Understanding Business Organisation - Essay Guide 2021/2022

Level 0 Guide - Essay
2021/2022.
UNDERSTANDING
BUSINESS
ORGANISATION

Table of Contents
INTRODUCTION...........................................................................................................................1
Paragraph 1 – task 1.........................................................................................................................1
Paragraph 2- task 2...........................................................................................................................2
Paragraph 3 – task 3.........................................................................................................................3
Paragraph 4- task 4...........................................................................................................................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Business is the legal entity which is being formed by the individual for managing the
various operational actives with the core motive of generating higher profits and revenue. This is
being carried out for the general consideration of having business to be operated for the higher
sales and good brand image (Ramori and et. al., 2021). There are various types of business which
are working on specific legal forms and these are sole trader, partnership, company and
corporation. All they are working for the fuller utilization of resources so that they can enhance
their productivity of the company. The premier inn hotel is the chosen organisation form the
hospitality sectors for this essay. It is the luxurious multinational hotel which is operating their
business about 700 hotels in different location with 50,000 rooms. Moreover, they are
emphasising on offering the best accommodation, food and beverage and other related services
to guest.
Paragraph 1 – task 1
Sole trader is the type of venture which is being owned and controlled by the single
individual and all the profits and losses in being belongs to them only. This is not necessary to
register their venture as they are earning just for their own survival not for the higher revenue.
All the assets and the liabilities are connected by the venture as they are not separate from the
owner itself. Advantage of operating business as the sole trader is that they are not separate legal
entity, all the assets and liabilities is the part of the personal income of the person who is
operating business. All the decisions are being made with the consideration of generating
revenue for the easy survival and happy life of the individual. Disadvantages are, all the
operating decisions is being carried out by the management is resisting to the particular aspect
which resists the formation of the limited skills (Klever, Visser and Engelfriet, 2021). In order to
operate such type of venture is limited. The suitable example for such type of venture is Verdant
Leisure.
Another form of business is partnership, It is the legal agreement which is being
establish when two or more people come together with aim of running a business venture with
the consideration of generating high profits so that they can move towards higher success and
growth. All the profits and loses is being shared on the agreed basis and all the tax which is being
applied on the business is paid by all the partners itself. Advantages are, with the help of formal
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Level 0 Guide - Essay
2021/2022.
Understanding Business
Organisation
1

Table of Contents
Introduction ..........................................................................................................................................3
Task .......................................................................................................................................................3
Conclusion ............................................................................................................................................6
Reference Page......................................................................................................................................6
2

Introduction
Business Organisation implies the management and the methods in which all
activities in order to maintain the commercial transactions and the essential goods and
services are carried out. It involves framing of business through which the company use to
generate the essential goods and services and also manage the product for the directions and
for implicating the working nature. Their are so many types of organisations like partnership,
sole traders, limited liability, corporation and many more. As for managing all the business
activities their managed all the general work and the advancement through which revenue
generation and the productivity is managed. The organisation chosen in this report is
McDonald's which is a well known fast food chain restaurant which carries all the important
food items. It is headquartered in US (Dyson, 2019). This essay will cover all the advantages
and the disadvantages in business with their cultural and the other practises.
Task
The business is the most important practise which serves out to manage and generate
all the goods and the services through which the applicability of the product is managed.
Their is been seen that it is important to manage and formulate all the services and the
essentials for the benefits of individuals. Their is being analysed that as some of the major
business practises are mentioned such as, Sole proprietorship which is the business in which
the single or the sole owner is being involved in order to maintain and manage all the areas
and the business practises(Milliman and Clair, 2017). They usually start all such business in
order to generate the earning and to manage the family standard and create a stable life. The
advantages of all such business are, all the roles and the major responsibilities lies in the
owner. Their profit and the earning is on their own pocket. Which means they do not have to
give to nay other person and decision making power lies on the owner itself. Example,
freelancing business. Partnership considers all those business practise in which there are
more then two individuals are involved for the common business practises. This is laid when
the partners want to make and generate the profit through their ideas and together. The
advantages of all such business are like No financial burden lies on single person as they
share all the funds equally. It helps in managing the work life balance and cost saving can be
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