Determinants of Organisational Structure

The provided assignment is based on 'The Business Environment' and focuses on the determinants of organisational structure. It includes case studies from ASE Garage Company, Toyota, and General Motors automotive Company to illustrate how different organisations adapt to their business environment by changing their traditional organisational structures to line structures or improving internal communication through IT techniques. The report also discusses the importance of ethical culture in shaping employee behaviour and performance.

The Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................4
External factor that may affect business.................................................................................4
Covered in ppt........................................................................................................................4
Reason for PESTEL analysis..................................................................................................4
Covered in ppt........................................................................................................................4
Steps of Crisis Management Procedure..................................................................................4
Covered in ppt........................................................................................................................4
Factors which contribute towards environmental damage:....................................................4
Covered in ppt........................................................................................................................4
Environmental damage can be minimised by various steps:..................................................4
Covered in ppt........................................................................................................................4
Environmental impact on business profitability and reputation:............................................4
Covered in ppt........................................................................................................................4
Task 2...............................................................................................................................................4
Difference between marketing and selling concept................................................................4
Purpose of Marketing plan and its Objectives........................................................................5
Difference between Internal and External data and Information...........................................5
Research of Primary and Secondary data...............................................................................6
TASK 3............................................................................................................................................7
A description of the benefits to organisations of behaving ethically.....................................7
The effect of organisational culture on business organisations:.............................................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
The Business Environment indicates to analysing internal and external factors that effect
on the functions of the company with various marketing factors impacting on small business
activities and its performance. Under this report it is to be discussing about a sole trader which is
own and operates a small garage to maintain by Mr. Paul Dukas. His company deals in small
commercial auto shops, car collectors which includes, auto garage tools and equipment
distributor, providing automotive services.
In given project it will be study the local Business Environment to manufacturing and
producing materials. It is focusing on evaluation of internal and external factors of business
environment, market assessment by various marketing plans, ethics and culture of organisation
with the effect of organisational culture on business organisations (Goffee and Scase, 2015).
TASK 1
External factor that may affect business
Covered in ppt
Reason for PESTEL analysis
Covered in ppt
Steps of Crisis Management Procedure
Covered in ppt
Factors which contribute towards environmental damage:
Covered in ppt
Environmental damage can be minimised by various steps:
Covered in ppt
Environmental impact on business profitability and reputation:
Covered in ppt
Task 2
Difference between marketing and selling concept
Marketing Concept

The company is doing marketing
with the purpose of research and
development which is identifying needs of
the customers and producing innovative
product and promoting through advertising,
that creates awareness about their product
among customers. The company applying
marketing with focus on customer's
satisfaction through target market and
considering needs of customers and
Directing product and their services towards
consumer's mind. The Company's Marketing
functions are generally volume oriented. It is
performing as Integrated marketing with
long term aspects. The company is using
recent online market through various
channels of internet like social media. It
indicates Outside-In with market
determination by fulfilling customer’s
satisfaction for their providing automotive
service equipments.
Selling Concept
The Company is considering over
selling concept for increasing sales volume
through proposes customers by selling and
promoting their Automotive products and
company trying to maximize their sales for
attracting customers towards their services.
Company is trying to focus on maximum
sale of product and enhance sales activities
through existing parts and updated parts of
automotive products which Compelling
consumer's mind by their goods and
services. Their Selling concept is based on
volume oriented. It involves heavy selling
and promotions with short term aspects. The
company ASE indicates Inside-Out of
product which transfer the title and
possession of product.
Purpose of Marketing plan and its
Objectives
The purpose of Marketing plan for
Company is to provide the right direction to
meet certain goals and that helps to achieve
organisational objective. The market plan
refers the set of company on specific course
in marketing. It states marketing goals
generally align with broader objective for
company which emphasizes strategies to
increase customer base. His marketing plan
can be framed to implement objectives such
as:
Increase sales of product, building
brand awareness, growing market share to
increases profit by launching new
automotive products and improving their
services by targeting new customers. They
Assess new market operation internationally

and locally. The Company is also
formalising with the purpose of improving
stakeholder relations and enhance customer
relationship by improving internal and
external communications with certain
market research plan to achieving their
specific objectives (Rogers and Davidson,
2015).
Difference between Internal and External
data and Information
Internal Data (Primary Data): These
refers to the sources of marketing
information are available within the ASE
company. The internal sources include
accounting information of the company with
different years, salesmen reports, static in
relation to advertisement expenditure and
transportation cost of assembling parts etc.
Internal data is easily available with existing
data of the company. There is no financial
burden involved in gathering information
because it studying company's profile. It
involves less risk due to having faire and
clear data by primary research of the
company.
External Data (Secondary Data): In order
to study of marketing problems in detail the
company ASE needs external sources of
marketing research which is available
outside of the company. It requires huge
efforts due to collecting data from external
business environment. It is decided into 2
categories Primary and Secondary data.
External data is not easily available because
it consisting research over market. External
data involves huge cost for investing on
research team by various process to collect
data and information’s. The external data is
having more risk due to getting details and
investigation by outsiders hence, that might
be not correct and faire.
Research of Primary and Secondary data
Primary Data: Primary data refers
to collect the information by research from
original sources and it is not available in
published for, it is gathering by ASE
company to research themselves by tapping
various resources that is usually collecting
for specific purpose of the company. These
primary data and information can be
collecting through salesmen, dealers and
consumers of the company with the purpose
of obtaining result from this data are original
and tend to be more accurate and reliable.
Secondary Data: Secondary data is
already existing for ASE company due to
published by some individuals and any other
institutions with easy availability at very low
cost and it requires lesser time to collect
details and various source of information
which is determined through periodical
newspapers, magazines, current affairs,

Government publication and reports, U.S.
Capital market, Business news and channels,
Trade associations, published survey of
markets, Foreign Govt., International
agencies, and other sources. The mentioned
sources may be suffer from certain
limitations because it is not appropriate due
to incomplete records and sometimes
available data is not useful with the
comparison of its business nature (Herrett.,
2015).
TASK 3
A description of the benefits to organisations of behaving ethically
The company should behaving an ethical manner by the purpose of maintaining their
premises for strong ethical culture within their business in safeguarding their assets. They
framing employees to abide by their workplace ethics would be able to protect and respect for
their company to ensuring their performance in an environment with integrity and trying to build
strong ethical culture for their work place.
The company being ethically applying principles of honesty and fairness to maintain
relationship with co-workers and customers. The importance of Business Ethics is as under-
Retention of good employees: The company should promoting employee's activities by
a good ethical behaviour which is based on the quality of the work and compensating fairly for
their work with dedication. In that way the company is dealing with their employees have better
chance of retaining the most talented people (Da Veiga and Martins, 2015).
Avoid Legal Problems: With the certain rules and regulation of labour laws, the
company must be trying to avoid legal problems to considering on worker's safety or using
substandard material in their products and services they provide. The company may liable for
being caught can be server, legal fees and fines or sanctions by government agencies. The
company should maintain the highest ethical standards to train every member of the company
about conduct that is expected of them.
Formulating Positive work environment: The organisation is structuring or
formulating positive work environment by certain ethical behaviour of their employees to
perceived as a team player rather than as individuals just out for themselves. They must be
honest about their capabilities and experience with their ethical aspects.
Build Customer Loyalty: The company is having a loyal customer base is one of the
keys to long term business success because, a company reputation for ethical behaviour can help

it creates a more positive image in the market place which can bring in new customers through
mouth referral (Alvesson, M. and Sveningsson, S., 2015).
The effect of organisational culture on business organisations:
The business culture of the company is stand to build healthy working conditions through
various cultural impacts on business environment. The ASE makes its organisation unique and is
the sum of its values by setting traditions, beliefs, interactions, behaviour, attitudes or certain
norms and Morales. These are impacting by following-
Cultural strength and organisational performance: The strength of the culture
depends on how strongly company members share its values and basic assumptions. The
contribution and pervasiveness of an organisation culture requires that management recognise
the dimensions of their corporate culture which impacts on strategy implementation and
performance by the company.
Employee Attitude and Performance: The company should discovering employee's
behaviour and their performance to proposing them for cultures of different variations of market
environment can have a major impact on the employee's attitudes concerning their required
performance.
Determinants of organisational structure: In the business organisation context, the
culture is defined as a group's of thinking, believing feeling and responding with the
organisational structure, where culture is the way of a group of people which influencing
organisational activities by determination of the individualism-collectivism from official culture
with respect to participation in decision making and social orientation within the company
(Hickman and Silva, 2018).
For example ASE Garage Company has been changed its traditional organisational
structure by adapted new one which is called line structure where, the major difference is that
employees in certain department need to report to all the directors to avoid delay in response and
fast decision making process. And Toyota improve their internal communication through
appropriate use of IT techniques.
In other hand General Motors automotive Company improved its corporate culture and
their structure to design systematically that involving composition and arrangement of business
components by the performance of employees behaviour and their positive attitudes towards
their company. .

CONCLUSION
Above case study has given on 'The Business Environment' Under such report it studied
various environmental factors of small business and have done marketing research on the basis
of internal and external data for the given company through marketing plans and marketing
functions. It Focused on importance of ethical culture of organisational behaviour and its effects
on the company's structure. In such report found that different organisation develop different
strategy in order to respond to their business environment of the organisation. The purpose of
studied business environment for analysing organisational structure to identifying the strength
and weakness of the company with certain aspects and have taken corrective action to overcome
from such weakness and convert into an opportunity.

REFERENCES
Books and Journals
Goffee, R. and Scase, R., 2015.The Real World of the Small Business Owner (Routledge
Revivals). Routledge.
Rogers, T. and Davidson, R., 2015.Marketing destinations and venues for conferences,
conventions and business events. Routledge.
Terho, H. and et.al., 2015. How sales strategy translates into performance: The role of
salesperson customer orientation and value-based selling. Industrial Marketing
Management. 45. pp.12-21.
Alghisi, A. and Saccani, N., 2015. Internal and external alignment in the servitization journey–
overcoming the challenges. Production Planning & Control. 26(14-15), pp.1219-1232.
Herrett and et.al., 2015. Data resource profile: clinical practice research data link (CPRD).
International journal of epidemiology.44(3). pp.827-836.
Alvesson, M. and Sveningsson, S., 2015. Changing organizational culture: Cultural change work
in progress. Routledge.
Hickman, C. R. and Silva, M. A., 2018.The Future 500: Creating Tomorrow's Organisations
Today. Routledge.