How Business Operate

This presentation provides an overview of how businesses operate, including the different types of organizations, structures within businesses, impact of economic environment, customer service, and customer profiling on business success.

HOW BUSINESS OPERATE
Task 1 and 5
Task 1

Table of Content
• Introduction
• Different Types Of Public And Private Organizations
• Different Structures Within Businesses And Reason For
Variation
• Impact Of Local And Global Economic Environment On
Selected Business
• Impact Of Customer Service On Business Success
• Benefits Of Customer Profiling To Business
• Conclusion
• References

Introduction
Business environment can be described as combination
of internal and external factors which impacts on various
kinds tasks or procedures of an organization. It is necessary
to observe, analyze and evaluate these elements before
operates any business. Motive of any company is to gain
better productivity as well as profitability of company.

Different Types Of Public And Private
Organizations
Public sector :- The companies which includes in public sector are owned and
run by central government. Appointment of chairpersons and board of
directors for conducting different activities or procedures on behalf of
government authorities. Usually these public organisations are build to
render necessary product or services to complete desires of people by
giving employment to citizens in such organisations. Some of examples of
public sector companies are like TESCO plc and Burberry group plc.

Cont..
Private sector :- There are different types of companies which are owned and
run by private individuals to fulfil their desired targets or objectives. These
may includes several types such as mergers, acquisitions, franchising,
partnerships, sole traders. Examples are Sainsbury and Thomas Cook.

Different Structures Within Businesses And
Reason For Variation
Horizontal structures :- This can be described as to maintain conversation
between employees working in different departments on same level for
better cooperation or coordination to perform their task properly.
Vertical structure :- It states the structure which facilitates communication
from lower levelled workers to higher authorities into with sequence.
Regular reporting should be done about performance top maintain records
and conveying progress of company to top level management

Structure of private organisation
Partnerships :- This can be defined to work with two or more individuals who
works as business partners with sharing various activities and processes
and profits gained by whole productivity as well as profitability of company.
Sole Trader :- This kind of firm refers to those small enterprises which owned
and run by single person who work their and manage each and very aspect
by their own along gaining whole profits that achieved.

Impact Of Local And Global Economic
Environment On Selected Business
There are various kinds of factors which impacts on business organisations.
Economic environment is relevant to several elements such as wages of
labours, cost of production, price of raw material or machinery utilised in
manufacturing many more.
Local government made their rules and norms which effects the
manufacturing of and other aspects of company established in particular
area. It is mandatory for firm to follow regulations of legal authorities to run
their business in proper manner. Stability of economy helps Mark &
Spencer to conduct several tasks in appropriate way to create desired
outcomes.

Impact Of Customer Service On Business
Success
Customer service is an essential aspect which should be done in appropriate
manner to get better outcomes in company. If Mark & Spencer render
satisfactory products or services then it is possible to increase number of
sales and profits of an organisation. This will facilitates to attract new
customers along with retaining current ones to improve productivity as well
as profitability of an enterprise. Companies can increase brand image in
front of clients to grab more market share and build strong position amongst
competitors.

Benefits Of Customer Profiling To Business
Customer profiling can be described as to manufacturing products or services
to for people as per their standards to fulfil their desires. It provides support
to gain more number of customers including people from different types of
standards. Companies become able to render an appropriate service to
target customer for achieving their satisfaction. This will helps in making
strong bond with citizens as they can make them loyal to brand.

Conclusion
The above report had concluded that Business environment can be described
as combination of internal and external factors which impacts on various
kinds tasks or procedures of an organization. There are different types of
private and public organizations which has their own specific goals and
targets as per their criteria of operating business for generating desired
outcomes.

References
Shenkar, O., Luo, Y. and Chi, T., 2014. International business. Routledge.
Storey, D.J., 2016. Understanding the small business sector. Routledge.
Ward, J., 2016. Keeping the family business healthy: How to plan for continuing
growth, profitability, and family leadership. Springer.

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