Business Environment Analysis of Sainsbury

unit 1: Business & the
Business Environment

Table of Contents
INTRODUCTION................................................................................................................................4
TASK 4...............................................................................................................................................10
P5 Implement internal and external analysis of specific organisations to identify strengths/
weaknesses.....................................................................................................................................10
P6 Explain how strengths and weaknesses interrelate with external macro factors......................11
CONCLUSION..................................................................................................................................13
REFRENCES.....................................................................................................................................14
Books & Journal:...........................................................................................................................14

INTRODUCTION
Business environment refers to sum of factors affecting including external and internal
affecting organisational structure (Ahmed, 2016). Sainsbury, a multinational corporation and largest
supermarket headquartered in UK. Firm deals in retailing products such as cosmetics, groceries,
etc. Main aim of this report is to examine the impact of business environment at workplace &
employees. This report includes several types & purposes of various organisations sectors, size and
scope of different organisations, relationship between organisational functions & their link to
structure, positive & negative effect of macro environment, internal & external analysis of
enterprise and inter-relation between strength and weakness with external macro elements.
PART 1
P1 Analysis the various types and purposes of organisational structures like private, public & legal.
An organisational structure is a system that outlines how certain activities are flow in order
to achieve the objective of an organisation. Under the activities is a role, rules and responsibilities.
In the organisation is a structure which helps to determine the informations flow between levels
within the company. For example. In the company uses various types of structures like centralised
system in which information flow from top to bottom and decentralized system is just opposite of
centralized system. The structuring provides a company with visual representation and gives a
shapes to the company(Ahmed, 2016). So it is essential to be aware about these company structures.
There are various types of organisation so which are discuss below:
Private company-: Private company owned by single person which is main objective to earn the
profit and expand business in the market in order to enhancing the goodwill. For example, coffee
shops and restaurant, these kind of firm which is run by a single person and enjoy the complete
control of its entire business firm.
Private limited company-:
A private company refers to those in which company limits the number of it members to 50
and does not entertain any kind of invitation to public to its subscribe of its shares. It is limited no
of liability because owned by individual person and have some restriction on the ownership of its
shareholders. It usually a company formed with main objective to earn profit and have limited
liability and control the business is with very few people. For example Sansbury and Walmart are
the example of these category(Coppin, 2017).
Public limited company-:
A public company is usually formed with requires at least of seven members to come into
existence. It can have minimum seven members and maximum have no limits. It is also issued

prospectus and invites the application to buy its shares. Liability of its members of a enterprises is
limited to their shareholding. Decision making is decentralize each and every employee
participating. For example, British American Tobacco is to be considered as a public company.
Partnership-: Partnership is an enterprise where two or more persons carried on a businesses in the
capacity of co-owners. All the partners shares the profit and losses in order to respective proportion
or as agreed between them. Partnership deed can be written and oral. It is easy to
form and more flexible because no need to take permission from government and other any
authority(Flaherty, 2017). For example, Whatsapp is one of the biggest example of partnership.
There is two founder and worked together on the business for over two decades.
Public organisation-:
Public organisation are also known as public sector. IT is owned by the government. They
provides goods and services to the society and mainly works for the welfare for the community.
They generate revenue from raised the taxes. For example, Museums, National gallery and Regional
development organisations. In UK Bank of England is considered the example of government
sector.
Central government departments-:
These kind of department are owned by central government which is followed strict rules
and regulations. The activities are run in this department which is must be follow a proper structure
and guidelines(Henökl, 2016).
Voluntary organisation-:
Voluntary organisation are come as under charities and trust. They are founded mainly
entrance fees to attractions, fundraising and donations. It is work gor social welfare and main aims
to protect and promote their causes. They are usually staffed are paid managers, volunteers and
workers. Tourism sector and the national trust are the example of voluntary organisation.
P2 Critically analysis the size and scope of different organisations:
There are various organisation and each firm has a different size and scope on the basis of
capital and resources. It is different structures are follow in order to accomplishing the goal of the
organisation . There are different criteria of each organisation on that basis are decides a scope and
size so discuss below-:
Private limited-: Private enterprises run by single person and main aim to increase profit.
These businesses are driven by the profit. The profits come from private sector which is distributed
owners, shareholders and investors. Tesco is one of the biggest retailer in UK which is considered
to be as a private organisation.