Understanding Local, National, and Global Businesses and Different Market Structures

This presentation covers the meaning of local, national, and global businesses, along with different market structures such as perfect competition, monopoly, and oligopoly. It provides examples of businesses in the public, private, and third sector. Additionally, it explains different types of e-commerce marketplaces. The presentation is relevant to the subject of Business Environment and is suitable for students in college or university.

The meaning of local, national and global
businesses
Local business- It is the one firm that offers and sell its goods or services to buyers in local area,
town, city. Small and start-up business are belonging to this category in which a single person
starts and operate their shop to earn profit and livelihood. For example, barber shop, boutique,
general shop, grocery shop, food stall and many others to provide product and services to the
local people of their geographic area.
National business- It is referring to the firm which operates in domestic country as well as within
the boarder of specific nation. In this entrepreneur is well known about the culture, customer’s
trends, economic situations addition to produce products or services to meet the requirements.
Business Environment
Global business- It is also known as international business which focuses on transactions and
commercial functions among government, organisations and individuals across the national
boundaries as well as into different regions or countries. It is the international trade of products
and services outside the boards of a specific country at global level.
The meaning of the public, private and third
sector
Public- It consists public products along with governmental services like hospitals, military,
infrastructure, public education, healthcare, public transport, law enforcement and many more. All
these are working for the welfare for society and people who live in a country along with it is a
part of an economy system which is managed and controlled by central, state as well as local
government.
Private- It is the portion of nation's economic system which is run and manage by
companies, group of people instead of government. Organisation in private sector
operate their business operations with the motive of earning money and increasing
sales for the personal benefits. The4 company is privately owned by the individuals
under the law of government to sell the goods and services in market. The various
types of private sector are partnership firms, sole proprietorship and limited company.
Third sector- It refers to the voluntary sector in which group of people formed a firm
and invest their resources to meet the needs of a community without the motive of
profit earning. It is non profitable organisation which is operated to complete a
particular motive such social care.
An example and a brief overview of a
local, national and a global business
Local business- The example of local business is Dark Arts Coffee is located in
London, UK. It was established in 2014 to provide food and beverages services to the
local people of Homerton to earn the profit and customer base. There are around 10
employees who conduct their practices to make the company more profitable and
increase customer experience. The speciality of Dark Art Coffee is they offer unique
roasting coffee as per the customer demand.
National business- Britishvolt is the right example of national business it is a Britain
Motor Vehicle Manufacturing company which invest in battery technologies and made
batteries to electrified future of auto mobiles. It was established in 2019 at
Northumberland as well as there are more than 200 employees work for the growth of
company.
Global business- Unilever is the suitable example of global business which is a
consumer goods company located in London. It was founded in 1992 by Lever
Brothers and Margarine Unie to provide variety products and services to people.
It operates in more than two countries such as Germany, Italy, France and
many others. The product line of Unilever consists Food, tea, coffee,
condiments, ice cream, beauty products, minerals or supplements and many
more.
An example and a brief overview of a
business in the public, private and
third sector
Public sector- For example, National health services, it is UK's government
public health services organisation. It provides local health authority services,
specialist and hospital services as well as general practitioner and dental
services for the betterment of community in UK. It is owned and run by the
administrators of government and provide all these services to the needy
people to improve their health condition.
Private sector- Sports Direct is the perfect example of private sector
organisation. It is a sports and fashion retail company which was established
by Mike Ashley in 1982 to earn the big market share and profitability in retail
industry. It deals in sports line of products such as footwear, clothing, sports
accessories, equipment and electronic items in both physical and online store.
There are around 19, 900 employees among its 670 stores across the world to
provide the best quality of product and services to clients as well as growth of
company.

Third sector- British Red Cross is a charitable organisation and trust who works for
the welfare of society in UK with the motive of profit earning. It was established by
Robert Loyd Lindsay in 1870 to provide help and aid to the sick and wounded
people during War. They offer their aid and medical services to helping people
during crisis in UK. In this trust there are around 17200 volunteers and staff works
to helping society without discrimination, favouritism, nationality, political and
religion beliefs.
The meaning of the different types of e
commerce marketplaces
There is various type of E-commerce marketplaces that are as follows-
Business to business (B2B)- It is website in which whole sellers and suppliers sell
their goods or services to consumers in mass, bulk. It is generally operated and run
by third party which act as intermediary among producers and buyers to supply the
goods for profit motive. It is a platform where an organisation sells their goods and
services in whole to other businesses which is retailers. The concept of an online
B2B marketplace refers to an automating buying and selling process, enhancing
clearness of financial deals as well as providing best customer experience.
Business to consumer (B2C)- This market place includes two types of clients such
as businesses along with customers. In this platform, many organisations sell their
goods or services directly to buyers instead other business. Various B2C
marketplaces are single stores where buyers can purchase a variety product online
under one app. It is the most popular in recent times addition most all business uses
this platform to increase their sales, profit and customer base.
.
Consumer to consumer (C2C) - It is also known as peer to peer marketplace as it
connects people with same preferences, incomes tastes and needs, to share goods or
services with another. In this marketplace customer can share their products and services
in exchange for product, services and money. In this most of the product and services are
shares on rent not permanent sale addition to in this an individual can be a customer but
on next day they can be a service provider
The meaning of the different types of market
structures.
Market structure has been termed as how various industries are differentiating and
classified based on their nature as well as degree of competition for products and
services. There is various type of market structures that are as follows-
Perfect competition- In this type of structure, there are huge number of sellers and
buyers. In this industry there are almost all small and macro companies competing with
each other. All firms sell homogeneous products at similar price. In this market,
consumers have full and proper knowledge about price, quality and features that are
being sold. Also in perfect competition market structure, there are no restriction for any
company to enter as well as exit as per their business requirements.
Monopoly- In this type of market structure, there are only one and few company which
represent the entire industry. The company has no competitor and they are the only one
seller of goods and service in whole market. The characteristics of monopoly company
are solo ownership of all resources, licenses, copyright and patent is issued by
government along with huge initial start-up costs. There are barriers and restrictions on
entry and exist of a company as well as they have to set the prices of goods and control
the whole market.
Oligopoly- In this market structure, there are few large companies which competing
against each other by selling identical and differentiated products. The competitive
strategies and prices of few companies are dependent on each other.
In this market structure the consumers are price taker not price setter as well as there
are restrictions for new firm to enter in market and set their business effectively.
Monopolistic competition- It is most popular and realistic type of market structure, in
this there are large number of sellers, producers and consumers. In this produces are
selling heterogeneous product and set prices as per the quality and features of their
product and services.
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