Types of Business, Organizational Structure, and External Factors: A Case Study of H&M

Individual report

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK1.............................................................................................................................................1
Types of business with comparison............................................................................................1
TASK2.............................................................................................................................................3
Different types of companies......................................................................................................3
TASK3.............................................................................................................................................4
Types of business structure.........................................................................................................4
TASK4.............................................................................................................................................6
P4: Influence of external factors on H&M..................................................................................6
CONCLUSION ..............................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business is refers as the enterprising entity or organisation, firm that involved in
professional, commercial and industrial activities for achievement of profit or non-profit firms
whose main motive is to serve society and solve social problems.
Business environment is defined as the combination of micro and macro factors that
impacts and influence operating & functioning of company (Business Environment Definition,
2020).
H&M is Sweden based multinational clothing retailer that deals in products such as-
clothing for men & women, children & teenagers. It is developed in 1947 by Stefan Persson with
its headquarter in Stockholm, Sweden. It has 171,000 employees and operates in 74 counties
with over 5000 stores.
In this report comparison between different types of business are considered with
characteristics and relevant examples. Further, differentiation between features, meaning of
several types of companies with considering suitable examples are discussed. In addition internal
and external factors on business are explained within the report.
MAIN BODY
TASK1
Types of business with comparison.
Micro business
Definition:- It is defined as the business that have one owner and 1 to 9 employees &
staff (Akhtar and Sushil, 2018). The annual revenue in micro business should be less than
$25,000. thus, a micro business is one who selecting formal business & legal structures such as-
LLC, corporation, partnership etc.
Characteristics:- The major fractures and characteristics of micro business are includes
higher shares in profit, less requirement of finance for monitoring and controlling of limited
employees.
Examples:- Caster Hill Fire Protection Ltd is based example of micro business in UK, it
develop fire protection goods and products with 145% growth turnover in last three years and
based in Issoria. Another example is WriteUpp with 209% turnover and dealing in healthcare
practices.
1