Business Environment Analysis: Morrisons vs. Iceland

This assignment analyzes the contrasting business environments faced by private supermarkets, Morrisons and Iceland, compared to fully government-managed entities within the European system. It delves into the unique challenges private businesses encounter and explores various stakeholder categories – primary, secondary, and key – that influence organizational performance both positively and negatively.

Business

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
PART A...........................................................................................................................................1
Comparison between Morrisons Supermarket PLC (Public) and Iceland Supermarket (Private)
................................................................................................................................................1
PART B............................................................................................................................................3
Identification of stakeholders which create impact on Morrisons Public Retail supermarket3
CONCLUSION................................................................................................................................4
REFERENCES ...............................................................................................................................5

INTRODUCTION
The business organisation refers to that economic system which concerned with the
exchange of goods and services for monetary purposes. An organisation can be owned privately
comes under private business sector or it can be owned by government with the aim of non profit
organisation. The above assignment provide the differentiation between the private sectors and
public sectors. In this assignment include comparison between two famous retail sector
companies, Morrisons Supermarket PLC (Public Sector) another is private sector named Iceland
Supermarket (Private Sector).
PART A
Comparison between Morrisons Supermarket PLC (Public) and Iceland Supermarket (Private)
On the basis of report, the comparison between both well established private and public
retail sectors.
Basis Morrisons Supermarket PLC
(Public Sector)
Iceland Supermarket (Private
Sector)
Nature and Purpose
This Morrisons firm is the fourth
largest public enterprise in U. K
for glossary market. Its specific
strategy is to provide fresh and
pure products, selling the
valuable glossary products at low
and cheaper price. There
commercial operations includes
processing, production, packaging
distribution and transportation
services (Czinkota, Ronkainen
and Moffett, 2011). It is the well
organised retail sector which
providing glossaries at larger
level.
This private retail rntity is that
British supermarket chain which is
committed to provide safe, healthy
and ethical sourced glossaries
products in U. K. It emphasis on
basis of sale of the frozen and non-
frozen food products which
includes meals and fresh
vegetables, diary products etc. It is
well organised public retail sector
that provide fresh frozen, non
frozen food at higher level.
The Morrisons supermarket is The Iceland is that retail firm
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Legal Formulation
based on the retail sector which is
owned and governed by the
European government. It provides
the overall processed food
products including the packaging,
distributing and transportations
procedure. It is responsible retail
sector which is wholly governed
by the government rules and
regulation.
which own by an individual
personality which positive impact
is that it is governed by their own
rules (Aterido, Hallward-
Driemeier and Pagés, 2011). It is
based on European retail chain
which provide food goods and
services abroad. They are well
systematised private retailer which
faces government challenges as
under the European union
intellectual property act.
Structures
The mentioned retail firm is
based on the oligopoly structure.
The oligopoly market structure is
based on the market which
certainly means that provides
similar and same price of
products to their customers
(Commander and Svejnar 2011).
The market offer the fair
environment and indirectly makes
positive impact on the
development and advancement of
technology.
The above retail company is based
on the private retail structure
sector. This private retail
supermarket create extensive
development and advancement in
recent decades. It also based on
the oligopoly market structure
which lies between monopoly and
perfect competition market. This
food retailing market is well
responsible stores.
Goods and services
providing
This public supermarket provides
all kinds of non vegetarian and
vegetarian food items at cheaper
and lower rate. This retail provide
services regarding all processed
This private supermarket chain
provides and sales the frozen
foods which includes- all kinds of
meats and non vegetarian products
and vegetarian glossaries. It also
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goods that packed, distributed
even transported facilities. It has
approx. 3.50 share in British
market (Babatunde and Adebisi
2012).
sell the glossary products of fresh
meat, dairy products and dry
goods and so on. They have
around 2.2% share of British
market.
PART B
Identification of stakeholders which create impact on Morrisons Public Retail supermarket
A stakeholder refers to that personality, group and organisation and concerned society
which have large amount of stake in a business concern that directly or indirectly affect the
actions, policies procedures of company. The stakeholders are divided into two essential parts
that are internal stakeholders or external stakeholders. The Morrisons Public supermarket is
based on the retail company which is wholly owned or governed by European government
(Gecevska and et.al., 2010). There are some following essential stakeholders of the concerned
Morrisons retail company:-
Employees:- The employees are that manpower or resource of the organisation which are
very essential for the entire growth. These are those primary stakeholders which directly affect to
the Morrisons company. Under this, company require to fulfil the needs and wants of their
internal management (Hoang, Tran and Le, 2010). The concerned retail company is governed
and managed by the European government polices and regulations which specifically devoted
towards there management concerned persons.
Managers:- The managers are those administrators or the middle level personalities
which directly affect the entire business. The whole management is depend upon the managers of
company. Their level of satisfaction is very much essential, because the administer the whole
organisation and the lower level mangers. These primary stakeholders will affect the entire
business directly (Mahmood and Hanafi, 2013). The concerned public company of retail sector is
based on the overall production and distribution process. It is that well organised management
chain which understand the desire of their management people and fulfil them.
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Government:- This base on secondary stakeholders which indirectly affect and make
major impact on the business concern. The changes in government polices and strategies of
taxation will affect the company (Reinhardt and Stavins, 2010). The increasing taxation polices
will affect the business organisations. The above retail company is wholly governed by the
European government thus, they contribute high amount to tax.
Suppliers and buyers:- Suppliers and customers will directly affect the company. The
changes in preferences and taste of a customers will affect the production of the business entity.
(Samiksha, 2016). The supplier is based on the distributor of raw materials which should be good
in quality because they directly affect the production of business.
CONCLUSION
It can be summarised from the above analysis that both the retail companies are well
organised and well systematised. The comparison between Morrisons and Iceland supermarket
shows that private sectors face so many challenges as compare to public sectors which is wholly
governed and managed by the European government. This above assignment also shows the
stakeholders which affect the organisation directly or indirectly. There are various stakeholders
like, creditors, suppliers, customers, managers, directors which create positive and negative
impact in the organisation. The categorisation in stakeholders are based on the primary,
secondary and key stakeholders which affect and create impact on entire business concern.
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REFERENCES
Books and Journals
Aterido, R., Hallward-Driemeier, M. and Pagés, C., 2011. Big constraints to small firms’
growth? Business environment and employment growth across firms. Economic
Development and Cultural Change. 59(3). pp. 609-647.
Babatunde, B. O. and Adebisi, A. O., 2012. Strategic Environmental Scanning and Organization
Performance in a Competitive Business Environment. Economic Insights-Trends &
Challenges. 64(1).
Commander, S. and Svejnar, J., 2011. Business environment, exports, ownership and firm
performance. The Review of Economics and Statistics. 93(1). pp. 309-337.
Czinkota, M. Ronkainen, I. A. and Moffett, M. H. 2011. International business. Wiley.
Gecevska, V. and et.al., 2010. Product lifecycle management through innovative and competitive
business environment. Journal of Industrial Engineering and Management. 3(2). pp. 323-
336.
Hoang, H. H., Tran, P. C. T. and Le, T. M., 2010, March. State of the art of semantic business
process management: an investigation on approaches for business-to-business integration.
In Asian Conference on Intelligent Information and Database Systems. pp. 154-165.
Mahmood, R. and Hanafi, N., 2013. Entrepreneurial orientation and business performance of
women-owned small and medium enterprises in malaysia: competitive advantage as a
mediator International Journal of Business and Social Science. 4(1).
Reinhardt, F. L. and Stavins, R. N., 2010. Corporate social responsibility, business strategy, and
the environment. Oxford Review of Economic Policy. 26(2). pp. 164-181.
Online
Samiksha, S., 2016. What are the Different Components of Business Environment?. [Online].
Available through: <http://www.yourarticlelibrary.com/business-environment/what-are-
the-different-components-of-business-environment/893/> [Accessed on 4th October 2017].
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