuesand make people feel better (Johnson, 2010). The business environment of British Airwaysshould be best both internally and externally so that it makes their customers feel pleased.The main purpose of private businesses is to make profits to sustain in such a competitiveenvironment and to become leader. 1.2 To meet the objectives of different stakeholders The business helps in meeting the objectives of the stakeholders to make a goodrelationship between both of them. If the company involves itself in understanding their3
stakeholders which ultimately make the business to raise their profits. Various types ofstakeholders include customers, shareholders, employees and competitors. Customers- In any company customers play an important role in earning profits andhave their impact to manage the company properly. Customers are the main source ofexistence of any company (Lee, 2005). British Airways should make such strategiesto keep their existing stakeholders loyal to them and try to make such policies whichhelps in attracting new customers as well. Employees- They has the best power to run any business successfully and make it agrowing and developing organisation. Any business can become successful only whenits employees are loyal towards the growth of business (Armstrong, 2005). BritishAirways should satisfy their employees which will result in achieving overall goals ofcompany. All the set goals should be attained effectively by employees and earnmaximum returns. The staff of British Airways should be given proper remunerationtime to time for easy access of work. Competitors- British airways are the leader in UK airlines industry with the highestturnover. But it should continuously adopt new and better strategies to compete withcompetitors and become a market leader. It should make good decisions to remain attop and do not get affected from low cost airlines which tries to capture their market.Shareholders- British Airways should have a strong bond with their shareholders whohelp them in earning success of company (Charles and Smith, 2008). They should begiven good dividends when business is making profits. They should be asked to givetheir opinion in making changes in company and deciding new strategies. 1.3 The responsibilities of an organisation and strategies to meet themThe organisation has the responsibility to meet different needs of stakeholders and tryto satisfy them by adopting various strategies. Customers of British Airways should be givensuch facilities that they remain loyal to use their services which satisfy their needs. Thecustomers should be given better quality services to make them feel luxurious andcomfortable. Airways should try to fulfil all the requirements of their clients which will helpthem in sustaining and remain the leader in the industry (Conner, 2010). They should begiven different schemes and offers so that customers get attracted and instantly use theservices of Airlines. They should be remained cost effective so that it helps in increase incustomers and defeat competitors. Through all such facilities customers should feel satisfiedand accordingly business will also expand. 4
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Assignment of Business Environmentlg...
|12
|4159
|203
Report on Impact of Business Environmentlg...
|16
|5852
|319
Business Environment Internal and External Environmentlg...
|16
|4341
|292
Business Environment of British Airwayslg...
|14
|5228
|81
Business Improvement Introduction of British Airwayslg...
|13
|4413
|226
BUSINESS ENVIRONMENTANALYSIS OF BRITISH AIRWAYSlg...
|15
|5510
|47