Business Environment Assignment - Halifax bank
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Added on 2020-12-09
Business Environment Assignment - Halifax bank
Added on 2020-12-09
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Business environment 1
Introduction to reportBusiness environment is inclusive of all those factors that put a direct /indirect impact on theentre functioning of organization in a positive or negative way. These include the consumers,suppliers, rival firms; PESTLE factors etc (Hamilton and Webster, 2015). The present study hasthus laid emphasis on finding out different types of organizations that can be the potential clientof Halifax followed by discussing there organizational structure and there relation withobjectives of the company. Other than this, business environment of one of the client of Halifaxbank which is Debenhams has also been studied. Task 1 Different type, size and scope of organizationsIntroductionAn organization can be defined as a group of individuals that work together to accomplish goalsand objectives. The purpose of any organization is attainment of collective goals and earns profit(Fleisher and Bensoussan, 2015). These usually exist when a group of people work together thenthey can attain more as compared to a single individual. The UK economy has got a presence ofprimary, secondary as well as tertiary sectors where the organizations function (Do andSmallbone, 2017). Sole traderSole trader is the one where an individual owns as well as runs the entire business entity. Thesekinds of firms are involved in creating self-employment opportunities and ensuring that there isproductive use of funds opportunities for self-employment and making fruitful use of funding.The advantage is in form of ways setup and full control over the business decisions and assets.But there is an existence of unlimited liability that may act as a threat if things go wrong. Thereis also a chance of less tax planning as a single person has a liability to pay all the taxes (Quinnand Kristandl, 2014). One of the sole traders that exist in UK is Angila tax help which providesaccountancy services to the companies and belongs to tertiary sector (Angila UK, 2018). It workson the purpose of rendering quality services to the consumers. Partnership2
Partnership is a kind of business arrangement where two or more individuals exists to shareprofit and liabilities that are there in a business setup. The members in which partnership isformed can go up to 20. The advantage of this business is that there is an existence of low startupcost; ease of establishment and more capital availability. On a negative note, the partners have apresence of unlimited liability to debts that exist in business followed by chances of conflictbetween partners (Hair and et.al., 2015). A famous example of partnership firm is Google thatwas formed on account of partnership between Larry Page and Sergey Brin (Larry Page andSergey Brin, 2008). As the company provides technology based service hence it comes undertertiary sector. Limited companyLimited company is that private firm whose owners have a legal responsibility for the debts butonly to the extent of capital amount that has been invested in it. These play the role ofmaximizing the profit that is received by shareholders followed by ensuring that there is anoverall transparency with respect to financial reporting (Dimitrova and MacKay, 2017). Theadvantage of this type of company is in form of limited liability with respect to amount of sharesowned by members; ease in terms of raising finance and presence of a stable form of structure.The disadvantages are however in form of expensive setup cost; complex rules for accountsand bookkeeping (Botha, Kourie and Snyman, 2014). Along with this, these firms cannotsell shares publicly which puts an overall limitation on their growth. As the shares are nottraded on stock exchanges hence there is also a limitation with respect to rasing adequateamount of capital. Example of a limited company is Angila waters present in east ofEngland and it belongs to primary sector of UK. Other than this Debenhams is also aprivate limited firm in the tertiary sector of UK that provides retail services to theconsumers in the area of clothing, beauty products household items as well as furniture(Debenhams, 2018). Public limited companyPublic limited company is the one that offers shares to the general public and also has apresence of limited liability. These firms try to maintain a balance between primaryobjective of profit making with the social and environmental goals that aids in pacifyingshareholders (Hair and et.al., 2015). These firms have a better access to capital as well as3
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