Three Sectors in UK and Their Contribution to the Economy

This article discusses the three sectors in the UK economy - primary, secondary, and tertiary - and their contributions to the overall economy. It explores how each sector operates and their impact on GDP.

foundation academic skill
building

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
Legal structure framework ........................................................................................................3
Three sources of the finance to set up business..........................................................................7
TASK 2............................................................................................................................................8
Three different sectors in UK and their contribution to the economy......................................8
TASK 3..........................................................................................................................................10
Importance of polices on the modern workplace......................................................................10
CONCLSUION ............................................................................................................................12
REFERENCESS............................................................................................................................13

INTRODUCTION
Entrepreneurship s the process of setting up new business by taking the financial risk by
the individual. An entrepreneur come up with the new idea and innovation can help to satisfy the
needs and demand of the customers.
This report will cover the new online Retail Business plan “ Jay's Retail Fashion “ . This
report will discuss the five legal framework PLC, LTD, CIC, Registers Charity etc. including
their strength and their weakness. In another task it will analyze three different sector where
new online business can be operated and it will also identify two HR policies which are
Heath& shifty and equality and Diversity polices which can be adopted by the new business.
TASK 1
Legal structure framework
The most common forms of the business are their legal structure and it includes sole
proprietorship, partnership business, corporation and S corporation. Those structures are
followed by the companies as per their business type, their size, number of employees, partners
and individual etc. helps to decide the legal structure of the business (Cox and Nguyen., 2018).
It's totally depended on the business o choose their type Accept PLC companies because this is
owned by governmental bodies and more than 50 present shares are owned by the
government.
It is important for the Jay's Retail Fashion to chose on e of them to start their business.
They have to fulfill the legal structure. This legal forms have some strength and weakness which
will be discussed in a table.
Framework Description of
Framework with
examples
Strength Weakness
PLC A Public Limited
Company (PLC) is a
separate legal business
entity which offers its
shares to be traded on the
stock exchange for the
 Rising the
capital through
the public
issues of the
shares
 higher growth
 A high cost. A
plc is normally
a complex
thing to start a
business for the
normal person.

general public. According
to the regulations of the
corporate law, a PLC has
to compulsorily present its
financial stats and position
publicly to maintain
transparency.
and expansion
opportunities
 Plc companies
can use exit
strategies.
 Stakeholders
can buy and
sell their shares
 Company have
to share
financial l;
performance
and market
performance
publicly .
 This is
basically
owned by the
board pf
directors and
not always they
are present to
see the
company (Fahy
and et.al.,
2017).
LTD A limited company is the
type of corporation
liability of the
corporation's
shareholders. It is legal
company and the private
limed company has one or
owners, who buy it
through private sales,
directors are companies
employees who keep up
with the all administrative
task and Tax filings but
 The tax an
national
insurance
efficiency.
 Improved
reputation in
the sector and
credible.
 A limited
comp[any
offers limited
liability to the
business
 To setting up a
limited
company
owners have to
pay b fee
 Accounting in
the limited
company is
more complex
as compare to
the other legal
structure.

do not need to be
shareholders
owners.
 As the owners
of the limited
company. The
company's
director can
invest pre- tax
is into the
company
pension
schemes.
 Companies
have t provide
their
information to
the house
which include
every single
data and this
data can be
published by
the house and
it can be access
by anyone.
CIC A community interest
company which was
introduced by the UK
government. This kind of
structure is for the social
enterprises who want to
use their profits and assets
for the public welfare.
This is an easy set up with
the all certainty ad
flexibility of the company
form, but they have ton
ensure threat they are
using their profits for the
public welfare (Fahy and
et.al., 2019).
 A clear
commitment to
the social
goals.
 Limited
liability and
protection.
 Flexibility of
the limited
company
structure .
 Good
Reputation in
the market
 To apply this
structure
entrepreneur
have to fill
amount of
formalities
 Lack of Tax
breaks
available so
company have
to pay their
taxes
regularly.
Registered A registered Charity has  Support from  During the first

Charity only one purpose to serve
people. This is an non-
profitable organization
which collect the donation
and use it to helps people
and their welfare.
the people, and
government
 Able to help
people who
are poor or
having any
physical
disability.
 Social work
and helps to
improve
lifestyle of the
people
stage of
company
owner have to
spend their
own money
for the charity
purpose.
 Find people
who can donate
money for their
company, and
they can use it
for the charity.
 They have to
show the
evidence that
they are not
using money
for their
personal
benefits.
Partnership Partnership is most
comment Legal status in
which two or more than 2
people start business
together and share the
liability and profits
equally. They fill the
partnership form where
every kind of things
related to the partnership
 Partners can
start their
business with
strong financial
resources
because every
partner invest
in the business
equally.
 the liability of
the partners for
the debts of the
business is
unlimited.
 each partner is
'jointly and
severally' liable
for the
partnership's

written on the Legal
papers.
 Each partners
have to share
their losses and
profits equally
debts; that is,
each partner is
liable for their
share of the
partnership
debts as well as
being liable for
all the debts.
Jay's Retail Fashion is the privately owned company, and they will need money to start their
business, so they can use the PLC as a legal status for their business which will be useful for the
company to high amount of financial resources, and they can earn better revenue.
Three sources of the finance to set up business.
To Set up new business every entrepreneur need the capital and financial resources.
They have to find the proper sources of the financial which can be used by them so they can
invest in their business plan (Huxtable and Schaefer., 2016). To start the Jay's Retail Fashion
the owners of this new business will have to arrange capital from the sources. There are more
than 5 sources which can be used by the owner to start their business but the three sources
among them are most important- here are three sources of borrowing finds which can be used
by Jay's Retail Fashion's owner-
Family and friends
This is one of the most comment sources which can be used by the owners of the Jay's
Retail Fashion to arrange capital. They can take money from their family and their friends who
may can ready to give for the business start up and this is the easiest way to arrange the capital.
They can return them when their business started making profits. The strength of this sources is
that its easy to get capital from the family but the weakness- if they will fail in their business
then its hard for them to ask again for the another business plan.
Banks & financial institutes
This is also a common source which are used by the entrepreneur or the new business
to arrange the investment for their business startup. Financial institutes and banks provide
loans to the entrepreneur, so they can start their business. For the loans the owners of the

business have to pay interest on it. Jay's Retail Fashion can use this method to borrow money,
and they can start their business and pay their loan from the company profit. Weakness of
these sources is that its hard to set money from the banks and financial institutes, and they
also verify that the person who want to start business can pay their loan or not. If the
business man fail to pay loan then bank and institutions can charge high interest. Strength of
this sources is that good Civil score can provide higher amount of loan in less interest rats
which can be beneficial for the companies (Jones and Wilsdon., 2018).
Investors
This is mostly business by every organization ad small business who want to start their
business can also use this method. Owners of the Jay's Retail Fashion have to find the investor
who can invest in their plan and for that they have to give them some shares and profits from
their earning. There are many people who have money, but they do not have the business ideas
so owners of the Jay's Retail Fashion can find those people and start their business. Weakness
of these sources that its not that easy for the entrepreneur to find people who can invest in their
business and if they find someone then also they have to explain the plan and if they will feel
fine then only they will ready to invest in their business (Kandilov, Leblebicioğlu and
Petkova., 2017). Strength of these sources is that Jay's Retail Fashion can find people in their
local areas, and they can easily get people who have money but do not have idea, so they will
be easily ready to work with the Jay's Retail Fashion.
TASK 2
Three different sectors in UK and their contribution to the economy
There re three sectors in the economy which helps to maintain the economy of the
country and it has huge impact on the particular countries economy and helps to growth the
economy. Each sector is different from each other and provide wide range of products and
services. In the highly developed countries with the higher income , the tertiary sector
dominates the total output of the economy.
How each sector operate in UK
Primary sector
The primary sector is totally concerns with the raw materials and this sector harvest the
product from the earth and nature. This sector includes mining, agriculture, fishing, minerals
and forestry etc. In the UK market 3 percent of their labor forces is connected with the

agriculture production and the agriculture, mining and extractive industries give around 12
percent of their contribution to the GDP of the UK (Kandilov, Leblebicioğlu and Petkova.,
2017).
Secondary sector
Secondary sectors are the sector in which industries take raw material from the primary
sector and convert them into the finished good. This sector can include heavy manufacturing
like car manufacturing, light manufacturer, food processing, oil refining and energy
production. Top good which are produced in the UK are cars, most of the car companies have
set up in this country, and they also manufacture nuclear reactors which are used in the nuclear
power plant.
Tertiary sector
This is the sector where companies provide services, and they do not produce any kind
of good. They earn profit by providing services to their customers. Some of the best examples of
this sector are educational institutes, IT companies, Transportation, entertainment etc are part
of this industry, and they are having huge impact on the UK economy (Khan, Korac‐
Kakabadse, Skouloudis and Dimopoulos., 2019).
In a developed economy like the UK, the service sector is the biggest component of the
economy, comprising nearly 80% of GDP and a similar ratio of employment. In the US, the
service sector comprises 70% of the workforce.
Difference in each sector
Each sector primary, secondary and services sector is different from each other ad all
are having different process to run their business. Where primary sector companies harvest the
raw material from the nature and pass on to the secondary sectors. Products from the primary
sector are not ready to use but when raw material purchase by the secondary sector
( manufacturing sector ) they convert the raw material into the final goods. Here good are ready
to service directly to the customers. If we talk about services sector then its totally different
from the both primary and secondary sector. Primary and secondary are interlinked with each
other but the services sector work individually . Their product is their services , they provide
services to customers and for their services they take money from their customers. One of the
best examples of this sector is Hospitality where they provide services to the customers.
How each sector contribute to economy

Each sector has equal contribution to the economy because every country is depended
on the on sector because they take High taxes from them which helps to grow the countries'
economy. This is use for the development of the county and government spent money on the
welfare of the people and make the countries' infrastructure better. Each sector need employees
who can work for them which means people get employment from each sector. Growth in each
sector means increase in countries employment rates which is also a factor of the economy.
Government collected the money from each sector by taxes and make the schools and provide
education to the people which b is direct contribution to the economy. If a company from any of
sector is operating their business in the other country then they bring the another countries
currency in their own country which makes their own currency powerful (Kurpayanidi., 2018).
The Jay's retail fashion company come under the secondary sectors because they will both
manufacture products and provide services to the customers. Their business will also give
contribution to the economy of the country because they will provide jobs to the people, and
they will also have to pay taxes for each product services and selling.
TASK 3
Importance of polices on the modern workplace
HR department is one of the most important part of the company because they are
responsible to provide skillful workforce to the company who can work effectively and provide
companies goals and their objectives (Nikiforova., 2017). One of the most important role is to
make polices related to employees to make companies environment good.
HR department of the Jay's Retail Fashion company also should look for the Hr
polices ad thee are two most essential policies which can be made by their Hr department is
health and safety polices and Diversity polices, both polices are helpfully in the employee's
motivation, and they can create working environment for the employees and employees will
give their best to achieve companies goals and their objectives.
Health shifty polices
Health safety policies provide shifty and security to the employees whoa are working
for the Jay's Retail Fashion. Heath related polices can be related to the medical treatment and
life insurance of the employees, so they can work in company without any fear and ensuring
the employees shifty help to motivate employees, and they can do their work more effectively.
Diversity polices

The diverse policies are developed to promote thee equality at the workplace of the
company, A diversity and the inclusion within the law council for those of all the ages,
colors, ethics and sexual obligations etc (Orazulike., 2018).
Importance of Hr polices
Each and every organization need Hr policies just like society needs laws to create
order and comment understanding. It is useful for the firm to maintain environment at the
workplace of the company. Hr makes policies related to the employees and implement the laws
which provide employees rights in the company.
To run any company successfully, it is essential for the company to define the clear Hr
policies and their companies procedure which are in line with the countries labor war
(Pedrini., 2016). The policies are the proper guidelines used to make the road-map for the
company and it should be used as a guidelines to the decision making under the given set of
the circumstances with the framework of the objectives, management philosophies and goals
as determined by the senior management.
Legislation sport polices
Both the polices health and shifty and diversity workplace come under the list of
employment law of UK. Employment law is made for the employees shifty and it helps ton
provide their rights in the company.
Helath and sifty law
The basis of British health and safety law is the Health and Safety at Work etc Act 1974.
The Act sets out the general duties which employers have towards employees and members of
the public, and employees have to themselves and to each other. Like the Act, they apply to
every work activity.
Diversity law (Equality Act)
As per the equality Act 2010 the UK legislation places a duty of the employees on all
the sector companies to – eliminate the problems like harassment and the victimization from
their workplace (Scorringe., 2019). This law protects the labor from the workplace
discrimination and provide them equality in the company.
Developed for modern workplace
Jay's Retail Fashion is retailer company, and they will start their business online but
office and manufacturing deportment will be physical . To maintain the standard of their

business they will need to implement this polices so their employees can work effectively, and
they achieve success in their business. Hr policies are developed for the modern polices because
companies need to run their business properly, so they need proper guidelines which should be
followed by employees, and they can maintain discipline in their business.
Strength in new business
The Jay's Retail Fashion Business has some strengths which is skillful employees and
online business strategies which will help them to take competitive advantages in the workplace.
They are provide proper training to the employees and making polices to motivate them. This
will increase their production, and they will able to capture the online retie market. Jay's Retail
Fashion company's marketing team has good knowledge of the marketing, and they are having
proper strategies how they will advertise their product in the market (Yang, Cohen and Liniger.,
International Business Machines Corp, 2016).
CONCLSUION
As per the report will cover the new online Retail Business plan “ Jay's Retail Fashion “ .
This report has been discussed the five legal framework PLC, LTD, CIC, Registers Charity etc.
including their strength and their weakness. In another task it has been analyzed three different
sectors where new online business can be operated and it will also identify two HR policies
which are Heath& shifty and equality and Diversity polices which can be adopted by the new
business.

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