Business and the Business Environment: Unit 1 Report Analysis

This report provides an in-depth analysis of the business environment, focusing on three distinct organizations: Marks and Spencer, Poundland, and the National Trust. The introduction defines the business environment and its influence on company operations, followed by a detailed case study of Marks and Spencer, a retail sector company. The main body explores the organizational structures, functional activities, and size and scope of each company, differentiating between public, private, and voluntary sectors. Marks and Spencer's decentralized structure and global operations are examined, alongside Poundland's private sector operations and the National Trust's voluntary sector activities. The report highlights the interrelation of functions within each organization and concludes with a comparative analysis of their aims, objectives, and market positions. This report aims to provide a comprehensive understanding of the business environment and the operational characteristics of various organizational types.

Unit 1 Business and the
Business Environment

Table of Contents
INTRODUCTION.................................................................................................................................3
MAIN BODY........................................................................................................................................3
Introduction of organisations.............................................................................................................3
Size and scope of different type of organisation................................................................................5
Different functional activity of organisation......................................................................................8
CONCLSUION...................................................................................................................................10
REFERENCES....................................................................................................................................11

INTRODUCTION
Business environment is the projection of different internal and external factors that
influences company’s operations. All stakeholders associated with the organisation are a part
of the business environment. This report will project the detailed case study of Marks and
Spencer Company in respect to its business environment. Company was established in the
year 1884 by the founders Michael Marks and Thomas Spencer. Company operate its
business operations in retail sect6or all across the globe. Organisation serves its services at
more than 1400 locations all across the globe. Company is also listed in London Stock
Exchange. This report will project the brief description of the company. Henceforth, report
will project an overview about three different organisations associated with business
environment. This report will project the background details of the three chosen
organisations. Furthermore, report will emphasis on how the functions of the chosen
company is interrelated to each other.
MAIN BODY
Introduction of organisations
Marks and Spencer Company
Marks and Spencer Company is a retail sector natively belongs to United Kingdom.
Company is a public sector company conducts global business operations in retail sector. The
company has a decentralised structure that supports company in managing and controls the
entire operations of the company. Decentralised organisation structure allows company to
segregate all functional activity of the company into different departments (Chekh and
Vinnyk, 2017). Company’s organisation hierarchy comprises with multiple departments like
sales, marketing, logistic, operation, human resource management, public relation and other
functional departments. All such departments are associated with different functional
activities. On the basis of the nature of operation all functions of company are assigned to a
separate functional department. Decentralised organisation hierarchy allows company to
improve the work efficiency of different functional activity of the company. Marks and
Spencer Company is associated with the retail sector and also the company do not involves in
producing the retail products. Company sale the products of other brands part of the retail
sector. Products portfolio of the company is comprises with food products, home product and
clothing line.

Aim and objectives of the Marks and Spencer Company is to create its dominance in
the retail sector all across the globe. Company always engage with business expansion
strategies which further resulted into currently Marks and Spencer Company conducting its
business operations in more than 1400 business locations all across the globe. Business
operations of the company involve different product segments that include food products,
home product and clothing line. With the support of all such departments company control
the functional activity of all such product segments (Esangbedo and Che, 2016). There is not
any legal structure specified for the public sector organisation. Public sector companies can
offer share holdings to general public. Public sector company can offer shares to the normal
people in order to raise funds for different functional activity of the company. Marks and
Spencer Company is listed in London Stock Exchange in order to raise funds for different
functional activity of the company. With the support of its capital company raise funds.
Legislation do not serve any restriction for the public sector company in context to ask funds
from the general public in form of share holding in against to the functional activity of the
company.
Pound land Company
Pound land Company is a retail sector company operate its business operations in
retail sector. Company belongs to United Kingdom. Company is founded in the year 1990 by
the founders Dave Dodd and Steven Smith. Headquarter of the company is located in United
Kingdom. Company operate in more than 800 locations all across the globe. Company is
associated with the private sector in United Kingdom (Fernandes, 2017). Organisation
hierarchy of the Pound land Company is segregated into different departments on the basis of
the nature of operations. Hierarchy of company serves various departments like marketing,
sales, finance, human resource department and other functional departments. On the basis of
the nature of operations all such functional activities are associated with such departments.
Pound land Company is among the top private sector organisation conducts business
operations in United Kingdom. Company deals ion grocery, consumer goods, DIY and
electrical. On the basis of the legal requirements there is not any specific legislative
requirement organisation needs to cope up with. Legislation implements restrictions over the
private sector organisation in respect to offer share holding to the general public. Company
can only ask funds for the stakeholders associated with the company in any context.

Company can’t ask for funds from the normal peoples in United Kingdom in context to
conduct normal functional activity of the company.
The National Trust
The National Trust is among the largest voluntary sector organisation associated with
the United Kingdom. The organisation is associated with more than 3.4 million peoples in
United Kingdom. The organisation is engaged in conservation of cultural heritage in United
Kingdom. Trust operates its operations all across the United Kingdom (Gaur and Jasmin,
2017). All such trust needs to register in the legal structure of the United Kingdom. Trust are
not associated with earning funds for the business the main aim of the organisation is to do
some kind of social activity for the well fare of the society. National trust is among the most
popular trust operates in United Kingdom.
On the basis of the legal regulations there is not any restriction opposes on the trust in
respect to its organisation hierarchy or structure. The trust is free from any structure opposes
by laws. On the basis of the suitability of the trust it can acquire its structure. The functional
activity of the trust is also segregated into different departments like marketing, operation,
logistic and other functional department. On the basis of the nature of operations all functions
of trust are segregated into these functional departments.
Size and scope of different type of organisation
Size and scope of different types of organisation can be projected in the following
manner.
Marks and Spencer Company
Marks and Spencer Company is among the most dominating organisation in the retail
sector. Company is based in Untied Kingdom and started its business operations in the year
1884 by Michael Marks and Thomas Spencer. Today company is engaged with global base of
business operations at more than 1400 locations all across the globe. Marks and Spencer
Company is growing at the rate of approximately 5% every year (Głodowska, 2017). This is
an effective growth rate company is entertaining on an average basis in its business
operations. Operation of company is vast in nature as the organisation is associated with more
than 1400 business location all across the globe. Company serve various brands like Per Una,
Autograph, Limited, Rosie, Blue Harbour and other top brands belong to the retail sector.
Company is also a part of the FTSE 100 Index.

The organisation was founded by the partnership between Michael Marks and
Thomas Spencer. Both the partners were migrated to England due professional career.
Michael Marks was migrated to England in the year 1880. Thomas Spencer was the cashier in
the market of Skipton, England. When he arrived in England Marks was already working
with the company called Barren. In the year 18884 both the partner meet and started the
organisation call Marks and Spencer. Company entertained an effective domestic growth in
very recent years which further transformed into international expansion of business.
Company initiated its international expansion by opening stores in Canada in the year 1973.
Today the organisation has becomes one of the largest retail sector chain with comprises
1400 business locations at global level (Kasemsap, 2018). Company carry a strong
dominance in the retail market all access the globe. Retail sector belongs to the basic needs
and requirements of the customers as the products comprises with basic human needs that
also offers heavy sales of the products for the company. Due to effective sales potential sector
consist up with strong and aggressive competition can also see in the sector. Apart from the
aggressive competition from other companies like Asda, Tesco, Wall mart and other
companies the organisation conduct effectively meet up its business objectives due to strong
leadership and decision making of the company.
Marks and Spencer Company also operate its business operation over internet.
Company is also engaged with e-commerce trade. Online retailing has been seen as the
transformation in the entire sector. This is the new segment that becomes part of the industry
due to technological advancement and developments. Marks and Spencer Company also a
crucial part of the online retailing all across the globe. Company’s growth rate in the online
retail sector is more than 12% all across the globe (Kumar and Pradhan, 2016). This can be
projected as the improvise growth rate company as the online retailing offers more aggressive
market competition as compare to other retail segment. As the new companies like Amazon
and other e-commerce sites also involves in serving competition to the company. Apart from
heavy competition Marks and Spencer Company is growing rapidly in online retail sector all
across the globe. Online retailing has further improved the growth potential of the company.
Company aims to improve its profitability every year from its functional activity. Company
has objectives to dominate the retail sector all across the globe. All functional activity of the
Marks and Spencer Company is deeply influences with its aims and objectives.
Pound Land Company

Pound Land Company is a United Kingdom based organisation. Company is
associated with the business operations in retail sector. Company was founded by the Dave
Dodd and Steven Smith. Pound Land Company deals in groceries, consumer goods, DIY and
electrical products. Company has a global business base comprises with more than 860
locations all across the globe as per the recent statistics of company.
Company is a British variety store chain which stated in the year 1990. Initially the
organisation was started between the partnership of Dave Dodd and Steven Smith with the
capital of £50,000 (Lisowska, 2016). Company is among the top private sector retail
organisation in United Kingdom. The number of stores projects that the company has an
expanded business scale in respect to the private sector organisation. Company also engaged
in selling its products over internet. Online retailing is the latest trend associated with the
retail sector. The online retailing is growing at the rate of approximately 25% every year
which has also attracted all companies engaged in retail trade towards selling its products
over internet. The scale of business of the company is really impressive as compare to other
private sector companies operates in United Kingdom. The aim and objectives of the
organisation is to warn profitability. Company has an objective to dominate the entire retail
sector all across the globe.
The National Trust
The National trust is not a profit making organisation. The organisation is engaged in
serving its services for the social causes in United Kingdom. The objectives of the
organisation are to improve the conservation of all heritage sites in United Kingdom. More
than 3 million peoples are associated with the National Trust. This is global organisation
carry operations in more than 50 countries all across the globe (Viriyasitavat and et.al., 2018).
The organisation works to conserve the heritage sites and locations. The scale of the
operation of the trust is diversified in nature.
The truest is not engaged i selling any product or services to entertain profits from its
operation activity. The scale of the operations is also huge of the trust. Apart from the social
activity trust has a global base of operations that also projects that the trust is operating at a
very high level of operation functions.

The above projects points have indicated about the different scope of the functional
activity of all three types of organisation. Aims and objectives behind the operation has also
project in respect to all three types of organisations.
Different functional activity of organisation
Marks and Spencer Company’s organisation hierarchy is distributed into different
functional departments. With the support of all such functional department company manage
all its functional activities.
Sales department: Sales department is among the key department associated with the
organisation hierarchy of the Marks and Spencer Company. Sales department in the sales of
the company. Sales are among the primary functional activity Marks and Spencer Company
is engaged with. Profitability of the company immensely depends upon the sales of the
company (Petrescu and Petrescu-Mag, 2016). This functional activity carries huger impact
over the objectives of the company. Sales support company in achieving all its objectives
behind conducting business operations. All functional activity of the company like
operations, marketing, public relation and other functional activities is conducted in company
by aiming to enhance company’s potentials to entertain sales. As the sales influences growth
of the company this can be projected as the main functional activity hierarchy of organisation
is engaged with. All functional activity of company is engaged with directly influences the
sales potential of the company. Management of Marks and Spencer Company also engage in
various business expansion and product development functions that are also aimed to expand
the company’s sales potential to entertain more effective growth opportunities for the
company.
Operation department: Operation department is also among the key functional department
associated with the organisation hierarchy of the Marks and Spencer Company. This
department is engaged with different functional activity that can support company’s sales in
the market. Operation department is involved in managing the entire system of company that
entertain sales of company (Rialp-Criado and Komochkova, 2017). All functional activity of
the company is interconnected with each other. In order to perform the operations of the
department it is essential for all departments to put collaborative efforts to achieve its
objectives. Operations also involve managing the system of the company. This is also an
important part of the functional activity of the company. Managing the entire system put huge
efforts over the sales and growth potential of the company.

Logistic department: Logistic is also an important functional department associated with the
organisation hierarchy of the Marks and Spencer Company. Logistics involves in supplying
all products of company and its delivery related operations. This is an important functional
activity associated with the organisation hierarchy of company. Logistic put a huge impact
over the sales of the company. As the department engaged in ensuring the strong delivery and
supply chain of the company which put an impact over the sales potential of the company. In
case of retail sector it is important for the company to ensure proper availability of the latest
trendy and fashionable products that can attract customers of company. Proper functions of
logistics influences the availability of all trendy and fashionable retail products that can
engage the purchasing decision of the customers (Safar and et.al., 2018). Logistic also
involves in improving the supply chain of the company by making more strategic alliances
with other suppliers at global level. Supply chain network is an important part of the
company that supports growth of the organisation in market. Logistics contribute and support
company in achieving high growth potentials by improving the sales potentials of company in
market.
Human resource department: Human resource department in engaged in ensuring proper
availability iof skilled human resources for different functional ctivuyt in company. Human
resource department play a huge role in managing and controlling the human resources in the
company. Human resources are among the key ersourxces organisation posses who
contributes in the growth and development of the organisation. Department engaged in
availing human resources at different designated positions in the organisation. Department
involves in managing the different needs of the human beings part of the organisation.
Department engaged with drafting different employee development programs that can
support growth of human resources part of the organisation (Saleem, 2017). Department also
involves in recruiting and selecting human resources at different designated positions in the
organisation. Department also involve in solving different issues human resources of Marks
and Spencer Company is engaged with as a part of the designated role in the company. This
is an important functional activity human resource department is engaged with. All such
functions Human Resource Department is engaged put a huge impact over company
achieving its growth objectives and other aims behind conducting functional activity of the
company.
Marketing department: Marketing department is among the key functional department part
of the Marks and Spencer Company organisation hierarchy. Department is engaged in

monitoring and control the marketing functions of the company. In order to gain effective
growth opportunities in the market and also to improve the sales potential of company
marketing department play a huge ole for the company (Virglerová and et.al., 2017).
Marketing department supports other department like sales department in channelling the
promotional campaigns related to products of company so that sales department of company
can achieve all its objectives. With the support of marketing campaigns launches by
marketing department sales department try to make the products offer by Marks and Spencer
Company as a trendy products so that it can meet all its sales objectives. Marketing
department also support human resource department to channelize different promotional
campaigns related to the recruitment and selection in company. This is also another
functional activity company is engaged with. All functions perform by marketing department
put a huge impact over the company in achieving all its objectives.
Finance department: Finance department is engaged in managing and controlling the
finance relates functions of company. Finance department provide budgets to all functional
departments of company so that all functional activity of the company can be managed
efficiently. By allocation of financial resources finance department supports other functional
department in company to achieve all objectives behind the operations of such department.
The above mentioned functional department are interrelated to each other in order to
achieve all objectives.
CONCLSUION
This report has projected about different types of organisation comprises with public
sector, private sector and voluntary sector. All departments carry some specific requirements
that need to fulfil. Public sector organisation can offer share holding to general public. Private
sector organisation do not have right to offer share holding to general public. All functional
department of company such as sales, marketing, human resources, public relation, finance
and other functional department are interconnected with each other in order to achieve all
objectives.

REFERENCES
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