Positive and Negative Impact of Macro Environment on Businesses

Business
and the
Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Different types and purposes of organisations......................................................................3
P2. Sizes and scope of a range of different types of organisation...............................................4
TASK 2............................................................................................................................................6
P3. Relationship between different organisational functions and their link to organisational
objective and structure................................................................................................................6
TASK 3............................................................................................................................................8
P4 Positive and negative impact of macro environment on businesses and operations of an
organisation.................................................................................................................................8
TASK 4...........................................................................................................................................11
P5 Analysis of strengths and weaknesses of Internal and external...........................................11
P6 Evaluate strengths and weaknesses interrelated with external macro factors......................12
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
The business environment is refers to combination of internal and external elements of
business organisation. The elements which affects business within organisation are called as
Internal environment. Some factors are employees, ethics, culture, structure and many more. if it is
talked about external environment, these are those factor which affect enterprise form outside
boundaries of organization. The company taken for analysis in this report is NHS which provide its
best services to the patient of United Kingdom. This assignment considers various objective of
business with considering its different scope, size, business environment as well as their
organisation structure. Along with this it focuses on both aspect i.e. positive and negative aspect of
PESTLE approach and its capability & failing with help of SWOT analysis approach of two
various organization.
TASK 1
P1. Different 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 organisation: Private organization are those organization, which are hold by
private companies or non- government companies. There main aim is to earn more and more profit
from their business enterprise s to make more and more profit and liabilities of members are limited
to amount of shares as well as capital. These organization has to follow companies Act, 2013, to
commence their business and required at least 2 members and maximum 200 members to start
business. It has many features such as restricted liability to all members, 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 many more. Andersson and Holm,2015).
Sole Proprietorship firm: When an single person is owing and handling business
organization is known as sole trade or sole proprietorship firm. In this, only one person has
authority to make decision and to manages all operations, functional activities in business and also
responsible for profit and loss occur in their business enterprise.
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 acts and also of
other partners in business as they are liable profit and loss according to agreed partnership deed.
Public limited organisation (PLC): The public limited company are those organization, which

offers their shares to public or society. In these company maximum amount of share taken by
government or public. The company has effective and proper access of capital as it is listed in stock
exchange of country, with 5 lakh paid up capital for commencing business high capital, high risk
with proper support of government (Bah and Fang, 2015).
Central government department: Theses are those organization whose control is in hand
of state or central government of country.
Local authorities: This local authority organization are those where management and
controlling power & is in hand of public or government.
The NHS is the public funded national healthcare system for England and one of the four national
health services for each constituent country of the United kingdom. The NHS provides majority of
healthcare in England, including primary care, in patient care, long term healthcare, dentistry etc.
Voluntary Organisation: The Voluntary Organisations are those who work for welfare of society
and their companies wealth maximization. The main aim and objective is to fulfil requirements
and need of an individual and society, for fulfilment they arrange welfare action and social
programs which helps them in attaining their desired objectives. The Oxfam full name is Oxford
Committee for Famine Relief, which is founded in 1942 at Oxford, England and this focuses on
poverty obliteration, to remove to poverty & disaster which relief Advocacy and Policy research.
Oxfam is an international non-governmental organization.
Trust: The trust is non-business organization, in which profit maximization is not an aim of
organization. In these organization people invest and give some funds or capital for welfare of
society in regular basis.
Unincorporated association: The Unincorporated association organizations are
commissions and committees of different business enterprise which has authority and responsible
for managing as well as controlling their business is known as council. These organization do not
owned any of Trusts and NGO'S they build and do operations own their own.
Others: Communities, Royal charter Bodies and many more (Belás and et. al., 2015).
P2. Sizes and scope of a range of different types of organisation.
Private company: John Lewis
John Lewis deals in fashion industry across UK, which is started in 1929 by Spedan Lewis.
Background: The first store of John Lewis is opened in 1864 nearby Oxford street of
London. Now presently company has around 51 stores across all England.
Product and services: As company is dealing with fashion industry, then their product and
services are Furniture and designing services, fashion (designer clothes for men and women) and