Business & the Business Environment

Business & the Business
Environment

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Kinds and aim of private, voluntary and public organisation with legal structures...............3
P2 Determine the size and scope of different types of organisation............................................5
TASK 2 ...........................................................................................................................................6
P3 Discuss the connection between various organisational functions and connect them with
objectives and structure................................................................................................................6
TASK 3............................................................................................................................................7
P4 Determine the positive as well as negative impact the macro environment using examples. 7
TASK 4............................................................................................................................................9
P5 Assess the internal as well as external analysis of the company to understand the weakness
and strength..................................................................................................................................9
P6 Determine the strength and weakness interrelates with external factors..............................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business environment refers to sum of external as well as internal sources such as
customers, government, competitors, management and suppliers which manage and control the
business performance and growth of company (Aithal, 2016). Thus, these affect the overall
performance of an organisation. Business environment helps to recognize the opportunities for
the enterprise success, identify the weakness and threat to solve them in advance, business
requires many resources such as inventory, plant and machinery and finance which improves the
business activities as it increase the organisational productivity. This report includes River Island
which is private company in London, UK. This promote products in fashion, textiles and
clothing. Bernard Lewis along along with his brothers founded this company in year 1948. This
report covers the types of organisation such as voluntary, private and public with legal structure,
size and scope, connection between function of organisation with objectives as well as structure,
negative and positive impact of macro environment, external and internal factors to understand
weakness and strength.
TASK 1
P1 Kinds and aim of private, voluntary and public organisation with legal structures.
Definition of sole trader, partnership, public, private and voluntary:
Sole trader: It refers to those individual person who owns and manage business profit
and liable for his own losses. Example of sole proprietorship are tea stall, barbershop and general
store. It is simple to organize and form business as it is managed by single person.
Partnership: It signifies the relationship of two or more parties to run their business
activities and contribute profit and losses among the partners. It is easy as the cost to start the
business is contributed in the partners which helps them to spend more capital (Akhmetshin and
et.al., 2017). For example, GoPro & Red Bull, BMW & Louis Vuitton and Bonne Belle & Dr.
Pepper.
Public: This is the organisation who is owned by government which runs for public
services. For example, British Council is public company which is founded by British
government in London, United Kingdom. This company offer their product and services such as
international culture and language education. It is the corporation which is governed by Royal
Charter.

Mission: It is to build trust and generate opportunities for the persons of United
Kingdom.
Vision: Vision of British council is that it depends on individual citizens to work and live
cooperatively on the base of trust and respect (Barr and et.al., 2018).
Objectives: To create international educational opportunities for the individual in the UK
which help them to build confidence and trust among the person.
Legal structure: It includes central, state and local government in public sector.
However, British Council follows public corporations which help people cultural as well as
education.
Private: It is defined as those company which is privately owned. These company follow
rules and regulation of government. Such as River Island is a private enterprise in Bernard Lewis
in UK. This organisation sell high street fashion brand such as women's and men's clothing as
well as in footwear in London.
Mission: To offer new look and fashionable clothing to the customers.
Vision: The vision of River Island is to innovate new product with latest design and
technology to consumers.
Objectives: The main aim of River Island is to innovate new fashion products to satisfy
the needs the needs and wants of customers which increase the profitability of company.
Legal structure: It consists of sole trader, partnership, cooperatives and limited company
in private sector which grow their business effectively. River Island is a limited company legal
structure which gives different style of clothing at nominal prices.
Voluntary: This is the organisation which is not-for profit enterprise and have motive to
create social impact not to make profit in business (Čepel and et.al., 2018). Such as charitable
trust, foundation and non profit corporation. Save the children is an International NGO in
England which operates in health care, natural disasters and education.
Mission: To motivate them to treat and protect children to change their lives.
Vision: Save the children helps every child to survive, safe and the development of the
children.
Objectives: NGO company motives is to improve the heath, education and protect the
lives of children.