Purposes of Business Environment - Marks & Spencer

BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different types and purposes of organisations.......................................................................1
P2 Size and scope of a range of different types of organisations................................................4
TASK 2............................................................................................................................................6
P3 Relationship between different organisational functions.......................................................6
TASK 3............................................................................................................................................7
P4 Positive and negative impacts macro environment has upon business operations................7
TASK 4............................................................................................................................................9
P5 Internal and external analysis of specific organisations........................................................9
P6 Strengths and weaknesses interrelate with external macro factors......................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
.......................................................................................................................................................12

INTRODUCTION
Business environment refers to external and internal environment which impacts
functions of an organisation involving consumers, employees, demand and supply, management
and also regulations of business. Internal factors are related to inside of company that impact on
business like for an instance organisational structure, management structure and organisational
culture (Bagtasos, 2011). On the other hand, in external factors involve political, social,
economic, technological and environment. This present report is based on Marks & Spencer
organisation. It deals in retail sectors and provides home items, beauty products, clothing etc.
Under this mention report discuss about relationship among various organisational functions.
External and internal analysis of particular organisation to determine strengths and weakness will
be discuss in this. There is mention about weaknesses and strengths interrelate with external
macro factors.
TASK 1
P1 Different types and purposes of organisations
Under this, there are various kinds of organisations are working in an environment. These
are private voluntary and public (Cantwell, Dunning and Lundan, 2010). The aims and legal
structures of all companies are different from the each other. Difference among profit, not for
profit and non governmental organisation given below:
Basis Private Public Non- governmental
organisation
Meaning These organisations
are run as well as
controlled through
private organisations
as well as individuals.
These are not
controlled through
government.
These firms are under
control of central,
local and state
government. These are
funded through
government.
Resources from Customers Citizens Donors, funders
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Example Marks & Spencer UNICEF Bank of England
At market place, there are different size of organisation like micro, small and medium to
run their business in order to generate income and increase profit. Various size companies
mention below:
Micro sized enterprises- Under this, there is one owner with up to five staff members
consisting owners (Cheng and et. al., 2012). These businesses are modifying wealth creation, life
quality and dynamic of income. Annual turnover of this company is less that €2 million.
Small size enterprise- Under this, less than 50 staff members are working and its annual
turnover is not more than €10 million. These firms work on provide employment opportunities to
local people.
Medium-sized enterprise- In this type of firm, minimum 250 employees are working
with an annual turnover is less than €50 million.
Along with them, the purpose and legal structure of every sector is different from the each other.
Legal structure and objectives of private, public and voluntary sector given below as above:
Private sector- It is a necessary part of an economy that run through organisations and
persons for the purpose of earn profit (Child and Möllerin, 2013). It is not controlled through
government and employees workforce in some cities and countries. Marks & Spencer is private
firm and its size is large. Products which are supplied through this company are home items,
foods products and clothing.
Purposes:
 Marks & Spencer objective is to regain its leadership in food and clothing.
 Its focus on provide great expedience to customers so that they can loyal towards
firm.
 Its purpose to serve as general store that provides services for middle to the lower-
upper class.
Legal structure:
Partnership- It refers to an agreement among two or more than two people in order to
conduct business together by sharing profit, investment, authorities etc. Their aim is to achieve
common goal of firm.
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