Business and the Business Environment

Business
and the
Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1:various types and purposes of organisations..........................................................................3
P2: Sizes as well as scope of a range of various types of organisation.......................................4
TASK 2............................................................................................................................................6
P3:Relationship among different organisational functions and their link to organisational
objective as well as structure.......................................................................................................6
TASK 3............................................................................................................................................8
P4:Positive as well as negative impact of macro environment on businesses and operations of a
company......................................................................................................................................8
TASK 4..........................................................................................................................................10
P5: Analysis of strengths as well as weaknesses of Internal or external...................................10
P6:Evaluate strengths as well as weaknesses interrelated through external macro factors...........13
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
The business environment is defined as a combination of internal as well as external
elements of business organisation. As Business environment plays an important role in analysing of
business enterprise. The components that affects business within company are called as Internal
environment. Some aspects are employees, culture, structure, ethics, and so on. if it is talked about
external surroundings, these are those factor that affect enterprise form outside limits of company
and some elements of external environment are political, social, legal, economical, technological,
suppliers, competitors and many more. The company taken for analysis in this report is Sainsbury's
which is started in 1869 by John James Sainsbury in Holborn, London, United Kingdom (Li and et.
al., 2018). It is a public limited company which deals in retailing and Hypermarket, Superstores,
Convenience. This assignment takes various goals of business through considering its various
scope, size, business environment and their organisation structure. Along with this it focuses on
both aspect i.e. positive as well as negative aspect of PESTLE model and its potential & failing with
help of SWOT analysis model of two various organizations, Sainsbury's and Tesco .
TASK 1
P1: various types and purposes of organisations.
There are different types of business organization which performs same task in a different &
effective way for achieving desired goals.
Private limited company: Private organization are those company, that are hold by private
companies as well as non- government companies. There main motive is to earn more and more
profit from their enterprise s to make more and more profit as well as liabilities of members are
limited to amount of shares or capital. These companies have to follow companies Act, 2013, to
start their business as well as required at least 2 members or maximum 200 members to start
business. It has many characteristics such as restricted liability to all employees, minimum 2 board
of directors should be there, 1 lakh as minimum paid-up, required to fill partnership deed, not listed
in stock market, high risk and so on. As John Lewis partnership is a private firm, which deals in
retail sector and this is founded in 1929 by John Street Lewis (Gupta, Mejia and Kajikawa, 2019).
Sole Proprietorship firm: When a single individual is owing as well as handling business
company is known as sole trade and sole proprietorship firm. In this, only one individual has
authority to take decision and to manages all practices, functional tasks in business and also
responsible for profit as well as loss occur in their business company.
Partnership firm: Partnership is an understanding where two or more people are doing

agreement, for working to gather in a cooperate field for doing business and earning profit. In this
firm every partners of this organization are responsible and susceptible for their work and also of
other partners in organization as they are liable profit as well as loss as per according agreed
partnership deed.
Public limited organisation (PLC): An organization with a public restriction is a deliberate
relationship of individuals coming together and subsequently having a different legitimate presence
and the individuals' risk is limited. Limited public entities are listed on the stock exchange where
the offer / share are freely traded. The key management bodies are accompanied by senior
management. The steering group summary is described in the articles on group members. It usually
consists of a base number of pairs and a limit of 12.
Corporations
An organization is considered by law to be an interesting element, separate from the people
who own it. An organization can be under a burden, sue and make legal contracts. The company has
a certain amount of energy and does not break down when property changes. There are three types
of companies: C-enterprise, S-organization and Limited Liability Company.
Limited Liability Company
A limited liability group or LLC is a cross-business structure that provides a company’s
limited legal responsibility and the operational flexibility of a limited liability association or
property. In any case, the development is more complex and formal than the development of the
whole organization.
Voluntary Organisation: The Voluntary companies are those who work for welfare of society as
well as their company’s wealth maximization. The main point and objective is to meet requirements
as well as need of an individual or society, for fulfilment they arrange welfare action or social
activities which helps them in achieving their desired goals. The Oxfam full name is Oxford
Committee for Famine Relief, that was founded in 1942 at Oxford, England as well as this focuses
on poverty obliteration, to reducing to poverty & disaster which relief Advocacy and Policy
research. Oxfame is an international non-governmental company.
Trust: The trust is non-business organization, that leads in profit maximization is not motive
of company. In these organization people invest as well as give some funds and capital for welfare
of society in continuous basis.
Unincorporated association: The Unincorporated association companies are commissions
as well as committees of various business companies which has authority as well as responsible for
managing and controlling their business is refer as council. These companies do not own any of