Unit 1 - Business and the Business Environment

Unit 1 - Business and the
Business Environment

TABLE OF CONTENT
INTRODUCTION.................................................................................................................................3
LO1.......................................................................................................................................................4
P1 Types and purposes of organisations............................................................................................4
P2 Size and scope of various organisations.......................................................................................6
LO2.......................................................................................................................................................7
P3 Relationships between various company functions and how they link to objectives....................7
LO3.......................................................................................................................................................9
P4 Positive and negative impact of macro environment on business operation.................................9
LO4.....................................................................................................................................................12
P5 Analysis of internal factors that affects on decision making of business....................................12
LO4.....................................................................................................................................................16
P6 Strengths and weaknesses interrelate with external macro factors..............................................16
CONCLUSION...................................................................................................................................17
REFRENCES......................................................................................................................................19
Books and journals..........................................................................................................................19

INTRODUCTION
The business and business environment is understood as one of the highly growing
working parameters where companies within global paradigms are being actively developing
on larger vision for new working innovation, diversity of fundamental operations. The report
will be explaining various types and purposes of organisations, with varied scope and size
parameters and working relationships between various functions of company for analysing
their linkage with wider objectives. Tesco is one of the biggest public limited company of UK
and has been working with wide international reach having wide reach of products and
services and Aldi is private limited company having high range of working operations with
strong innovation goals. The study will be also explaining company positive and negative

impacts within macro environment and their working scenarios impacting business operations
of longer run. Study will be also discussing internal and external analysis for identifying
strengths and weaknesses for company’s functional networking scenarios and their
interrelation within each other on longer time factor (Agnihotri, 2016).
LO1
P1 Types and purposes of organisations
There are various types of organisations within wide business environment where
they are divided on basis of type and purpose they serve operations with, and are keenly
working towards gaining new functional horizons of larger productive diversity. The main
three types of organisations under which business structure are divided can be understood as
public company, private company and voluntary companies where industry actively focuses
on pertaining larger innovation and diversity.
Public companies owned by government
The public companies are public traded company which list their shares open in
public whose ownership is organised via shares of stock and which are intended to be freely
traded on stock exchange. Public companies are widely known for having high working
innovation on various platforms where there is large efficacy towards innovation, investing
larger capital range and also for developing new diverse working fundamentals. The public
company do note open up any decision power within shareholders where there is no power
open among people to take decisions and, shareholders can only invest in shares. Public
companies widely focus on keeping the capital range strongly diverse as financial reports are
an important parameter for bringing large investments from various people and also there is
high diversity governed. Tesco is one of the largest public company having large range of
products and services within all stores, having productive goodwill with strong innovation
keen scenarios and also focusing to diversely work on new leveraging arenas. Purpose of
public companies are focusing on gaining larger investments among people with higher
goodwill horizons, larger capital functional capabilities and also to leverage on new working
potentialities by developing goodwill among diverse target consumers (Bäckstrand and
Engström, 2019). Public companies have legal structure where their shares are open among
people to invest on further for corporate expansion and new scale developed legal consumer
goodwill on which varied scale functional goal innovation is present for harnessing varied

goals developed connectivity. Uniliver is one of the biggest public company expanded on
varied scale arenas with high scope goals and new range of productive innovation.
Private companies
The private companies are corporations who work independently and shareholders are
the only holders of all responsibilities and legal actions within meetings, where they are
active decision makers and shares are not open for public to invest in which is demerit and
also there is functional higher range of goodwill on varied horizons. Private companies have
strong working synergy of higher innovation and enhanced vision to formulate new criteria,
larger effective decision makers as being the shareholders they have optimum right to invest
and gain best results. IKEA is one of the largest private limited company having wide range
of products and services, expanded among varied horizonswhich has been expanded into
various parts of world.The private companies are less open among people as shares are not
open among people to invest in which limits fundamental working opportunities, higher keen
scenarios of working vision and shareholders have large power to be active decision makers.
The private companies are solely responsible for all capital investment decisions and to
leverage higher working goodwill within longer time run, to enhance new working
potentialities and also actively work towards pertaining new growth objectives in larger
productive scenarios. The Aldi is UK one of the largest private limited company having high
range of stores within global parameters, serving people with vast categories of products and
services and also for factoring productive innovation within diverse retail competitive
industry scenarios. Purpose is solely to focus on profit factors and leverage goals, higher
effective innovation and also to work on goodwill horizons for larger competitive strength
(Cohendet, Parmentier and Simon, 2017).Ownership of public companies are under
government and private companies ownership is under private bodies of shareholders, where
there are larger arenas of working horizons taking wider shape on varied aspects. DYSON is
one of the known private company within UK where legal structure of private company is
widely expanded on large range of shareholders and higher range of strategic scope for
stronger new investment scenarios on which private company goals have been vividly
growing.

Voluntary companies
The voluntary companies refers to company whose primary purpose within functional
scenarios is to create social impact rather than profit in longer run where purpose is to serve
people with high advanced working determinants. The voluntary companies have strong
purpose not to create larger profits, new working goodwill and also there is limited capital
range to invest further on varied domains. It can be understood that voluntary companies
serve functional work goals where ethics, to enable society effective living standards by
bringing on keen scenarios and new productive working paradigms. Red Cross, UK is one of
the best voluntary company serving people from around world with best social care services
and to work with vision of promoting equal productivity, larger goals working operational
metrics. The voluntary companies have wide scope for bringing on overall change within
society, larger productive goals and also to promote equality and new vision formulated to
keep diversity at high range (Dvorak and Razova, 2018).
P2 Size and scope of various organisations
The size and scope of various organisations can be analysed based on various
productive paradigms, new productive scenarios and for developing innovation new
functional working goals and larger vision onto wider domains.
Public companies
 Public companies size is large due to its wide functional capital range and wide range
of people investing highly on working goals based on goodwill horizons, larger
diverse range of products and services catering as per consumers demands and also
for keeping up with innovation (El-Helaly, Ntim. and Al-Gazzar, 2020). The scope of
public companies is also wide as people have large functional opportunities to take
active investments as shares are open among people by trading them in open market.
Scope is wide but people who are investing in shares cannot take any decisions where
it can be understood that the shareholders have no voting power to be impacted within
working decisions.
 Tesco as public company is widely best serving within competitive retail company
where large range of products and services are there, widely spread globally and also
there is wide working scenarios for new innovation functional synergy. As wide
scope of public company is present there is wide developing innovation, technical
growth and diversity standards worked on and also for creating new advanced reach