Business Organizations: Types, Structures, Functions, Culture, and Industry Practices

Essay business organizations

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Types of business and advantage and disadvantage....................................................................3
Different organizational structure................................................................................................4
Various business function and impact of their functional management activities.......................5
Definition of organizational culture and positive impacts on the success of organization. ........5
Examples of industry practices from various organization. ........................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Understanding of business environment and organization that helps for make the
organization realistic plan and also ensure them with having effective implementation. It also
helps the business for better identification of threats and opportunities. This report will examine
about the various types of business function with their advantages and disadvantage. Along with
this compare about the organizational structure. This will also discuss the different business
function and organizational culture with positive impacts on succession of organization. Also
include, industry practice in organization.
MAIN BODY
Types of business and advantage and disadvantage
Sole trader company- this is known as type of unincorporated entity which is owned by the
individual or by one person. It is also simple legal form of business entity. In other words, the
identity about the owner which is coincides within the business entity. Along with this, the
business man of the entity is being fully liable for any liabilities that are incurred by the business.
Advantage of sole trader: Easy and inexpensive process, Tax advantage, Few government
regulation. Disadvantage: Unlimited liability of the owner, Limitation on capital raising,
Difficulty in obtaining funds.
Partnership company- A partnership is refers to personal arrangement of two or more for
managing and operating the business profits and their shares. This is also known as business
partners and agree to cooperate the advance with their mutual interests (Korchak, 2017).
Advantage of partnership business: more capital is available for developing business, there is
limited external obligation for running business and having greater borrowing capacity.
Disadvantage: in this liability of the partner that require for the debts of business which is
limited, each partner is agent of the partnership and there is also risk of disagreements among the
management and business partners.
Limited liability company- It is one of the most common legal entities for the business and all
partnership is generally being responsible for companies and which are being subjected to
unlimited liabilities for the business debts. Advantage of LLC: no restriction on the number of
members which are allowed, owner that are not personally responsible for business liabilities and
debts, pass through having taxation. Disadvantage: ownership which is typically harder to