Explaining Types and Purposes of Organizations

Business and Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1 .................................................................................................................................................1
P1 Explaining several type or purpose of organization; private, public and voluntary sector or
the legal structure-..................................................................................................................1
P2Explaining scope and size of various type of organization-...............................................3
LO2..................................................................................................................................................5
P3 Explaining relationship among various organizational function and how they are link to the
organizational structure and objective-..................................................................................5
LO3..................................................................................................................................................6
P4 Identifying negative and positive impact macro environment on the operation of business-
................................................................................................................................................6
LO4 .................................................................................................................................................8
P5 Conducting external and internal analysis of particular organization for identifying its
strength and weakness-...........................................................................................................8
P6 Stating strength and weakness interrelation with the external macro factor-...................9
CONCLUSION..............................................................................................................................10
REFRENCES.................................................................................................................................11

INTRODUCTION
Business and the business environment plays an essential role in growth and
development of any organization.
TESCO is biggest super market chain in the whole UK. It had huge market share across
the supermarket sector. The above report includes the stating several type, size and the scope of
organization. Demonstrating interrelationship of several function across the company or how
they are link to structure of organization. Report further carried froward with the demonstration
of negative and positive impacts macro environment on business operations. The report ends
with determination ODF strength and weakness of particular business and stating relationship
with macro-environment factor.
LO1
P1 Explaining several type or purpose of organization; private, public and voluntary sector or the
legal structure-
There are different type of companies that are private, public and voluntary who had the
own vision, objectives and missions. These are described below-
Private Sector Organization-
Private company is partnership, corporation, individual or agencies which is not run by
any national body. This includes all business which are for the profit which are not operated and
owned by government. For example- TESCO, Sainsbury etc.,
Purpose
The purpose of TESCO is for creating value to the consumer for earning their loyalty
lifetime. They provide huge range of goods and services from household products, grocery and
clothing etc.,
Objective
The main objective of this company is to produce new product and service and improve
the existing one. By which they can fully satisfy their consumer and gain creates a brand loyalty
among consumers (Petrescu and Petrescu-Mag, 2016).
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Type of private sector organization
Partnership:
Partnership is done when two of the individual agreed to sharer profit equally in the
business through partnership deed. Along with profit all the partner are responsible for risk as
well as profit in the business.
 Joint Stock Company:
It is kind of private sector organization which is owned jointly by shareholder. Certain
amount of stock has been purchased by these shareholders that better-known as share. This
company have separate legal entities.
Legal structure
TESCO's legal structure is that they deal with quality of the product and service. For
performing function or activity of company effectively, department that is finance, HR and some
other which can contribute for gaining goal and objective of company.
Public Sector Organization-
Public sector organization are those which are operated and owned by government body
and exist for providing services to the citizens. These are the part of economy which is
composed of public enterprise and services. For example- BBC
Purpose
The major function of BBC to offers broadcasting service to the customer around world.
They also try to satisfy their consumer and making great experiences for them.
Objective
The objective of company is to building sustainable, consistent along with profitable
business. They make surety for meeting need and demand of the shareholder.
Type of Private Sector Organization
 Government Company:
This type of organizations are wholly or partially owned by state or central government.
The main advantage of this government organization is that it can be easily constituted than the
public sector company.
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