Types and Purpose of Organisation: Private, Public, Voluntary

Business and the
Business Environment

INTRODUCTION
Business environment is considered as internal as well as external aspects of business
which impact their whole performance(Benmamoun and et.al., 2016). This consists technology,
consumers, legislation and many others which are crucial for firm for operating their business
activities. It is dynamic in nature as they keeps on changing as well as do not remain constant.
So, for operating the business into competitive market, this is very much essential to know about
the changing environment for accomplishing the consumers needs. For this report, the chosen
company is Tesco is one of the largest grocery store which has been established in United
Kingdom. It serves large number of people with grocery items. The purpose of this report is to
describe the various types as well as purpose of organisation with their size and scope.
Interrelation among several organisational function and impact of macro environment on firm.
Apart from this, internal and external analysis of company as well as strength and weaknesses
with external macro factors are also mentioned in this report.
P1. Various types and purpose of organisation.
There are three kinds of firm like public, private and voluntary . All of them are have
various kinds of purse, objective and so on which are mentioned below:
Private organisation
Private firm is considered as any individuals, partnership, corporation etc. which run their
with the aim to earn profit. This is not operated or regulated through government.
Background of company:
Tesco is a multinational British retailers which was established in year 1919 through Jack
Cohen. This is known to be the 3rd and 9th largest retailers in respect of gross revenues and
simply revenues. It have around 6,569 stores into various area of world. they are operating in
Malaysia, Ireland, Poland and many more. The chairman and CEO of Tesco is John Allan and
Dave Lewis.
Product and services: The respective company is facilitating many product and services to the
customers. The services and products that they offer are banking, mobile services, books and so
on(Calabrese and et.al., 2018). They facilitate home services to customers for its convenience.
Vision: TESCO vision involves five components that are explained here, first one is required and
demanded around world another is leading enterprises with more opportunities.
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Mission: “ TESCO makes things which results better when they are working together.”
Types:
The different types of private organisation are as follows: Sole proprietorship: A sole proprietor is a person who is engage in doing business alone.
He is the person who is only owner of company. (Chang 2016). It is an entity which is
fully owned or managed by one person. It is easy to to establish this organisation as due
to lack of government interferences. Partnership: A partnership is an agreement between more than two persons termed as
partners, as they agree for mutual interests and distribution of profits equally(Cepel and
et.al., 2018). The partners involving in this partnership deed can be individuals, groups of
individuals, schools, colleges profitable organisations and other institutions. Partnership
can be of two types such a general partnership and liability partnership. Joint stock company: Joint stock company is a voluntary organisation with aim of profit
and having capital divided into some transferable shares. Owners of these shares are
members or shareholders of company. Shares of joint stock company are transferable but
investors could have unlimited liability which their personal property can also be forfeit
to pay debts.
Purpose: The main purpose of Tesco is to create valuable things for customers to earn their
loyalty for lifetime. It offers wide range of products and services such as home and grocery
products, insurance etc.
Legal structure: Tesco is a public limited company and corporate governance where people
deals with shareholders to ensure that strategies of Tesco is achieving that shareholders wants to
accomplish. The company is working on reducing the footprints of carbon so that they can
reduce the amount of carbon dioxide that they produce.
Objectives: An objective of Tesco is to provide pleasing working place to workers and targets to
expand their business by increase in sale of organic products. It aims to provide customers with
outstanding service and everything under one roof. Use of intelligence and technology to deliver
high quality goods and provide high returns to shareholders.
Stakeholders: Tesco have many shareholders as employees, investors, management and other
institutions. Tesco has major shareholders such as Barclays, FMR Corp. and Fidelity
international limited etc.
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