UNIT 1 MACRO ENVIRONMENTAL INFLUNCE.

UNIT 1
MACRO
ENVIRONMENTAL
INFLUNCE

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK1 ............................................................................................................................................1
P1 Explain different types and purpose of organisation and their legal structure......................1
P2 Explain size and scope of range of different types of organisation.......................................3
TASK 2............................................................................................................................................6
P3 Relationship between different organisational function and link to organisational
objectives and structure...............................................................................................................6
..........................................................................................................................................................7
TASK 3............................................................................................................................................7
P4 Identify positive and negative impact the macro environment have on business operations 7
TASK 4............................................................................................................................................8
P5 Conduct internal and external analysis to analyse strength and weaknesses.........................8
P6 Explain how strength and weaknesses interrelate with macro factors.................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Business environment refers to the integration of all the factors including external and
internal factors that have more control over the organisation operations and profits. It involves
the various forces like customers, inverters, technologies, market conditions etc. that may
influence the overall performance of the business firm. In this all ventures that is public, private
and voluntary sectors are aware about the regular changes so that they can easily deal with it. In
this Tesco PLC is one of the public limited company that is largest grocery British multinational
store deals in household and non household range of products. It includes the public, private and
voluntary sector businesses that have variant in their size, scope and purpose and also have
different legal structure. In this linkage between the various department helps in smooth
functioning of the business and at last interrelationship between external and internal factors
have been elaborated(Elias and et. al., 2019).
TASK1
P1 Explain different types and purpose of organisation and their legal structure
Organisation refers to the form of that association which is designed by the human being
for attaining the goals of the organisation. The major purpose of operating the business firms is
to earn higher profits or doing the social welfare. Some of the organisations with their legal
structure can be shown below:
Public sector organisation
This refers to those type of organisation that are owned and funded by the government for
the welfare of the public. The main objectives of public sector is not to earn profits but doing the
things for the welfare of society. In this BBC is one of the best example that can provides the
broadcasting services to the public(Satalkina and Shpak, 2018). The main Purpose of the public
organisation is to offers the goods and services for the welfare of the people of society by
adopting and using the resources effectively.
Legal structure:
 Central government- This legal structure are controlling all the activities and
regulations that is beneficial for the public. As they collect the financial resources in the
form of income tax to the general public. BBC is that organisation which is controlled by
central government.
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 State government- This government has a specific power on the specific region or the
state and accountable in front of central government.
 Local government- As this can collected the funds from the charges received from
community that are formally known as council tax.
Private sector organisation
It refers to that sector organisation that is controlled and owned by the single person or
the group of individuals. The best example of this venture if Tesco PLC that is one of the public
limited company that can done their business in all over the world with their household and non
household items. The main Purpose of this is to earn higher profits and revenues that can helps
in gaining the competitive advantage within the organisation and helps in sustainability in the
marketplace(Otieno, Ogutu and Pokhariyal, 2019).
Legal structure:
 Sole proprietorship- In this one person is operating the business and offering goods and
services to the customers with the aim of feeding their individual family by earning a
small amount of profits. In this less legal implications are involved as in this profits and
risk can be handle by the single holder.
 Partnership- It refers to that association in which two or more than two persons are
involved. It involves several norms that was involved in the partnership deed due to this
operations within the organisation are carried out. In deed profits and loss sharing can be
included between the partners.
 Limited company- Every business need to be registered for becoming a limited
company. In this type of business enterprise profits can be belongs to the company entity
rather than their shareholders. As shareholders can get the profit as dividend in this
company can pay the corporation tax every year on the profit earning. Tesco PLC can
included in the public limited company(Chaouk, Pagliari and Moxon, 2020).
Voluntary sector organisation
It involves the group of individuals who are willingly involve in the purpose of catering
society for a good cause. This type of business are working for helping the society in an
appropriate way that helps in saving the society in various ways. In this OXFAM is the largest
charitable organisation that is working for eliminating the poverty within the country. The
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