Different Types of Businesses, Organisational Structures, Functions of Business and Organisational Culture

Individual Written
Essay

Table of Contents
INTRODUCTION ..........................................................................................................................4
MAIN BODY...................................................................................................................................4
Explain about different types of businesses with certain advantages and disadvantages as well
.....................................................................................................................................................4
Contrast and compare organisational structures ........................................................................6
Discuss different functions of business such as production, human resource management,
operations etc and impact of functional management activities on the people and organisation
within the organisation ...............................................................................................................8
Explain about organisational culture and describe in which manner positive culture impacts on
the success of organisation .........................................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Business refers to an organisation or enterprising entity which is engaged in industrial,
commercial or professional activities. Businesses are basically for non-profit or profit entities
organisations. Businesses plays a very important role in terms of society and culture in the
general manner. They not only take up most of the time in the most people lives but they also
support in terms of creating innovations and also make important advancements at technological
level(Al-Weshah.,2019). The present report will cover discussion about advantages and
disadvantages of different types of businesses and also compare the organisational structures. In
addition to this, the report will cover analysis about different business functions such as
production, operation and human resource management. Moreover the report will cover analysis
about the organisational culture and in which manner positive culture impacts the success of an
organisation. The report also consist of examples of industry practice from different
organisations.
MAIN BODY
Explain about different types of businesses with certain advantages and disadvantages as well
There are different types of businesses and it is defined into the following manner:
Sole trader: A sole trader is also known as individual entrepreneurship and it is a type of
business which is run and owned by one person where there is no legal distinction between the
business entity and the owner as well. Example of sole trader which include small businesses
such as local grocery store, cloth store
Advantages:
 A sole proprietorship is a type of business which does not have specific registration
requirements and does not have the legal entity which is used by the business.
 A proprietorship is that firm which is not registered with any government entity so the
compliance requirements are very minimal(Aoki and et.al.,2021).
 It is basically easy to operate as the individual person will be the sole decision maker and
also does not consider the plethora of opinions.
Disadvantages:

 The proprietor has to meet out the liabilities at any cost which basically implies that if the
need occurs, their personal assets may have to be used for discharging the liabilities.
 The sole proprietor cannot indulge themselves in the sale of business shares or interest
that deprives the entity from the receipt of any kind of equity funding.
 These firms are basically taxed which is similar to an individual, so the income tax rate
for proprietorship firm is based on the slabs.
Partnership: A partnership is basically the kind of arrangement where parties known as
business partners which agree to cooperate to advance their mutual interests(Buja and
Berbatovci.,2018). Partnership examples can be Red Bull and GoPro
Advantages:
 It basically bridges the gap in between the knowledge and expertise.
 A partner who is prospective who can bring the infusion of cash into the business.
 Business partners also allows to share the financial burden for capital expenditures and
expenses which is required to run the business.
Disadvantages:
 A partnership is also responsible for sharing any kind of business losses and also
responsible for any kind of debts.
 Conflicts can arise in the case of differences of opinion or unequal efforts as well into the
business
 When future circumstances change then individual and its partner wish to sell the
business. This also present some of the difficulties if one of partner is not interested in
selling.
Limited Company: This is a kind of incorporation which limits the amount of liability
that is undertaken by the shareholders of company(Kraśnicka., 2021). Example of Limited
company: Flipkart
Advantages:
 Formation of the own company is basically the limited liability protection
 The image and professional status get enhanced when they start trading as a limited
company.