Different Types of Companies and Their Impact on Business Performance

Individual Report

Table of Contents
Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Section 1...........................................................................................................................................1
Definition and characteristics of micro, small, medium and large size business...................1
Section 2...........................................................................................................................................3
Definition, characteristics of sole trader business, partnership, limited liability business,
public limited liability business and Cooperative..................................................................3
Section 3...........................................................................................................................................4
Identify different organisational structures and explain how organisational structure affects
business productivity..............................................................................................................4
Explain how different external factors affect the performance of a business........................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
There are different types of companies that get differentiated on the basis of different legal
entities and formalities along with this working behaviour and its standards also get changes
accordingly. The working standards and functions make them different from each other and. In
addition there are different factors such as internal and external factors that have directly impact
over the productivity and productiveness of business (Schaltegger and Burritt, 2018). The
following report is based on Marks and Spencer that is British multinational retailer and
specialised in home products, food products and household with having headquartered in
London, England, UK. The report below comprise of different types of companies and their
working as per consideration of business structure and impact of external factors that has direct
impact over performance and productivity of business.
MAIN BODY
Section 1
Definition and characteristics of micro, small, medium and large size business.
Micro business
Micro business is small business or company they have minimum or less employees or 1 to 9
employees in organization, they have turnover of organization is less than fixed amount.
Internationally most of the micro organization is family business they have one or two people for
run the business.
Characteristics: The revenue of micro business is lower than the large business. They
have small group of employees as compare the large scale organizations. Micro business mostly
runs by individuals or small groups. Micro business favours to arrange as an association, sole
proprietorships and restricted liability organization (Neumeyer and Santos, 2018). They have
better control on business; they require less cost of company registration and have less difficulty.
Micro business have restricted area for sales, they don't have different outlets in different states
or countries. Example: Boss Brewing Company, the founder of this company is Sarah John.
Founder created this company with her partner Roy Alkin to change image about women in
business world. This company associated with UK's largest clubs and their turnover growth is
248% from past three years.
Small business
1