Business and Business Environment

BUSINESS AND BUSINESS
ENVIRONMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
P1 different types and purpose of public, private and voluntary sectors and legal structure......3
P2 Size and scope of different types of organization..................................................................4
P3 The interrelationship between different organizational functions..........................................5
P4 The positive and negative impacts that macro environment has upon business operation....6
P5 Differentiation done on basis of internal and external of organizational...............................8
P6 The strengths and weakness interrelate with external macro factor.......................................9
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
Business environment refers to collection of external and internal factors such as employees,
demand and supply, management, suppliers, owners, market and social trends economic changes,
advancement in technology, government activities etc. These factors affect the companies
function and also how company works directly or indirectly. Further, some of these factor also
influence organization environment or company and challenges (Alderete, 2020). General motors
company is multinational corporation with headquartered in Detroit which designs manufactures,
distributes and market vehicles and their parts. It has various number of joint venture with many
more company. This report evaluates private, public and voluntary organization with their size
and scope and also states different interrelationship between with organizational structures. This
report identifies positive and negative impact of macro environment and analysis the strengths
and weakness and how they are interrelated with external macro factor.
P1 different types and purpose of public, private and voluntary sectors and legal structure
Public company- It is part of economy which is also known as state sector. As they have ability
of selling stocks in financial market and also free traded on stock exchange
legal structure of public company as this owned by government including all countries, city and
state agencies. It also desires to present goods and services related to public sector such as public
infrastructure, military and so on, these are such for betterment for society.
For example, HSBC is public bank which deals in financial services for customer satisfaction
and also have main focused ion credit, debit cards and life insurance. The bank also hold up
financial services such as investment, loans and insurance.
Private company- These companies for profit organization which includes both private bodies
or owned by government. As, the private company have entire division with economic system of
country which is basically owned by private groups and individuals for making profit
(Ghobakhloo, Azar and Tang, 2019). There can be also essentials source of expansion and
developing the income for country and make more profit.
Legal structure of private company owned by sole proprietorship or partnership and also owned
by co-operation which allow following up the all legal tax that enter into business structure. In
these legal structure many more employees can work for private company and some of their
directors have to manage the work in organization structure.

For example. General motor's company- It is sole proprietorship company which owned by its
company and allow to follow all government rules and legal regulation. It manufactures, designs
and marketing for vehicle and vehicle parts.
Voluntary company- This company includes the social activity company which are not
specifically for earning profit and also non-governmental in society (Le, Govindaraj and
Bredenkamp,2020). Voluntary company purpose for building up benefits at individuals level and
enriching the society without any profit on return. These companies help in social welfare and
make more improvement for society.
legal structure for voluntary company it is charity company which is basically owned by
government and not having purpose for earning profit, just for satisfaction for social welfare.
For example, International child care- It is charity organization which helps poor people and
neddy children for their education and provide them shelter, food on regular basis.
P2 Size and scope of different types of organization
Basis Micro company Small company Large and medium
company
Meaning It refers to small
business with small
finance microcredit
and also have balance
sheet or ratio is less
than definite amount.
Its company has wide
margin level with
many more employee
and have large number
of share than in
developing countries.
This company have
sufficient number of
employee and fund at
workplace (Matovic,
2020). Their
performance can be
developed at domestic
or at international area.
Size In this company
investment capital is
low along with
employee level for
business.
They are independent
bodies which include
small number of
worker for enhancing
their business and for
long run they have
These companies
include multinational
bodies and employee
working with members
of voluntary. They
have some possibility