Types of Business Organization and Impact of Environment in Business

This presentation discusses the different types of business organizations, including private sectors, public sectors, sole traders, private limited companies, limited liability partnerships, and public limited companies. It also explores the impact of the environment on business organizations, including the local, national, global, and economic environments. Additionally, it covers the importance of customer service on business success and the benefits of customer profiling. Overall, this presentation provides valuable insights into the key factors that contribute to the success of a business.

How to operate
business
TASK 1 & TASK 5

1.1 Types of business organization
• Private sectors are part of economy that excise direct control over business. This
firm has unlimited liability. Business man alone enjoy all profit and loss or
organisation. They are responsible for every activity of organisation. Partnership
is one of example of private sector organisation.
• Public sectors are own and controlled by public. This company has shareholder,
and they appoint director of company. This firm has limited liability. Liabilities
of shareholders are up to extent of amount paid by them. Public can easily trade
in share of this company. London Stock exchange is the example of this sector.
This oldest company in United Kingdom

1.2 Different types of business structures in
UK
• Sole traders: they alone operate and manage business. They are responsible for loss
and profit of business. They have powers to take all business decisions of firm.
• Private limited company : this company has limited liability. Shareholder liability
are limited up to amount they have invested in shares.
• Limited liability partnership: this is similar to traditional type of partnership. Profits
are distributed between the partners. This work according to rules and regulation.
• Public limited company : in this company shareholders have liability limited up to
amount of shares they have purchased.

Impact of environment in business
organisation

Types of business organization

1.3 Impact of environment in business
organization
• John liview is a multinational company, it deals with clothing. They deal with buying and selling of clothes.
There are different environmental factors that affect business some of them are as follows.
• Local environment : this deals with demographical factors and systems. This environmental factor is
uncontrollable as it deals with change in demographical system. Local sites if this company are affected by
this factors
• national environment : changes in environment take place constantly. John liview study environment and
make different strategies to deal with threats of company.
• Global environment : it deals with changes that take place in our planet. The company should take
initiative for sustainable development. This will help company to deal with changes.
• Economic environment : this consist of changes that take place due to economy of country. Changes
always take place in UK economy. JL Company in advance make provisions regard these change.

TASK 5
5.1 Impact of customer service on business success
• Customer’s services improve image of company in front customers. This is
helpful to new as well as existing firms. This help to create trust of customers.
Best customers services will help to increase loyalty of customers toward
product. People will generally not shift brand if company provide customers
services. Problems arising in product will be solve this will motivate
customers to buy more of that product. Businesses is done to satisfy
customers need. If a company has poor customer service, this will reduce sale
of their products. Invite customers to give feedback of your services.
Customer services capture world, it is made available to all corners of world.

5.2 Benefits of customer profiling
• Better communication: if customers are grouped according to their interest, this will help to communicate
them with large people in short time
• Greater opportunities: as product will satisfy all customers requirement, this will create opportunity for
businesses to grow and develop. This will produce goods and services according to the demand of
customers,
• Reduces competition : customers satisfaction is key element for every business. This help to build strong
relation with customers. Competitors will lack in communication with customers.
• Increase profit : this is very economic process. It will reduce cost of operation and will result in increase of
firm profit.
• Bringing more customers : if customers’ demands are satisfied, this will create positive image of company.
Better image of business will influence customers to buy that product.

Conclusions
This project conclude that there are different type of organization in businesses
environment. Company of UK follow different type of organizational structure.
There are national, global, local and economic environment that has great
impact on businesses. Accounting is very important for businesses. Law has
made mandatory for companies to create financial accounts. These reports are
used to analyze profit of firm. Humans are asset of organization, management
of this resources is done by HR. workers perform every activity of firm. Laws
are passed to protect rights of workers. It is mandatory to follow rules mention
in law. There are different teams in organization.

REFERENCES
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• Aldrich, H. and Herker, D., 2017. Boundary spanning roles and organization structure. Academy
of management review, 2(2), pp.217-230.
• Tapscott, D. and Caston, A., 2013. Paradigm Shift: The New Promise of Information
Technology. McGraw Hill, Inc., Professional Book Group, 11 West 19th Street, New York, NY
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Thank You