Business and the Business Environment: Industry Analysis Factsheets and Environmental Business Audit

This report discusses the different types of organizations in the industry, their legal structure, and stakeholder analysis. It also covers how internal departments work together to meet business objectives. The report includes a portfolio of industry analysis factsheets and environmental business audit for the Business and the Business Environment course under Pearson BTEC Higher National Diploma in Business Management.

Pearson BTEC Higher National Diploma in
Business Management
Unit 1 Business and the Business
Environment
Portfolio of Industry Analysis
Factsheets (Part 1)
Environmental Business Audit
Presentation (Part 2)
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ID:
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Table of Content
Part 1: Portfolio
1.0 An introduction to sub-sectors and the different types of
organisation in the industry, the market size and the growth of the
international business environment 3
2.0 A factsheet for a selected sub-sector sports company 3-6
2.1 Background details of the organisation 3
2.2 The products and services it offers 4
2.3 The size and scope of the organisation 4
2.4 Vision, mission and business objectives 4
2.5 The organisational and legal structure 5
2.6 Stakeholders’ analysis 6
3.0 An organisational functional structure flow chart 6
4.0 How internal departments, for example - finance, marketing,
work together to meet business objectives 7
5.0 Conclusions 7
References 8
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1.0 An introduction to sub-sectors and the different types
of organisation in the industry, the market size and the
growth of the international business environment
Business organisations operate their functions and activities in a dynamic environment that
affect how their perform their functions and accomplish their targets and aims of the business. A
business environment delineates a set of forces within and beyond a business that influences the
way it operates. It is a sum of entities, stakeholders and other vital internal and external factors that
delivers a significant influence on the productivity, growth, performance and even survival of an
organisation (Agustia, Muhammad and Permatasari, 2020). There are two types of forms of business
environment; macro and micro. Business entrepreneurs and managers exert huge impact over day
to day decisions as well as internal situations. Along with this, macro environment factors such as
political, social, economic and more creates numerous opportunities and threats to the business.
The following report covers the discussion upon several forms or organisations such as public,
private and voluntary. All such companies have different size and scope that influences the business
structure. It also covers vision, mission and different business objectives of the organisations with its
legal structure. The report also outlines the stakeholder analysis that helps in the decision-making
process as they can influence over the failure and success of the business. At last, it outlines the
inter-connection between different functional areas of the business.
2.0 A factsheet for a selected sub-sector sports
company
Organisation defines the term in which individuals works together and mututally for a
shared goals and objectives. It delineates as the group of person congregating at single place and put
their efforts and contribution to achieve the shared tasks. Hence, it coordinates different activities to
run the business effectively so that overall goals can be accomplished (Anser and et.al., 2020). It is
found that organisations are vary from their sizes, forms, scopes and legal structure. It also have
their own goals and objectives.
2.1 Background details of the organisation
◦ Public Organisation: These are such types of organisation which are not meant for profit
or revenue, encompassing those that support and sponsor society or tourism attraction
and activities. The public organization is generally comprised of companies that are
owned and operated by the government and present to offer services for its citizens.
One of the main examples in public company is UK Athletics (UKA). It is a governing
body for the athletics sports in UK. It is founded in 1999 with headquarters in
Birmingham, UK.
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◦ Private Organisation: It delineates as a part of the economy which is operated by
individuals and these organisations are meant for profits and is not state controlled.
There is no influence by the government. Private company tends to make up a bigger
amount of share of the economy in free market (Arokodare and Asikhia, 2020). These
type of companies can be non-federal body that is self-sustaining and established on
federal body by person that are not acting in a content of the federal government. When
these sort of companies are formed then only owners are accountable for the
companies. Smartech Retail Group Limited is a private sector company in UK. It is
established in London, UK. It is one of the part in other personal service industry as well.
It is an online retailer that merchandises sports, beauty, fitness and gaming products.
◦ Voluntary Organisation: A Voluntary group or organisation refers to a group of persons
who enter into an agreement, generally as volunteers to form an organisation to achieve
a particular objective. Trade Unions, Trade Associations, Learned societies,
environmental groups or professional associations are few examples. It is not dependent
upon local and national government and varies from private organisation. The key
agenda behind such type of organisation is to offer the service for the welfare of the
community and provide a significant impact rather that generating profit for the
business. Kent Sports comes under this category. It is a volunteer company which aims
to promote sports equipment around the world. It is headquartered in New London,
Ohio.
2.2 The products and services it offers
UK Athletics: The services it offers are overseeing the governance of athletics events and athletes
with their development in UK.
Smartech Retail Group: It provides beauty products, gaming and sports products and fitness
products through e-commerce platform.
Kent Sport: It involves products such as water sports robe, base layer, life jackets, rain wear and
more.
2.3 The size and scope of the organisation
UK Athletics: It is a public sector organization. It is mainly responsible for a huge
number of functions with the provision of world class performance atheltics such as
NI or GB internationals. (Bocken and Snihur , 2020).
Smartech Retail Group: With the use of world-wide platforms, this company offers
services and goods for attracting a sportsman with its good quality items.
Kent Sports: It provides it services and products throughout the world with great
availability of social and competitive sports.
2.4 Vision, mission and business objectives
UK Athletics:
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 Vision: To be known as the most trusted organisation throughout the world.
 Mission: To become the most served organization.
 Objectives: The main aim is to offer long-term benefits for the development
of athletes.
Smartech Retail Group:
 Vision: Its vision is to be the best and most explored company by getting
outstanding results for the customers.
 Mission: To encourage sports for converting a world of games.
 Objectives: The main goal is to offer an amazing, healthy experience in the
online stores.
Kent Sports:
 Vision: To specifies a simple way of company main purpose.
 Mission: To improve the company's name and offer clarity to potential
customers (Guercini and Milanesi, 2020).
 Objectives: The main agenda is to increase the participation in physical and
sports activity in order to improve the well-being and health of the citizens.
2.5 The organisational and legal structure
Public Organisation:
Legal Structure:
 State government: It focuses on the work which is done under the limit of
specific state of a country.
 Central Government: It encompasses that legal work in which government is
answerable in the country.
 Local government: It comprises local and municipal governments.
Organisational structure: UK athletics uses a pyramid structure with an intent to
showcase the progressively hard skills that manager require in present scenario.
Private Organisation:
Legal Structure:
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 Partnership: It relates to a mutual agreement between two or more persons
with a goal to share pre-determined profits and losses in the company.
 Sole proprietorship: It is owned by single person only and has unlimited
liabilities and debts.
 Companies: It has distinct legal entity which intends an association of person
whether it is natural or legal or having a mixture of both (Gupta, Mejia and
Kajikawa, 2019). It has particular goal to accomplished with limited liabilities.
Organisational structure: It opts for that structure which focuses on three domains,
store operations, centralised operations and regional operations.
Volunteer Company:
Legal Structure:
 Trust: It acts as a non-profit organisation in which trustees hold the
responsibilities for all the actions. It is formed to manage finances and
property for some good objectives.
 Unincorporated association: This is best appropriate for those who have
short-term aspirations and low earning. Also, they do not want to employ
workers and occupied properties.
Organisational structure: It can operate their business with particular rules and
regulations.
2.6 Stakeholders’ analysis
Private Organisation: Supports, members, athletes, customers.
Public Organisation: Employees, suppliers, NGO's, consumers, investors and
many more.
Volunteer Organization: Government, shareholders and trustees.
3.0 An organisational functional structure flow chart
A functional organisational structure denotes a traditional business structure.
It delineates the C-suite at the top which is followed by superiors, middle managers
and many more. This structure is categorized into traditional departments such as
finance, IT, marketing or Human Resources based on the everyone's functional role
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in the business (Lozano, 2018). Companies which uses this type of organisational
structure, workers with similar skillets and expertise are grouped together.
4.0 How internal departments, for example - finance,
marketing, work together to meet business objectives
The inter-relationship between different functions in the business are crucial to
success of a firm. Each functions and departments of company, requires to
acknowledge the influence of activities that can have on the other sections in the
business (Marks-Bielska and Serocka, 2018). Underneath is the discussion on
different functional areas are inter-connect with each other:
Finance and marketing: Both functional areas plays an important role in the
business. Finance department provides budget to perform the activities, plan for the
short-term and long-term business needs and examine the influences that borrowing
will have on the financial well-being of the company. Marketing department overlooks
the activities such as promotion, determination how the products and services will be
distributed, creating competitive strategy to capture the market share and stays
competitive (Manni and Faccia, 2020). When a company intends to make an
effective marketing plan for their business then there is a need of budget to do the
activities. Finance domain undertakes the functions to offer adequate budget and
keep eye on the cost and profit margins of the items. When the budget is provided, it
is essential to perform activities within the certain budget.
Human Resources and customer service: As the human resource
department act as a backbone of any organisation, it basically works for the well-
being of their employees, HR executives are responsible for hiring the right talent to
the vacant job positions. While customers service department is responsible to
resolve the customer's queries and their issue with right solutions. HR department
provides right training and development sessions to the customer service
representatives so that they can do their work and communicate well with the
customers.
5.0 Conclusions
From the above report, it is concluded that business environment is dynamic
in nature. Organisations can be affected by both internal and external factors that
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needs to determined. There are different types of organisations such as public,
private and legal structure. All such types of businesses have their own purpose,
legal structure and organisational structure. Organisation is consist with different
functional areas such as finance, marketing and more. They have a significant inter-
relationship which influences the overall performance of the business.
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References
Agustia, D., Muhammad, N.P.A. and Permatasari, Y., 2020. Earnings management, business strategy,
and bankruptcy risk: evidence from Indonesia. Heliyon. 6(2). p.e03317.
Anser, M.K. and et.al., 2020. Towards strategic business performance of the hospitality sector: Nexus
of ICT, E-marketing and organizational readiness. Sustainability. 12(4). p.1346.
Arokodare, M.A. and Asikhia, O.U., 2020. Strategic agility: Achieving superior organizational
performance through strategic foresight. Global Journal of Management and Business
Research. 20(3). pp.7-16.
Bocken, N. and Snihur, Y., 2020. Lean Startup and the business model: Experimenting for novelty and
impact. Long Range Planning. 53(4). p.101953.
Guercini, S. and Milanesi, M., 2020. Heuristics in international business: a systematic literature
review and directions for future research. Journal of International Management. 26(4).
p.100782.
Gupta, R., Mejia, C. and Kajikawa, Y., 2019. Business, innovation and digital ecosystems landscape
survey and knowledge cross sharing. Technological Forecasting and Social Change. 147.
pp.100-109.
Lozano, R., 2018. Sustainable business models: Providing a more holistic perspective. Business
Strategy and the Environment. 27(8). pp.1159-1166.
Manni, F. and Faccia, A., 2020. The business going concern: financial return and social expectations.
In Sustainable Development and Social Responsibility—Volume 1 (pp. 201-213). Springer,
Cham.
Marks-Bielska, R. and Serocka, I., 2018. THE IMPACT OF WARMIA AND MASURIA LOCAL
AUTHORITIES ON ENTREPRENEURSHIP DEVELOPMENT IN THE BUSINESS LOCATION
FACTORS CONTEXT. Folia Oeconomica Stetinensia. 18(1).
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Table of Content
Part 2: Presentation
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Speaker Notes:
It is known as the official supplier and supporter of the various association teams, players and more.
It is a public limited company which is founded in 1981 (Moşteanu and Roxana, 2020)
2019)(Shams, R. and et.al., 2021). This presentation outlines an analysis on the internal
and external factors that affects the business.
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Speaker Notes:
Technological factors: From producing until distributing the items, JD Sports is required to
examine the need of technological factors involved. It is necessary for the brand to go for the latest
technologies and equipments within the business that improves their sales level and productivity
level.
 Positive impact: By adopting latest technologies, the company can gets the benefits of
making and distributing goods easily. They can also communicate well with their customers
which helps to improve brand loyalty.
 Negative impact: It is a need that firm must focus on the latest technologies on regular basis
that can help in generating new feature to their websites (Slagmulder and Devoldere,
2018). If the company is using outdated technologies then it cannot compete in the market
while using latest technologies needs high investment.
Environmental factors: As it is a sports and fashion retailer, the company has to look into
environmental determinants in all its market. It involves factors such as awareness of waste
management, climate change, weather pollution and more.
 Positive impact: If the company focusing on the carbon emission and combustion laws then
they can function their business smoothly.
 Negative impact: If the chosen company do not follow the laws related with environment
protection then it may lose its potential customers and loss of goodwill as well.
Legal factor: In order survive in the various markets, the firm is required to abide different
laws to different markets. It may cover labour law, employment law, copyrights and many more. By
following such rules and laws, it my foster the growth of the business.
 Positive impact: By following and abiding legislations may create a good image in the market
that will also build trust among customers that company working under fair practices.
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 Negative impact: Somehow, if the company is not following laws where it operates their
business and does not provide the adequate amount of salary to the labour, employees can
sue to the company for their unfair practices.
Speaker Notes:
Faithful suppliers: JD Sports gets its raw materials for the production process on time and
suppliers are very punctual and faithful that plays an vital in the success of the company.
Market exploration: JD Sports performs very well in exploring new markets and achieves a
great success as well. It has lead to a greater strength to the business and expansion concern is also
achieved.
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Speaker Notes:
New markets: Through government, signing trade agreements with other
economies can be a great opportunity for the firm to exploiting new emerging
markets.
Youth Trend: The present youth trend is following fashion and fitness is progressive
day by day. Hence, the company has a chance to capitalise on such trend ( Yuen And
et.al., 2019).
Threats of JD Sports:
Different market different laws: The developing economies have varied labour
laws so JD Sports has to be primed always to face various claims from various
markets.
Changing political environment: Changing political condition with China and US
trade war, Brexit also affecting EU, entire imbalance in the middle east can influence
the company both in domestic and global market.
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Speaker Notes:
By exploring growth opportunities for the business may result in the high profitability
margins and achieves a great success in different markets as well (Tseng and Yeh,2019). If the
company do not combat with their threats, then, it may affect their brand value and growth can be
stuck in other markets.
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