Business Environment (Task 1)

This presentation provides an overview of the business environment, including the types of organizations, their legal structure, and the size and scope of different organizations. It discusses the advantages and disadvantages of private, public, and voluntary organizations. The presentation also includes a stakeholder analysis and references for further reading.

Business
Environment
(Task 1)

Content covered
 Introduction
 Various types of organisation along with their legal structure
 Size and scope of different organisations
 References

Introduction
Business environment is refers as such platform where large
number of organisations are established and performs their
functions for earning profits and development of the community as
a whole.

Various types of organisation along with
their legal structure
The organisations are classified into three different types
which are known as public, private and voluntary organisation.
All these type of organisation have their different purposes and
legal structures.

Various types, objectives and legal
structure of organisation
Private company: These are such organisations upon which
control is having by private individual or group of persons.
The intervention of government in the performance of the
functions of private organisation is very low.

Advantages and Disadvantages of
private firm
Advantages Disadvantages
Less role of government More restrictions are imposed
on private organisation in the
process of raising of funds
through public
Limited liability of the
shareholders and owners
Less support of government

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Public organisation: Public organisations are such under which
government of country is having significant control over
operations. Mainly the functions are which are disbursed by
them includes health care, military, education, public transport
etc.

Advantages and Disadvantages of Public
company
Advantages Disadvantages
Performs function to provide
maximum benefit to society
Primary main is not earning
profits
Huge control of government over
business operations
Lack of freedom while conduction
business activities

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Voluntary organisation: These are such organisations which are
established only for the benefit of society. As per their name
depicts, not having the aim of earning profits. The entire
amount which they get from the government from donations is
used in the welfare activities of society.

Advantages and disadvantages of voluntary
organisation
Advantages Disadvantages
Reduction in amount of social
issues
Not having source of funds,
dependents upon government
donations
support of large number of
volunteers and government
Required to fulfil many
conditions to setup NPO

Size and scope of different organisations
Private, public and voluntary are three different sectors under
which large number of organisations are working. The size and
scope of the entire organisation are different due to
belongingness from different sectors. The three different
organisation are named as M&S as private, NHS as public and
Oxfam as voluntary.

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M&S
Size: M&S is multinational organisation headquartered in
Germany. They are having large number of super market
chains.
Scope: This can be refers as the diversified business functions
which are provided by organisation under single brand name.

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NHS
Size: NHS is public organisation which is very large in
organisation. It was primarily established in UK to provide
better health care facilities after that they expanding their
operations in all over the world.
Scope: The scope of NHS is defined through the description their
diversified offerings for the development of society and to
make health care industry more strong.

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Oxfam
Size: Oxfam is voluntary organisation not having the aim to
generate profits. It was established in 1942.
Scope: The different type of services which are provided for
bring improvement in the community and society includes
poverty reduction, advocacy, Pro-migration, policy research
and advocacy.

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Stakeholder analysis
The main stakeholders of M&S are employees, customers,
investors, government etc. It is an obligation upon
organisation is to fulfil their needs through their achievement
of business objectives.

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.
Eckardt, M., 2012. The European Private Company: Do we need
another 28th private company law form in the EU? On
regulatory competition of corporate law.

Thank You