Business Environment Task 1.

Business
Environment
Task 1

Cover Content
• Introduction
• Types and purpose of different organisation
• Size and scope of different organization
• Conclusion
• References

Introduction
Businesses environment consist various external or internal factors
which have great influence on their function. It covers entire forces
such as customers, suppliers, competitors, government, cultural,
political, legal conditions and technological. The business
environment is dynamic in its nature so that it always keep on
changing as per the situations.

Types and purpose of different
organisation
In modern era, there are number of organisations that operates its
functions or activities at global level. They all have different aims
or objectives and legal structure as per the nature of business.
There are defined various types of business and their legal
structure such as:
 Public
 Private
 Voluntary

Private sector
In this consider the business entity which starts, operates and controlled
by the person with having ownership of firm. In the private
companies, individual bring effective ideas, necessary resources,
land and capital for starting a new venture.

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Legal structure of private sector:-
Sole proprietorship- A sole trader generally faces various unlimited liabilities
while running and operating business. It is referred as unincorporated
venture where no any legal differences between the owner and business. A
trade sole proprietor required national insurance number for opening their
business in UK market. They have to register for self assessment by
considering HM revenues and customers as well. Entrepreneur trade with
their name as well as any business name.

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Partnership- (Deed Partnership or The Articles of Partnership) as per the
requirements. In the partnership mode, there are unlimited liabilities which
faced by partners for their debts except limited partnership. In this, all
partners wish to increase more revenues or funds rather than taking new
active partners. For starting business with partnership in the UK, there is
required to register for self assessments tax, name of particular business as
per mutual agreements and share profits between partners.

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Limited companies- Each shareholders required to be a part of the particular
business and share are must be entitled the owner for at least 1 vote at company's
Annual General Meeting (A.GM.) and share profits at the end of financial years.
They have limited liability regarding company's debts so that they lose the value
of investment in the company. Company is run by a board of directors and
headed by chairman. There are number legal requirements and documents which
must be completed including Memorandum of Association and the Article of
Association as well. To set the limited company, there is required name and
address of firm, at least one director and one shareholder, follow articles of
associations and set up company for corporate tax in the United Kingdom.

Public sector
It define those firms that generally operates and
controlled by the government and also they
take responsibilities for running it in better
manner. Their main purpose is to provide
better facilities and services to the people for
their welfare.

Voluntary sector
Voluntary companies are those who
perform several activities to run an
organisation for the purpose of
providing helps to needy people. They
focus on providing various facilities to
the people regarding goods or services
so that they can satisfied their desired
needs or wants in an effective way.
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Size and scope of different organization
In this consider various types of organisation which have different sizes
or scope as per the above businesses. There are defined several firms
with their legal structure that perform entire tasks or activities
according to nature.

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Nestle
 Size: It is a food and beverage company that deals in the global
market.
 Scope: There are various products that serves by the Nestle in food
and beverages sector at global level.
 Vision: the visions statements of nestle is providing better goods
or services to the people for satisfying needs and demands and
also focus on consumer health.

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NHS
 Size: It consider the healthcare services that are providing by NHS
to the people.
 Scope: The scope of NHS is to provide variety of services
regarding healthcare to the patients.
 Visions: NHS vision statement is to focus on giving better life and
provide good health tos the people so that they can feel better and
get best treatments from firm as well.

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Oxfam
 Size: Oxfam is focusing on reducing poverty and helps to
volunteers for giving them better life as well.
 Scope: It has wide scope that every country wants to reduce
poverty and provide better facilitates to needy person.
 Vision: They want to provide better quality of life by effective
facilitates or services to the people.

References
Chavis, L.W., Klapper, L.F. and Love, I., 2011. The impact of the business
environment on young firm financing. The world bank economic
review. 25(3). pp.486-507.
Osterwalder, A. and Pigneur, Y., 2010. Business model generation: a
handbook for visionaries, game changers, and challengers. John Wiley
& Sons.

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