Business Environment and Analysis Report: Bentley Motors Case Study

This report provides a comprehensive analysis of the business environment, using Bentley Motors as a case study. It begins with an introduction to the business environment and its various influencing factors, followed by an examination of different types of organizations including public, private, and voluntary sectors, along with their legal structures, purposes, sizes, and scopes. The report then delves into the relationship between different organizational functions and their objectives. It includes PESTLE and SWOT analyses of Bentley Motors, evaluating the positive and negative impacts of the macro environment and conducting internal and external analyses of the organization's strengths and weaknesses. The interrelation of strengths and weaknesses with external macro factors is also discussed. The report concludes with a summary of the key findings and provides references.

BUSINESS
ENVIRONMENT AND
ANALYSIS

EXECUTIVE SUMMARY
Business environment is sum of all micro and macro factors which influences the
working within an organisation. It is a broad concept and includes aspects like employees,
administration, consumer, demand and supply within market, profitability and many more
factors. The main purpose to carry out this research is analyse different kinds of organisation and
their working pattern by identifying their purpose, size, scope and objectives. Different
companies have different goals and to achieve them they formulate various kinds of tactics and
strategies. This report also includes internal and external factors which impacts the revenue, sales
and profitability of an organisation. If these factors are considered in a proper way, it will easier
for a company to achieve its desired outcomes and targets.

Contents
Contents...........................................................................................................................................2
INTRODUCTION ..........................................................................................................................1
Different types of organisations along with their purpose, size, legal structure and scope.............1
Analyse different types and purposes of organisations; public, private and voluntary sectors
and legal structures.................................................................................................................1
Size and Scope of various types of organisation....................................................................3
Relationship between various functions of organisation in respect to objectives..................5
PESTLE and SWOT analysis of Bentley Motors............................................................................8
Positive and negative impact of macro environment upon business organisation.................8
Internal and External analysis to strengths and weakness of organisation.............................8
Interrelation of Strength and weakness with external Macro factors.....................................8
CONCLUSION................................................................................................................................8
REFERENCES ...............................................................................................................................8

INTRODUCTION
Business environment is considered as the aggregate of all external and internal factors
which has impact on the functioning of the company. These factors also include aspects like
management, workers, customers, demand and supply along with regulations associated with
business. Main purpose of managing a business is to earn capital by buying and selling goods
and services. This report is based on Bentley Motors which is a Britain based automotive
company. Company is pioneer in manufacturing SUVs and luxurious cars, situated in Crewe
England. This report undertakes various purposes and types of organizations along with their
legal structure (Crane and Matten, 2016). Also, scope and range of different organisations and
their interrelation is mentioned. At last, Internal and external elements which affects the working
of an organisation is discussed.
Different types of organisations along with their purpose, size, legal structure
and scope.
Analyse different types and purposes of organisations; public, private and voluntary sectors and
legal structures
Different organisations have different scopes and mission which shapes the market value
of a particular organisation. These organisations which have a considerable impact on the
economy of UK. These firms are categorised into private, public and voluntary sector. Detailed
information including their legal structure and purpose is mentioned beneath:
Public sector organisation: Public sector includes public service and public enterprise.
These enterprises are managed and owned by government authorities and officials. Public
services like police, military, public transit, infrastructure and public education also came under
this (Gharajedaghi, 2011). Their main objective is to provide welfare to the citizens of concerned
country. Shares and profits earned by these companies are freely given to the masses in UK.
National Health Service is a public organization in UK. This firm provides healthcare and related
services globally.
Purpose of NHS:
 Major objective of this organisation is to offer basic healthcare services and facilities to
the citizens in UK.
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 They formulate their strategies according to the requirements of people especially poor
and marginalised section.
 NHS contributes in social and financial growth of UK by providing standardised services.
Legal structure:
 Local government: They undertake small areas and locations such as town, districts
and cities.
 State government: They formulates laws and policies of a particular state. Regulations
implemented by them are followed by residents of that state only. Their objective is to
consider the needs and requirements of citizens of concerned state.
Central government: They formulate and regulate laws & regulations in entire UK. Both state
and local government are accountable to central government for their actions (Gilboy, G. J.,
2016). They manage law and order in entire UK.
Private organisation: These organisations are managed and incorporated by people with
the purpose of generating profit and revenue. These firm enhances job opportunities and
offer services and goods to satisfy the demands of people. This leads towards increment of
economic status in UK. Bentley Motors is a private retail organisation which is
manufacturer of cars and other parts of vehicles.
Purpose of Morgan motors:
 Objective of Bentley motors is to develop efficient and affordable cars which will
helps them in expanding their clients base.
 By incorporating new technology company wants to gain competitive advantage
against rival companies.
Legal structure:
Sole proprietorship: In this structure business is managed and owned by an individual person to
earn capital and profit in order to live a healthy and maintained life (Li and et. al., 2011).
Businesses like departmental store, groceries and tailors came under this legal structure.
 Partnership: It involve those firms that are run and handled by two or more than
two people. All involved individuals signs a legal contract and have same powers
while making a decision. All concerned partners experience equal profit and loss.
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 Private limited company: In this structure business possess a different legal
identity from their business owner. These companies are usually family and
friends owned business. These companies are small in size.
 Public limited company: These businesses are managed by board of directors on
the behalf of shareholders and business owners. These organisations have
sufficient annual turnover which results in high standard of living.
Voluntary organisation: This sector includes those organisations which provide help and
welfare to poor and marginalised people without considering their own benefits. Hybrid, Non-
profit and for profit are three kinds of voluntary organisations which deliver help to helpless
people. UNICEF which is a children fund organisation, situated in New York. It gives help and
assistance to needy children and mother (Sekaran and Bougie, 2016).
Purpose of UNICEF:
 Organisation aims to protect the rights of mothers and children by delivering them
required aid and assistance.
 They conduct operations to eliminate poverty and overcome issues like chronic
and terminal illness, discrimination and violence faced by mother and kids.
Legal structure:
 Association: It is an unincorporated structure which is favoured by small and new
groups. It exists where a group of people works together to achieve an agreed
goal. It includes member which delegate their power to a committee to carry out
operations and activities.
 Trusts: It is a traditional structure for charity and governed by trust deed which
provides administration and object to trust along with name the trustees. In trusts
no membership is needed.
Size and Scope of various types of organisation
There are three kinds of organisations i.e. private, voluntary and public that carryout
business operations with different scope and purpose. These firms also differentiate in
accordance with their structure, objective, scope and size which are mentioned below:
Public organisations: NHS is a public organisation in UK which offers emergency treatment
and health related services to citizens in UK.
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Products and services: This public institution offers services and facilities like basic & critical
medical services to people without charging them any money. Some of the facilities provided by
NHS are dental care, long term health care service, eye and ear tests, ophthalmology and many
more (Tayur, Ganeshan and Magazine, 2012).
 Size and scope: At present NHS has around 220 clinical and healthcare
commissioning groups and approx. 1.5 million service providers are collaborated
with this organisation. NHS is managed and owned by government of UK and
officials there spend more than 112 billion pounds every year in order to provide
free and basic services to marginalised and needy citizens.
 Vision and mission: Major motive and mission of NHS is to form associations by
involving those individuals which wants to provides social service and care to poor
people without considering their own benefits. Also, major vision of this agency is
to improve and enhance the condition of patients in UK. They also offer services to
needy people of other countries.
 Business objective: Main objective of NHS is to offer emergency services and
treatment to patients at minimum charge.
Private organization: Bentley motors is a pioneer in manufacturing car and vehicle parts. They
provide their facilities worldwide and ranked among top automotive organisation.
 Size and scope: Company has employed around 4000 employees at present and
they produce approx. 9000. Bentley is a subsidiary of Volkswagen. This company
has its market presence worldwide, especially in China.
 Vision and mission: To became a best retailer of luxurious car and SUVs
manufacturing. Providing affordable and environment friendly vehicle is main
vision of Bentley motors.
 Business objectives: Main aim of Bentley motors is to satisfy the demands of
clients while generating huge amount of capital and profitability.
Voluntary organisation: UNICEF is a no profit organisation which provide welfare services to
helpless kids and mothers worldwide.
 Products and service: They fight and provide justice to children and mothers
which are victim of violence, discrimination and disease.
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Size and scope: Organisation has a strong and effective presence in 192 countries and provide
advocacy to children. It is entirely supported by voluntary trusts and funds. Government provides
around two third funds to UNICEF for managing activities (Türetken and et. al., 2011, ). Rest of
the amount is managed through private groups and individual owners which are 6 million in
number.
 Vision and mission: Fight against violence faced by women and children is their
main mission. Also, their vision is to enhance the living standard of society by
incorporating strategies to tackle issues.
 Business objective: Their objective is to enhance the status of women and
children within society.
Relationship between various functions of organisation in respect to objectives
People within an organisation are segmented into different units and departments on the
basis of their interest and skills. This helps the company in executing their operations in an
efficient way. Various departments associated with Bentley motors are production, human
resource, finance, research and development, sales and marketing. These divisions have different
number of employees and they carry out various kinds of activities which helps Bentley motors
to sustain their position within market place. People under these units are given work on the
basis of their ability and work interest. This enables the organisation to have sufficient
subordinates for carrying out operations like manufacturing, advertising and delivery of products
& services to their potential customers.
Human resource department: The main function of this division is to recruit efficient
and hard-working employees which helps the company in managing their workforce. This
manpower conducts all the major activities and operations within company according to the
allotted work. Hiring, selecting, providing induction and orientation, compensation, Training and
development, managing relations among employees are some activities which are conducted by
human resource department of Bentley. By carrying out these operations staff members in other
departments like operation, finance, sales, R&D and many other are delegated and distributed.
This allow management of Bentley to gain competitive advantage over the competitors and
satisfying the requirement of customers while making profitability.
Finance department: The main responsibility of this division is to manage finances and
funds of an organisation in an appropriate manner. They formulate plan and strategies, conduct
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activities like accounting and auditing, manage and control the flow of capital in different
business operations and activities (Vaiman, Sigurjonsson and Davidsson, 2011). To carry out
these operations appropriately, financial statement which included loss and profit margins,
balance sheets and cash flow statements are managed and maintained by finance department of
Bentley motors. This depicts them their market position by acknowledging them about their
market shares and profit margins. It is the duty of finance department to allocate sufficient
budget to other departments, this results in smooth functioning of operations within organisation
as per the demands of consumers.
Research and development department: Their main motive is to conducts survey from
masses to acknowledge the changing need of people. R&D also collect information related with
rival organisations. This helps Bentley to gain competitive advantage over rival firms. The
simplest way to expand customer base is to carter their changing needs and demands as a
priority. Bentley motors is a manufacturer of luxurious SUVs and cars whose research and
development department carry out market research to gather information about current market
conditions. This allows the company to manufacture modern and technology advanced cars
which grabs attentions of people worldwide.
Production/ Operation department: This division plays most crucial role within
organisation. They manufacture & deliver products and services to their clients. It is very
important to consider the demand and requirement of clients while manufacturing product,
research carryout by R&D department helps them in acknowledging about the demands of
people. In Bentley motors, the responsibility of operation team is to handle that company has
sufficient cars and SUVs manufactured according to the market demand. Also they ensure
vehicles are modern, technology advanced and non-defective. this helps the company in
sustaining their revenue and image within market.
Marketing department: The main task of this department is to acknowledge people
regarding services and products which the company is providing. To achieve this, a well
formulated marketing plan is developed in which important aspects like target market, marketing
mix and budget is defined. Marketing mix incudes 7p’s which covers almost all marketplace.
This p’s are place, promotion, product, price, physical evidence, process and people which are
undertaken by marketing unit. Other activities and operations carried out by this division is sales
promotion, publicity of products, advertising which helps the Bentley motors in increasing their
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sale volume. In this finance team decides the fund which is allotted to marketing department to
carry out promotional activities (Wack, 2017).
Sales department: This unit consists of those employees which communicate, negotiate
and interact with the customers within marketplace. Duty of salesperson in Bentley motors is to
give information to purchasers about the products, attributes, their features and speciality. Along
with this, they take feedback of people to ascertain their suggestions and opinions regarding the
services and products offered by company. Improvement is existing products are made in
accordance with these suggestions and feedback. In this support of marketing team to sales team
is acknowledging them the ways to persuade and convince their potential clients. They assist
R&D team to carry out changes in products in accordance with the needs of customers.
Organisational structure: Divisional matrix, project and functional are different kinds
of structure within organisation that are used by management and administration to design
systems.
Figure 1: Divisional Organisation Structure
(Source: Divisional Organisation Structure, 2018)
Conditions prevailing in market, objective, scope and size of company are various aspects which
decides the distribution and delegation of workers within each department. Bentley is a private
car and SUV manufacturing organisation which has successfully presented itself worldwide. For
this organisation, divisional structure is implemented by the top authorities to conduct and
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operate business at international level. These different divisions such as marketing, finance,
R&D and other carry out their operations appropriately which helps Bentley motors in
generating large revenue and profit. This also helps company in maintaining their position
against their rival organisations.
PESTLE and SWOT analysis of Bentley Motors
Positive and negative impact of macro environment upon business organisation
Covered in PPT
Internal and External analysis to strengths and weakness of organisation
Covered in PPT
Interrelation of Strength and weakness with external Macro factors
Covered in PPT
CONCLUSION
From the above mentioned report, it is comprehended and analysed that private, public and
voluntary are different kinds of organisation. These companies have different size, structure,
scope, purpose and objective. Different divisions within organisation such as Human resource,
sales, marketing, finance, operation, research and development have interrelation with one
another and manages the operations within company efficiently. These units help administration
to adopt and undertake divisional structure for executing business operations effectively.
PESTLE analysis assist seniors to identify negative and positive impact of external factors on the
organisation. SWOT analysis supports administration to identify strengths for taking advantage
of opportunities. Also, weakness along with threats are minimised for systematic execution of
operations and activities associated with business. Thus, competitive advantage is gained which
increases position of company in market and also brand image.
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Online
Business environment. 2018. [Online]. Available through:
<http://www.investorwords.com/19252/business_environment.html>.
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