Business and Business Environment - Types of Organizations, Macro Environment Impact, and Organizational Structure

This report explains the different types of organizations, their purpose, size, and scope. It also evaluates the positive and negative impacts of the macro environment on business operations, supported by specific examples. The report identifies the relationship between different organizational purposes and how they link to organizational objectives and makeup. The organizational structure of Sainsbury is also discussed. The subject is Business and Business Environment, and the course code and college/university are not mentioned.

Business and Business
Environment

Table of Content.
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK 1............................................................................................................................................1
P1 Explain different types and purpose of organisation: public, private, voluntary sectors and
legal structure...............................................................................................................................1
P2 explain the size and scope of a range of different kind of organization.................................3
TASK 2............................................................................................................................................5
P3 Identify the relationship between different organizational purpose and how they link to
organizational objectives and makeup.........................................................................................5
TASK 3............................................................................................................................................6
P4 Evaluate the positive and negative impacts of the macro environment has upon business
operations, supported by specific examples.................................................................................6
Task 4...............................................................................................................................................7
P5. Internal and External analysis in order to determine the abilities and weakness..................7
P6. Justification of the strength and weakness linked with external factors................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The business environment is explained as the collection of the internal and the external
aspects and these are employees, customers needs and expectations as well as supply or demand
of customers. The business environment is allows the firm to analyse their competitor's plans as
well as actions. They can create their own strategies accordingly. These factors can affect the
management framework and the activities of the organization. There are various sections of the
organization management that also impact on the growth of the organisation. In this report,
contemporary issues of the organisation is explained which are present in the market place.
These are significant to concentrate on framework of management of the organization. The
report is based on the Sainsbury which is the international retailing supermarket and the
headquarter is situated in United Kingdom. The Sainsbury organisation is founded in 1869 by
John James Sainsbury. It has approximately 1,500 retail stores in various country and approx
100000 workers are currently work in the retail stores performing their roles in management. The
management is also working in the various terms of goods like groceries, cosmetics and many
more. The report is also considers the aim of the management, size and scope of the
organization. This is includes the identification of the positive and negative impact of the micro
environment on the internal as well as external analysis of the business (Adanlawo and Chaka,
2021).
MAIN BODY
TASK 1
P1 Explain different types and purpose of organisation: public, private, voluntary sectors and
legal structure
The management of the organisation is explain the process of organize management
hierarchy of the company. These framework of the management is influence the management to
maintain the flow of data in the business. There are various part of managerial framework which
are explained as:
Private organization: The private organizations are maintained and owned by the
individual to attain profit for the organization, increase their capital and the shareholder of the
company. These organization is not regulated by any state of central government. The legal
framework that are presented in these management are:
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Sole traders: Sole traders are refers to that individual who perform their role by personal and
present their action as individually. In the private management, the individual follow their own
capital and maintained their effective functioning and duties. Sole traders are responsible for the
maintain decision making and affectivity of the organization without consulting any other
individual. These are also responsible for the loss and profit of the organization. This
management can seen in the restaurant and in hotels (Chiva, 2021).
Partnership: Partnership is refers as organization that is owned by a small group of people,
without shares traded on a stock market. The partners are responsible for profit as well as loss
according to the contract. These are also used at global level such as BMW our partner.
Private Limited: The management of the private limited organization is maintain the
organization with effective amount of investors. The liability of the members if the private
limited organization is limited to the amount of shares respectively held by them. The shares of
the private limited organization cannot be publicly traded and enables the public interference in
the procedure of decision making. These are includes the families, friends as well as investors in
the process of the management practices and decision making.
Public limited company: The public limited company is refers to who are functioning in
various marketplace with the aim of offering the goods and services to the customers. In these
limited organization management can sell and buy their shares. The decision making of the
management is based on the individual who maintains as well as shares their oriented thoughts.
These are provide the freedom to maintain the activities and decisions of management. ADSA is
a public private organization that supply goods and services to the customers to achieve the
wider range of profitably and achieve the organisation goals.
Public organization: These management are use for the maintained and function by
administrative rules, loss as well as their permission. The main aim of these management is
provide the public facilities to the community. HSBC is an example of the public organization
and it is a bank of UK that offers the financial facilities, loans to the customers.
Voluntary organization: A voluntary organization is basically refers as strengthening
civil society. These are supports social communities and make the management for the
businessman, donation and many more. The members are the owners but different owners of for-
profit organization and they take responsibilities for programs to meet a social need that
produces no financial dividend for them (Pedersen, Earley and Andersen, 2019).
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P2 explain the size and scope of a range of different kind of organization
There are several types of the business organization in the United Kingdom which are
associated with the operation of their business. In relation to the Sainsbury, NHS, Oxfam,
different type of organization is mentioned below which are based on the scope and size.
Different type of organization on the basis of their size:
Business Explanation
Micro business This is a small business organization which are
involved with the few people to operate the
organization. These business are attained
turnover less than 2 million pounds. These
business are set up to increase the quality of
life of the person in developing countries
(Bordeleau and Felden, 2019).
Small business These business organization will set up with
minimum number of employees and less
capital as well as some machine to operates.
The organization have less than 50 person
involvement and annual turn over approx less
than 10 Million pounds.
Medium Business These are the organization which have large
scale of the business these organisation have
less than 250 workers and annual turnover lass
than 50 Million.
Large Business The large business organization is contains
more than 250 employees and annual turn over
is more than 250 Million pounds.
On the basis of these business, the background is mentioned below:
Sainsbury:
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Background: This is a British multinational brand in the UK and the organization is founded in
1869 by John James Sainsbury. This organization have the large supply chain of the retail shops
in London. The organization have the large share market as well as several groceries and
cosmetics items to give with necessary products to customers.
Product and Facilities: There are several goods has been sold to the customers such as cosmetic
items and groceries convenience and is the retail shops and supermarkets.
Vision: The main target of the organization is to supply the good quality of the goods and
facilities to clients to increase the profit of the organization and achieve the goals of the
organisation (Silva and et. al., 2018).
Mission: The mission of the organisation is maintain the effectiveness of selling of the goods to
customers and provide the best quality and increase the client base.
Business Objectives: The main target and objective of the organization is to enhance the sales
by providing the the best quality of the goods and facilities to the clients with new client base.
Organisational structures: The structure of the organization follow the matrix to perform the
various activities in effective manner.
Size: The size of the organization is spread over the 10000 square feet where the large number of
the workers are working together. There are more than 1500 retail shops are present of the
organization at global level. These are covers the big area in United Kingdom with the maximum
numbers of workers.
National Health services
Background: The NHS is the United Kingdom's most esteemed association of publicity
supported health services which are founded in 1948. The NHS is the second largest organization
for paying for health services.
Product and services: The NHS is supply the several healthcare management which are
includes long term medical services, dental, hospital consideration, ophthalmology and many
more.
Vision: The main vision of the organization is to provide the the proper well-being to the every
person by the broad and independent target on driving the masses.
Mission: The main mission of the organization is supply the satisfactory assistance to the
customers and supply the proper medical management to the establishment. These are essential
for the organization to make its sensible value on a global level.
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Business objectives: The objective of the organisation is refers to successfully provide the
suitable type of care and help to the patients which are associated with the increasing locality of
the NHS customers.
Organization objectives: The NHS is significantly made up of different association and these
association contains its personal term of enlistment group and list of opportunities(Jadwani,
Bhargava and Sharma, 2018).
Size: The NHS is the one of the largest healthcare organisation in United Kingdom and these are
contains approx 1.3 million employees, 122000 professional, more than 289000 careers and
approx 333000 workers as supporting staff working in the NHS organization.
TASK 2
P3 Identify the relationship between different organizational purpose and how they link to
organizational objectives and makeup
These are plays a significant role in the organization to examine the various function
which has been performed within the organization to increasing the competitive benefits. There
is a relationship in the various functions of the department which are explained as:
Finance and Marketing: This is the one of the function of the Sainsbury where the both
departments are related with the various function of the organization. These are also associated
with the attain the company goals and main aim of the organization. This department of the
organization is assisting in the marketing of the products and gain the new market strategies to be
efficient and effective manner. These are associated with the develops and prepare the budget for
the conversion for the marketing department to attain new strategies (McMurray, de Waal and
Daniel, 2019).
Human resources and information technologies: The HR department and IT
department have relationship and these are plays a crucial role in the for the organization. These
are recruit fresh employees for the conversion for the development and achieve the goals and the
objectives of the organization. The information technology department is assist in the manage the
task in effective manner and develops skills of the workers.
Research and development and production: There are also plays a significant role in
the functioning of the organization. These both department have the same objectives which are to
achieve the goals and increasing profitability of the organization. The research and development
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departments assist in the develops new manner in which the production of the products and
techniques are carry out. The research department is supply the right and new strategies and
information for production departments (Potrich and et. al., 2022).
Organizational structure:
The organizational structure is plays a significant role in the maintaining the goals and
objectives in the efficient and effective way. These are essential for the establishment to build the
structure which are associated with the several functions. These are very significant to examine
and evaluate the best structure to promote the effective work. The organization is pick out matrix
organizational structure where various functions of the workers is carry out. These are includes
the flexible structure of the working surrounding in the establishment. The main aim of the
organization is based on hierarch structure where the organization is flow of the data form one
department to another departments. These are essential for the achieving the aims and objectives
in appropriate level (Islam, Jasimuddin and Hasan, 2018).
TASK 3
P4 Evaluate the positive and negative impacts of the macro environment has upon business
operations, supported by specific examples
These are essential for the establishment to evaluate the affect of the external aspects over the
business organization as well as operational activities. The PESTEL analysis are assisting the
organization to evaluate the various aspects which are associated with the positive and negative
impact on the development of the establishment. These are very essential for the development of
the establishment to evaluate the various aspects which are mentioned below:
Political factor: This political factor is associated with the governmental policies which
may affect the establishment in negative or positive manner. These factors are includes trade
policies, marketing policies and tariff. These are plays a significant role in the organization to to
be aware about the impact of the misregulation. It impact negative affect on the Brexit move
where the establishment was not able to sell the products outside the Europe.
Economical factor: The economical factor is related with the direct affect of the
establishment because of the execution in the global level. These factors are associate with the
direct taxes, inflation and many more. These are also have negative as well as the positive impact
of the Sainsbury because it increase the explosion rate in the economy which can affect the
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development of the organization. It has also negative impact on the Sainsbury because it is
associated with the taxes of the establishment which are essential for them (Frankenberger and
Sauer, 2019).
Social factor: The social factor are related with the surroundings in the condition that can
affect the business organization. These factors are associated with the lifestyle, attitude and
behaviours of the consumers. These are plays a significant role for the establishment and
awareness of the markets for various factors of the customers. These can be evaluated by the
actual impact the customers in various manner. This is also have the positive as well as negative
impact on the marker needs which are associated which the social factor.
Technological factor: The technological factor are associated with the advanced
technology and the advanced level of the application. In relation to the Sainsbury, these are
operates their activities with the online level and so the organization can increase bigger number
of the person which are associated with the positive impact.
Environmental factor: This aspects are includes the specific findings which are
associated with the changing in the condition as well as weather, population. In relation to
Sainsbury, these are widely centres on the biology factors and also apply green selling which are
give a positive impact on the whole establishment.
Legal factor: The legal factor are associated with the lawful activities, lines and
procedures which are appropriate for the effective part to negotiate all the legal legislation as
well as the laws. In context to Sainsbury, these are more concentrated to follow the laws and also
deals with the other national legal structure more perfectly (Al Maazmi, 2021).
Task 4
P5. Internal and External analysis in order to determine the abilities and weakness.
According to the business operation development forb the business, it is mandatory to
examine the power and the weaknesses in order to make an fantastic plan of action to construct
their situational and image of the brand more strong for the long term property in businesses
marketplace (May, Hao and Carter, 2021). For t6he analysis of the internal and external factor ,
the discussion are below :-
Strengths Weakness
 Sainsbury is the leading brand in retail  Organisation executes their major of
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industry in UK. This organisation
proceeds their transaction with the
diverse big partners in nation and
internation also.
 Organisation includes various business
contents and retain their big name
which is accepted by the citizen all over
the world.
 Sainsbury manage their reputation
globally for their best prize and thus is
the second best grocery store in UK.
 Organisation hold their global market
place and operate their activities
crosswise the Europe, middle East and
also Asia.
the transaction manually thus taking the
more clip for better valuation of
organisation.
 Sainsbury's theory is assorted to
youngster as they are intelligent enough
that the organization provide less
variety in the organization and argues
as the senior brand so that it can supply
the opposed contact on sales.
 The performance of the organisation is
declining due to epidemic and Brexit
thus it can be major failing of the
organisation.
Opportunities Threats
 Global enlargement can be refereed as
a big chance for the organisation. As
explained above, Sainsbury's have
expand their transaction overseas so
company can target more nation to
retain the global reach and get their
trade name famous.
 Sainsbury's can go for online business
so that company can target the local
market of the country who does not get
access and now they can can purchase
the stuffs at low expenditure.
 Sainsbury's includes good range in
online level but company status set
 The higher chances of rivalry among
the retail industry results into great
danger for the organisation due to
unplanned changes.
 Sainsbury's performance are impacted
by the mixed controversy.
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their standard like leading company as
Amazon and flip kart. Organization can
fixed specific constant so that
formation can effectively get the
leading brand in E- dealings.
P6. Justification of the strength and weakness linked with external factors
The influence of external factors which will assist in the determination of the present
conditions of the business is important to be included. All involvements has its personal power
and lackness which organisation utilizes for the management of external factors. The interlinking
is discussed below :-
 Political factors - This factor illustrated that political disruption impacts the decision
making process of Sainsbury (Zolberg, 2019). The strength and weakness of this element
is listed in below -
Strength Weakness
Organisation considers the power in global
market due to their presence and also they
succeed in peculiar expansion worldwide
which can enhance the sales of the business,
this is only possible when creative team is in
main management.
The regular modification in the policies and
procedures by the government have impacted
the operations in an a negative ways.
 Economic factors - This components analyse the system growth and development.
Sainsbury is the well established trade name which succeeds in economic stability at the
sales outlet (Lopez, Bastein and Tukker, 2019). The specific quality and impairments are
listed below -
Strength Weakness
Sainsbury's sale their goods at reasonable Disturbance in the market result in opposite
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price, also they provide exclusive offers and
discounts which give the business accurate
results.
effect in the organisational operation. It is hard
to develop more international countries so it is
major incapability of company.
 Social factor – This factor is linked with the socio-economic trends, sex, income (Gursoy
and et.al., 2019). Few strengths and weakness are discussed below :-
Strength Weakness
It is linked with huge power within the
organisation. The organisation can go for
small market study to know the requirements
of the consumers in order to simply modify the
goods and services and enhances the
satisfaction level.
There are number of rivalry present in the
market and the continuous change in the user
needs can impact the business.
 Technological factor - It is majorly concerned with the technological development which
helps in completing the operations in more smart ways and assist in having the
competitive profit in the company. Few strengths and weakness are discussed below :-
Strength Weakness
Sainsbury's is the international organisation
and with the help of digital media network
company managed technologies and activities
and connects to large amount of people .
The major lacking of this factor are Advance
mistakes, low server, cyber hacking and
deficiency of cyberspace .
 Legal factor – These are the component which immediately affect the performance of the
organization such as civil law, judicial constitution, insurance & special process, lawful
activities and several acts (Kamble, Gunasekaran and Sharma, 2018). Few strengths and
weakness are discussed below :-
Strength Weakness
Sainsbury always keep properly in mind about Company also faces several controversy
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all the legal consideration and do appropriate
acts related to wellness and security, data
Activity act, business act and many others.
related to their goods and employment and
specific cases give harmful reputation on the
company.
 Environmental Factors – This factor considers the situational activity, change in t5he
climate, control over the dirt done by the people which damage the property. Few
strengths and weakness are discussed below :-
Strength Weakness
Sainsbury's proposed a special goods that
reflects a position and awareness of the
company and increases the green marketing
activities which result in great potential.
Continuos modification in selling goods and
higher level application can give harmful effect
thus it result in fail for the company when the
company is not in biological position.
CONCLUSION
From the above discussion, it has been concluded that the business is required a
appropriate functioning as well as effective plan and perceptive of the business. There are
various type of organization which can have the successful business plans and have long term
sustainability in the market place. The business if the organization can be affected by the various
structure and the internal and external aspects of the organisation. There the private, public,
voluntary have the different scope, size and legal structure. This report is also considers the
relationship between the various organization and these includes the human resources,
information technologies, research or production department and finance department.
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