Business Environment Report: McDonald's, Oxfam, Crown Prosecution

This report provides a comprehensive analysis of the business environment, focusing on three distinct organizations: McDonald's (private sector), Crown Prosecution Service (public sector), and Oxfam (voluntary organization). It delves into the different purposes and types of organizations, examining their legal structures, stakeholders, and sizes. The report explores the relationship between organizational functions within McDonald's, highlighting the roles of departments like Human Resources and Sales and how they interrelate to achieve organizational goals. Furthermore, the report examines the positive and negative impacts of the macro environment on business operations, including social, economic, legal, political, and technological factors. Internal and external analyses of the organizations are conducted, identifying their strengths and weaknesses and how these factors interact with the macro environment. The report concludes with recommendations aimed at enhancing the future growth of these companies, providing valuable insights for business analysts and students alike.

BUSINESS AND THE
BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different Purpose and Types of organisation........................................................................1
P2 Size and Scope of different types of organisation.................................................................3
TASK 2............................................................................................................................................5
P3 Relationship Between Organisational functions....................................................................5
TASK 3............................................................................................................................................6
P4 Positive and Negative Impact of macro environment on business operations.......................6
P5 Internal and external analysis of organisation and their strength and weaknesses................7
P6 Interrelation of strength and weakness of macro environment elements on a company.......8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Business environment refers all the internal and external factor that affects activities of
industries involving in customers, management demand, rules and regulation of business or
employees. There are various factors that affect business environment such as social,
economical, legal, political and technological. It is important for business organization to
formulate these factors to assure their performance. As a business analyst, This report has been
focuses on three organizations such as McDonald's is an American company which is working in
private sector. Another one is Crown prosecution which is working in public sector and third last
is Oxfam that is working as a voluntary system. According to the report, it includes in specific
information about various types of industries or it defines the relationship between organizational
function with the positive and negative impact of macro environment has been identified in this
report. Moreover, external or internal analysis of industries or along with this strength or
weakness has done. At last this report will be end up by conclusion and recommendation to
increase future growth of the companies (Erasmus, Strydom and Rudansky-Kloppers, 2016).
TASK 1
P1 Different Purpose and Types of organisation
There are various types of business organisations where a social unit of individuals that is
designed and managed to meet a business needs or collective goals. All business organisations
have a management system which determines the relationships in between various activities of
members and particular roles and responsibilities to carried out a different task of an
organization. Business enterprises make some system for companies which are as following:
Private Organisation: These business private organizations are the part of economy, but
some times it can be defined as a citizen sector, which is running with private employees,
individuals or can be a form of groups, So that they can achieve profit by them and main thing is
that it is not controlled by any state. According to private sector, activities are done by the
guidance of purpose to earn money (Al-Saleh and Mahroum, 2015). These organizations have
good brand image in front of the customers or worldwide. In the context of McDonald's it is an
American fast food company, which is founded in 15 April 1955 by Richard and Maurice
McDonald's and their headquarters in Chicago, U.S.
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Purpose- McDonald's is a largest American fast food company with having a specific
purpose to making new taste for their customers and it will help them to increase their standard
of food in a effective manner. The main aim of McDonald's is that increase brand loyalty on their
customers forever. Accordance with an organization their consumers demands on good quality of
food with affordable price. So that it is the responsibility of company to complete their customers
wishes in a effective manner.
Set up of PLC: First step is always concentrate on the business plan which makes plan
easy or short. After planing more search about organisation is also good oprion in order to learn
effectively. Then full knowledge about the company so that set plan of company can easily ready
without any issues.
Legal Structure- McDonald's is a type of joint stock company as per the business
concern where business organisation have a different legal identification from the owners.
Therefore, in private sector customer deals with the shareholders, where McDonald's assured to
their customers that they are achieving new strategies beyond the food which the shareholder
wants to achieve.
Stakeholders- It can be a individual or groups of people which are interested in an
organization according to their plan or actions. Apart from this employees and customers are also
the part of stakeholders.
Public Organisation: These organizations are those which is regulated by government
and survive to render their domestics. Sometimes, they are involve in a private organization to
deliver goods or services. According to the Crown Prosecution service is the principle of public
company for analyse criminal prosecution in England ans Wales, which was established in 1986
by Paul staff (Grigore and Drăgan, 2015).
Purpose- This company has a purpose to cover all criminal cases or issues that have been
analysed by police in England and Wales. They gives effective legal advice to found agencies or
police. These sector avail their services in secondary sector and keep some correct knowledge
and advice related offers. This advice can be for a police in such cases for possible prosecution.
Legal Structure- It describes the top level of crown prosecution service in which all
processes are done by an organization to formulate police proof and then it decides that where
they should take actions against the crime. There are some superiors which are exist in a
company with effective way. So that it helps to making attractive plan or decision regarding their
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evaluation process. It is the better way to communicate with each other to make good results for
futue.
Public organisation setup: For this company have at least two shareholders and also
share the issued to the public. Company should be registered with companies house as well as
have 2 directors or qualified secretary in the company.
Stakeholders- These are the types of public organization which influenced by
government policies or some actions taken by the industries. Stakeholders involved in financial
institution, employees from government sector or shareholders.
Voluntary Organisation: It describes a group of individuals who enters in to an
assigned agreement. On the other hand, volunteer is the type of body to observe the goal and
objective of an organization. In the context of, Oxfam organization, this is a alliance of twenty
independent charitable companies which are sharply defined global poverty and it is the non
profitable system of an organization which was generated in 1942 by Cecil Jackson-Cole in
England.
Purpose- It is very important part of every industry which helps in making long solutions
to the justice of poverty. They have a vision a world without poverty. They wish different type of
world where people can enjoy their life such as rights and lives which can describes their
responsibilities regarding their vision. Mission as a volunteer organization to have good world
where all people treated in a same or effective manner (Hair and et.al., 2015).
Legal requirement for volunteer organization: There are several types of law like
charity law, keeping reports, compliance checklist, legal advice and assistance these all are helps
company in order to follow them.
Legal Structure- It refers to the unincorporated association, community interest for the
company or trust and so on. Whereas,
A trust: In this term people work in a systematic form in order to manage funds and
budget and classified different funds for welfare community.
An Unincorporated association: In this association there are no such legal existence
because of collection of individuals. Their decisions are taken by the group of individuals.
Stakeholders- In this situation some of people are interested and influenced by voluntary
organisation. That involves in staff, board members, volunteers etc. It also described some major
types like, project manager, project team, functional management and sponsors.
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P2 Size and Scope of different types of organisation
There are various types of business organisation, these are given below:
Public organisation : Crown Prosecution Service
Product and Services Size and Scope Vision mission
In CPS these type of
services provide legal
advice to their police
departments and
agencies. They declare
raw information and
focus on criminal
charge on a suspect.
In this, CPS handle
800,000 and much
prosecution under
them. They have 2900
solicitors or 600 staff
members in their
company accordingly
(Bah and Fang, 2015).
Vision is very
important to become
fully independent and
provide necessary
advices to them.
CPS has mission is to
behave professionally.
Its offer their good
advice in very good
manner, on the behalf
of this they can build
trust from their
colleagues or
customers.
Private Organisation : McDonald's
Product and Services Size and Scope Vision mission
McDonald's provides
food services in
various items such as
Hamburgers and
Cheeseburgers several
chicken sandwiches,
chicken Mc nuggets,
snack wraps, cold
drinks, smoothies,
French fries and so on.
So that its uses their
own brand product in
the business
environment.
Its scope and size is
very high because
company operates
34,492 stores across
the world. Industry
have a largest store in
Noida, India which is
spread over 8000 sq.
ft. across two floors
with the capacity of
320 seats (Hamilton,
and Webster, 2018).
McDonald's vision is
to be the world's best
fast service food
restaurant experience.
Where the best means
providing good quality
of food and cleanliness
in restaurants.
Mission of
McDonald's is to be
their customer's
favourite place and
different way to eat
and drink. An
organisation want to
create good
relationships between
customers and wants
to achieve targeted
goals and objectives.
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Voluntary Organisation :Oxfam
Product and Services Size and Scope Vision mission
These type of
organization have aim
to decrease poverty
from the world and
increase customers
standard of living.
These industries sell
their product with
affordable prize and
offer various product
such as food and
beverages, clothes,
groceries and so on.
Their scope and size
with 20 charitable
organization which are
working together in
Oxfam company. It
reduce the poverty and
gives welfare services
in a effective manner.
Organisation has very
attractive vision that is
affordable price in
clothes.
Oxfam mission refers
to the reducing poverty
from all over the
places and take care of
individuals life. It also
develop trust between
the people and remove
inequalities from the
rich and poor people.
TASK 2
P3 Relationship Between Organisational functions
There are various ways of departments in an organisation which perform their business
activities in a effective manner and interrelation way to achieve organisational goals and
objectives. McDonald's has various department which work together in maximise profitability of
an organisation. These department have various roles and responsibilities and have a common
purpose to achieve certain goal or objectives. There are relationship of various departments from
McDonald's, these are as following:
Human Resource Department: In this department, employees fulfil needs and wants of
staff from every department. In McDonald's HRD plays a vital role because it select effective
persons for an organisation. Industry manage their staff through human resource department. HR
department assured to make McDonald's a perfect work place. In the other context HR
department is a difficult part for employees because, some time employees are not able to
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understand things from HR department that can influence employees in a negative way.
Therefore, HR is responsible for payroll, firing, hiring and legal laws (Hillary, 2017).
Sales Department: This is well known department from an every organization that links
between the customer's and the company's product. Sales department work to increase the sales
of an organization through different ideas and price, so that well trained sales department can
make effective pricing strategy. Sales department employees of McDonald's build various
relationship with their customer in a peaceful manner. They also gives good advice to their
customer in the form of product changing strategy and bring something new which is useful for
them. This is all happened because employees from sales department spend time on their
customer to increase brand loyalty on consumers.
Marketing Department: This is necessary for an organization wherein employees plays
attractive role to promote their business of product or services in targeted area. As per the basis
of McDonald's, marketing department employees are very helpful in the term of distributing
sources of raw material. There are various elements of marketing communication mix such as
advertising, sales promotion etc. so that all are important essential to communicate with
customers in a attractive way. These functions also helps to increase proper resources or budget.
As per the above answer or interrelation between customers and human resource
department in McDonald's. It will be profitable for the company as well as it is maintain slow
working performance of the employees. All departments helps in McDonald's to achieve their
targeted goals or objectives, which also helps in maximise future growth of the company. As per
the McDonald's, interrelation is a beneficial term for communicate with people to communicate
in achieving goals.
For example- These functions are the essentials part of every organisation in order to
manage company in an effective manner so that an organisation can easily sustain in the market
for long period of time in an effective manner. Sales, marketing or HRM department are
interconnected in order to manage company's functions in a effective way.
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TASK 3
P4 Positive and Negative Impact of macro environment on business operations
McDonald's is a huge food supply chain within the world. This chain consist some factors
which can affect organization operations because some factors are not controllable. Therefore,
some factors like PEST which is used by McDonald's that are elaborate below:
Political Factor: It is very influencing factor for every organization. It involves in
government policy, foreign trade policy and tax policy or environmental laws (Ketata, Sofka and
Grimpe, 2015). McDonald's provide their products worldwide and a small change of government
policies that can affect their functioning process. For an example: charge heavy amount in import
export duties that can be a reason for loss of McDonald's.
Positive: It helps in company to make legal operations in a effective manner, where no
issues are created.
Negative: Changes in policies or organizational operations by government can be a big
loss of the McDonald's.
Economical Factor: These are very necessary while company is leading their business
globally. McDonald's affected by the economic environment. An organization is doing better
performance since 2015, to grow US economy but things will take time to change, so that its
improved their performance with high fast food chains. For an example: High taxation policies in
import and export.
Positive: Changes in different policies that can help of McDonald's sales their products
with low cost.
Negative: Increase in rates of taxation can easily influence their functionality process of
food supply chain.
Sociological Factor: It refers to the cultural environment in a geographical area.
McDonald's is a largest food supply chain in world that can solve issues related to food, which
can help them to achieve their organizational goals in a effective manner. It will increase their
profitability in the market place. For an example: UN education is a biggest problem in present
days, so that McDonald's can hire knowledgable employees. It will focusing to get quality of
employees and also maximise company's reputation through solving unemployment problem.
Positive: These factors for company in a different way and also helps to improving their
brand value or profitability in a efficient manner.
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Negative: In this factor McDonald's has to follow corporate social responsibilities
activities, if they do not follow then it can influence company in a negative way.
Technological Factor: In current scenario, it is one of the very important factor for
MacDonald's. In this, company has to up dated their system with new technologies, so that an
organisation can perform in a very good manner (Kolk, 2016).
Positive: It will help to company in improve their performance by new technologies.
Negative: New technologies comes in the market day by day so that it can be a reason of
high prize of their product.
P5 Internal and external analysis of organisation and their strength and weaknesses
McDonald's is an American company with largest food supply chain in the world, which
was founded by 15 April, 1955 in California, US. With 75,000 restaurant around the world.
There is SWOT analysis of McDonald's which shows the strength or weakness these are given
below:
Strength Weakness Opportunity Threats
McDonald's has
successfully launch
with new items such as
coffees, smoothies and
expending the range of
menu choice, that are
spread around the
world. An
organization offering
strong product which
increases their growth
for future.
It is difficult to find
good location to create
a set of restaurants.
The US have lot of
restaurants chain, so
growth will have to
occur globally and
company have to face
cultural changes in a
tough manner.
There are lot of
opportunities for new
restaurants.
McDonald's has been
taking of that
advantages. Wherein
China is a great
opportunity for the
company to open their
new restaurants.
In this, government
changes their policy
and rules day by day,
so that it can be a huge
cause of the company.
Therefore, McDonald's
have to faces lot of
competition from
strong brands such as
Burger king or Yum
brands.
P6 Interrelation of strength and weakness of macro environment elements on a company
Every company has their own strength or weakness which helps in to achieve their goals
and objectives. There are various external factors that influence business function in a both
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positive or negative way (Tregear, 2015). In regard of this McDonald's vision towards satisfying
consumers in a effective way. Interrelation of strength or weakness of macro environment are
given below:
Political Social Economical Technological Environmental Legal
McDonald's is
a largest food
chain which is
operates
globally, so
that it
influenced by
individual
state policies
through
government.
Therefore,
Company have
to understand
all legal rules
and regulation,
so that they
can run their
business in a
perfect way.
Strength: If
company
follow all
policies than it
is easy for
company to
operate their
In this factor
McDonald's
have to
increase their
food product
to achieve
their customer
goals and
objectives.
Strength: This
will help to
achieve
costumer's
satisfaction
towards their
various food
product.
Weakness:
McDonald's
should obtain
correct
information
from the
targeted
market, so that
it will help
company in a
McDonald's
have a global
presence
which are
affected by the
changes in
inflation rates
or exchanges
rates. This
factor
determines the
supply and
demand of the
raw material in
an
organization.
Therefore,
company
should be
aware about
these factors to
running their
business
accordingly.
Strength: It is
the strength of
McDonald's
Technology
factors have
various
opportunities
for
McDonald's. It
is necessary to
opt different
technology
such as online,
home delivery
facilities and
so on. It helps
in increasing
company's
sales and
demand in the
market place.
Strength:
When
McDonald's
apply all these
strategies or
new
technologies
on their
business
McDonald's
corporations
can change its
environmental
programmes
and
sustainable as
per the
business
performance.
Strength:
Increasing
interest in
order to make
corporate
environmental
programmes.
Weakness:
Changes can
be happened
any times due
to climate or
weather.
In this
company
changes their
legal system
in order to
give new
shape their
laws in a
different
manner.
Strength:
Maximising
animal welfare
regulations.
Weakness:
enhancing
health
regulation so
that few times
they are not
able to give
proper food
items to their
customers.
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