Business Environment Analysis Report for ALDI Firm - U.K. Operations

This report provides a comprehensive analysis of the business environment, focusing on the retail firm ALDI. It begins with an introduction to the business environment and its various influencing factors. The report then delves into different types of firms, including public, private, and voluntary organizations, highlighting their unique purposes. It further examines the size and scope of organizations, categorizing them into micro, small, medium, and large scales, and discusses their respective objectives and market reach. The core of the report explores the relationship between different organizational functions, such as finance, human resources, and marketing, and how they are linked to the overall objectives of the organization. Using ALDI as a case study, the report examines its organizational structure, including its decentralized approach, and how various departments contribute to achieving its goals. The report also touches upon the impact of macro-environmental factors on business operations and concludes with a summary of key findings and a list of references.

BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1 ..........................................................................................................................................3
P.1 Various types of firm and their purpose...............................................................................3
P2 Size and Scope of various types of organisations .................................................................4
TASK 2............................................................................................................................................6
P3 Relationship between different organisational functions and its link with organisation
objectives ....................................................................................................................................6
TASK 3 & 4.....................................................................................................................................7
Covered in PPT...........................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business environment are various factors which can affect the business in a unique
manner (Business environment, 2018). Thus they have to create various internal and external
analysis so that they can affect the company in a unique manner. Through this they can directly
earn more revenues. Hence it can maintain unique position in industry. So it can easily expand
their activities in various parts of world. Assignment describes about ALDI firm which is a retail
firm. It as found in U.K. Report explains about the various types and size of the organization
(Elliot, 2011). It further explains about the interrelationship of various types of organizations and
their relation with the structure. It also explains about the various examples that can show the
positive or negative impact macro environment on operations on the business and strength and
weakness and their relation with the various macro factors.
TASK 1
P.1 Various types of firm and their purpose
Different types of companies are there in market. All forms have different purpose. Thus
the types of company and their purpose are given below:
Types Overview Purpose
There is a public company
which only runs for fulfilment
of social needs. They do not
run for purpose of profits.
There is an example hat there
is NHS company which is a
public company and it is a
retail company. It was found in
1948. Thus it can provide
unique and suitable services to
all public (Hall, 2011). Thus as
a result they can easily
enhance their services and thus
can deliver effective services
to many people.
Their main objective is to
deliver good services to all
people. Thus they can easily
satisfy many users. Thus firm
can earn more revenues.
Second is the private company
and thus they can generate
more revenues. They do not
Aldi is a company which is a
retail firm and thus it can fulfil
the satisfaction level of the
Their main purpose is to
provide ow quality of products
to poor people so that they can

serve society. company. Thus as a result they
can easily satisfy the people in
minimum time. It is located in
many places and thus it can
easily expand their operations
in minimum time. Many
employees are working in the
company so that they can
increase the level of
satisfaction of many people.
satisfy all needs and wants of
all people. It can be delivered
to poor people who cannot
afford them.
Third is the voluntary
organization whose main
objective is to serve society.
It is not the private sector nor
it is the public sector. For
example there is a company
which is Oxfam and it is a
charitable institution and thus
it can easily provide services
to all people (Kaufmann and
et. al., 2011).
It's main objective is to reduce
poverty from the country. It
also wants that there can be
relief from any contingencies
such as disaster. It can create
various plans and policies so
that it can fulfil all needs and
wants of many people. Thus as
a result they can easily
enhance the satisfaction level
of all people. Thus it can
maintain good image in minds
of all people.
P2 Size and Scope of various types of organisations
In every organisation company are divided on the grounds on the size, structure and
medium in which they are operating their business. Further the sizes of organisation is further
subdivided into various number of sizes like micro, medium and large scale industries and size
and scope of these kind of companies are described below:- Micro scale:- This kind of organisation are generally carry out their operations at limited
scale. The main objective of this business is to earn such type of sufficient amount

through which they maintain their sustainability in local association and also secured
their business in financial terminology also so they able to beat the local competition. Small scale:- In such kind of business association operation related to production and
manufacturing of goods and services are generally done at limited scale of time (Lee and
et. al., 2012). These businesses consist of almost 50 to 55 members and profits the
company they generated during the whole year is about 5 million dollars and they
extended their business at various regions and also take large number of market share that
allow them to expand their market at various countries. Medium scale:- Under this kind of organisation number of employees comprises are
around 300 to 350 employees and earned the revenue of all around the world is about 5 to
23 million dollars and most trending example under this are related to Exponential-e
which is digitalise based company whose main focus is to include some innovative
process in their products and services that leads to accomplishment of objectives (Welter
and Smallbone, 2011). Large scale:- These association comprises of almost 250 internal staff members that
work within the whole area of particular country and revenue that generated by them is
all around 300 million dollars and suitable example that taken under this must be related
to ALDI which is largest multinational retail company comprises of large number of
employees who are specialised in their respective department (López-Gamero and et. al.,
2011).
Differences in objectives:
Micro Small Medium Large

The leading aim of this
kind of scale
association is to earn
their own livelihood
for better sustainability
and thus get the
financially secured
within the society
boundaries.
In this kind of sector,
the main focus is on
maintaining the
healthy and good
lifestyle and thus
grabbing up of
opportunities is the
main motive of this
kind of company.
In this kind of
company, the main
focus is on the
expansion of the
business within the
international market
and thus have to made
themselves a global
leader company.
This kind of business
has the main focus on
structuring the
economy and bring
sustainability within
the nature and that can
be stated as its main
motive.
Scope of different kind of companies
Micro scale:- Scope of their expansion and growth is low due to already establish player in retail
segment and they need more revenue for betting external challenges.
Small scale:- These kind of association using modern tools and mechanism that allow them to
change their position from micro to small and has wider chances of expansion (Teece., 2012).
Medium scale:- Market share and growth is limited up-to the boundary they sale their products
and services and they need license in order to exports their products in various countries that en
chance development of economy.
Large scale:- In order to maintain their brand position in such competitive market they need to
add some innovative features in their product segment so they become the leaders in this
particular sector.
TASK 2
P3 Relationship between different organisational functions and its link with organisation
objectives
Every organisation coming in market having their own objectives and purposes on the
basis of which they formulate their own policies and tactics that allow them to run their
operations in effective manner (Onetti and et. al., 2012). But due to rapid changes coming in
dynamic external environment it is essential for organisation to design such type of organisation
structure on the basis of which they accomplish all the goals and objectives of business. Aldi is
popular supermarket chain that having more than 10,000 stores in more than 20 countries and
comprises of large employee segment around 91000 and deals in different grocery, clothing and

food sector so for the optimum production they require large amount of funds for running their
operation in effective manner.
Currently company using decentralised organisation structure in which all the decision
has been taken by consent of all the employees so they work with best capability and skills. On
the basis of particular organisation structure company divided the work among different
department according to the specialisation of workforce which discuss below:-
Finance department:- Under this division whole finance team of Aldi prepare the budget
under which they maintain the detail regarding all the revenue and expense incurred during the
whole period and external environment demand changes in such structure then company need to
calculate amount on the basis of their rivalry (Owusuand and Habiyakare, 2011).
Human resources:- This department of Aldi mainly focus on hiring and selecting the
candidates for vacant position and selection is done on the basis of professional capability and
the ability to understand all the changes coming in external dynamic environment.
Marketing department:- This department mainly focuses on using modern marketing
techniques and promotional tools like social media and internet sites through which they aware
the customer regarding all the innovative changes that ALDI wants to make in their product
portfolio (Palo and TähtinenSaleem, 2017).
TASK 3 & 4
Covered in PPT
CONCLUSION
It has been analysed or observed from whole assignment that it is utmost duty of all the
corporate to ascertain and predict all the modern changes which were coming in external micro
and macro environment on the basis of which manager must formulate such type of tactics and
marketing policies that allow them to add the value of their products and services that allow them
to gain competitive advantages over competitors. Further, research must be conducted by the
investigator in which they analysed all the opinion of customers regarding their experience they
gain after using the product of ALDI on the basis of which improvement is possible.

REFERENCES
Books and Journal
Elliot, S., 2011. Transdisciplinary perspectives on environmental sustainability: a resource base
and framework for IT-enabled business transformation. Mis quarterly. 35(1). pp.197-
236.
Hall, T. J., 2011. The triple bottom line: what is it and how does it work?. Indiana business
review. 86(1). p.4.
Kaufmann, D., Kraay, A. and Mastruzzi, M., 2011. The worldwide governance indicators:
methodology and analytical issues. Hague Journal on the Rule of Law. 3(2). pp.220-
246.
Lee, S. M., Olson, D. L. and Trimi, S., 2012. Co-innovation: convergenomics, collaboration, and
co-creation for organizational values. Management Decision. 50(5). pp.817-831.
López-Gamero, M. D., Molina-Azorín, J. F. and Claver-Cortés, E., 2011. Environmental
uncertainty and environmental management perception: A multiple case study. Journal
of Business Research, 64(4), pp.427-435.
Onetti, A., and et. al., 2012. Internationalization, innovation and entrepreneurship: business
models for new technology-based firms. Journal of Management & Governance. 16(3).
pp.337-368.
Owusu, R. A. and Habiyakare, E., 2011. Managing risk and turbulence in internationalization of
foreign companies to South Africa: Lessons from seven Finnish business-to-business
firms. Journal of African Business. 12(2). pp.218-237.
Palo, T. and Tähtinen, J., 2011. A network perspective on business models for emerging
technology-based services. Journal of Business & Industrial Marketing. 26(5). pp.377-
388.
Saleem, M. A., 2017. The impact of socio-economic factors on small business success.
Geografia-Malaysian Journal of Society and Space. 8(1).
Teece, D.J., 2012. Dynamic capabilities: Routines versus entrepreneurial action. Journal of
Management Studies. 49(8). pp.1395-1401.
Welter, F. and Smallbone, D., 2011. Institutional perspectives on entrepreneurial behavior in
challenging environments. Journal of Small Business Management. 49(1). pp.107-125.
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Business environment. 2018. [Online]. Available through:
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