Business and Business Environment: ASDA Analysis and Report

This report provides a comprehensive analysis of ASDA's business environment, encompassing organizational types, purposes, legal structures, and stakeholder relationships. It delves into the size and scope of various organizations, including public, private (ASDA), and voluntary sectors, linking these aspects to business objectives. The report examines the interrelationship of organizational functions, such as marketing and human resources, and their impact on ASDA's structure and goals. It further assesses the impacts of the macro-environment using the PESTLE model and conducts an internal and external analysis, culminating in a SWOT analysis to evaluate the interplay of strengths, weaknesses, and external factors. The analysis concludes with an evaluation of how macro and micro factors influence ASDA's business objectives and decision-making processes. The report uses an organizational chart to demonstrate the structure. Overall, the report provides a detailed overview of the various factors that impact ASDA’s business operations and strategic planning.

Business and Business
Environment

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Organisational types with purposes, legal structure as well as stakeholders........................3
P2. Size and scope of different organisations..............................................................................3
M1. Structure, size addition to scope of organisations linked with business objectives............3
TASK 2............................................................................................................................................4
P3. Relationship among organisational functions.......................................................................4
M2. Advantages together with disadvantages of interrelationships among functions of
organisation..................................................................................................................................6
D1. Analysis of complexities.......................................................................................................6
TASK 3............................................................................................................................................7
P4. Impacts of macro environment..............................................................................................7
M3. Application of PESTLE model..........................................................................................10
TASK 4..........................................................................................................................................10
P5.Internal and external analysis...............................................................................................10
P6. Interrelation of strengths and weaknesses with external macro factors..............................11
M4. Application of SWOT analysis..........................................................................................13
D2. Evaluation of impacts of macro and micro factors on business objectives and decision
making.......................................................................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Business environment is termed as the person, management and other internal and as well as
external forces that manage and guide by management of business. The internal and external
forces creates economic conditions, technologies, suppliers, trends, media, market arrangements,
consumers demands with several sort of terms and conditions. As it also involve the manner of
the risk in the management that helps the business to deal with resources, variations, presentation
as efficiently (Adapa, Sheridan, and Yarram, 2021). It directly maintain the future term of
planning and training of business. The management consider in this report is ASDA. The
company is established in England, United Kingdom. The organisation implements their
functions and operations in retail sector. The report deliberates the manner of the various sort of
types of organisational size, scope, structure, purpose. There is also a discussion about
relationship in between managerial sector operations that are connected with the structure and
aims of the business. As it also evolve the manner of the internal and external sections that
relates with the strength and weaknesses in performing managerial operations and functions.
TASK 1
P1. Organisational types with purposes, legal structure as well as stakeholders.
Organization is considered as group additions to the structures that are being managed by
individuals which are having goals of achieving certain objectives (Hussain, and et.al., 2018).
Then there are various organization which are being performing in the economy to maximize
their profits and revenues. There are certain organization which are discussed below:
Public sector organization: Company that is controlled and managed by central government
are known as public sector organization. As there can be various types of organization which re
coming under this pubic sector. These are NICE, British army, and Crown prospective that are
operating in UK. The organization selected is NICE, which is the National Institute for
Excellence in Health and Care in London, England. It publishes guidelines on health technology,
medicine, clinical practice, and social care services.
 Purpose: the purpose of public sector organizations is to redistribute income and wealth
across regions or across sectors, provide sources of capital formation, develop
infrastructure, and achieve planned resource allocation. The purpose of NICE is to

provide guidance and advice, develop quality standards and database management to
improve health and social care systems.
 Stakeholders: Stakeholders that are portion of public sector organizations are financial
institutions, employees, governments, etc. NICE's main stakeholders are local authorities,
trustees, investors and employees.
 Legal structure: The legal structure within the public sector organization consists of
public companies, local governments, and the central government (Muthuveloo,
Shanmugam, and Teoh, 2017). NICE managers are all from the operating department of
the central government structure.
Private sector: These organizations are initiated, managed, jointly controlled, and led by
one or most people. They create profits by providing products at better prices and different
quality from their competitors. In the context of the report, Asda, Sainsbury, Caterpillar, Tesco,
John Lewis and Apple are some of the companies in the private sector organization in the UK.
Among, Asda was selected. The company is a private entity engaged in food supply activities.
 Purpose: The main purpose of the existence of private sector organizations is to survive
and develop in order to maximize profits and satisfaction. The main purpose of Asda's
existence is to provide high-quality services at a fair price to improve customer
satisfaction and maximize revenue by delivering the products required by the target
audience at the right time.
 Stakeholder: The main stakeholders of the selected organization are customers,
investors, shareholders, local communities, suppliers, etc. Asda's stakeholders are local
communities, distributors, regulatory agencies, owners, shareholders, etc.
 Legal structure: In the context of the private organization sector, it includes legal
structures such as private limited partnerships, corporate structures, and unincorporated
structures (Ølnes, Ubacht, and Janssen, 2017). Therefore, the management of Asda
follows the legal structure of the company.
Voluntary organization: It is not a professional group; non-governmental companies are
part of voluntary organizations. Such an association includes a variety of organizations such as
charity, religious, educational, medical, promotion, entertainment, satellite fabric. A wide range

of organizations in the United Kingdom are Oxfam, British hear foundation and national trust,
etc. The relevance of the current scenario is selected. Such entities are the federation of more
than 20 charities that emphasize global relaxation of poverty.
 Purpose: The main objective of voluntary organizations is to focus on social welfare
beyond social development. The purpose of the organization is to create solutions for
poverty and injustice and to raise monetary funds to provide basic services to the public
together with society for development purposes. The purpose of Oxfam's work is to
empower members of society to solve problems of poverty through social services.
 Stakeholder: the stakeholders in these organisations are donors, staff members,
supporters and trustees etc (Rakhmonkulov, and Usarov, 2019). in context with Oxfam
association, the stakeholders are service users, trustees and interested groups etc.
 Legal structure: The legal structure of a company is used by Oxfam is trust legal
structure.
P2. Size and scope of different organisations.
In a highly competitive world, the motivations of different organizations to operate their
businesses are all to reach higher heights. Different organizations have different scales and
develop procedures or plans accordingly to achieve their goals. In the context of this report, three
organizations and their scope and scale are mentioned:
Public organisation is NICE:
 Size: NICE employs a large number of employees, including more than 500 people
working in England and Northern Ireland, Wales and Scotland, to provide services that
increase customer satisfaction (Reinalda, 2018). They provide services related to health,
education and social care.
 Scope: The organization uses digital technology to provide faster services to people
living inside and outside borders, so there is room for business expansion. Provides
services on a global scale. Goal: NICE's goal is to eliminate discrimination by building
strong relationships. The company has another goal, which is to create more value by
recognizing innovation and providing health guidance to the public.
Private organisation is Asda:

 Size: Asda has 33 Super Centres, 35 Living Shops, 65 Gateway Supermarkets, 400 Super
Stores, 300 Gas Stations Few Pilot George Stores, 200 Supermarkets and more. Clothing,
Housewares, Electronics, Beauty Products, Toys and Financial Services Related Services.
 Scope: Management employs skilled and unskilled individuals with the ability to perform
activities and learn new things using advanced technology to expand the scope of their
business for global activities. We provide shipping and financial services related services.
 Purpose: Asda's core purpose is to meet customer expectations for groceries along with
non-grocery products. The goal is to attract new customers while retaining existing ones
by offering products and services at affordable prices.
Voluntary organisation is Oxfam
 Size: Oxfam operates a variety of stores, including 650 wedding suits, books, harmony
and furniture specialty stores, with over 10,000 items and is managed by approximately
23,000 volunteers worldwide.
 Scope: These companies offer humanitarian services in approximately 14 countries. You
can extend the reach by adding new services and products to large locations that can
improve potential customer satisfaction (Van Stapele, Nencel, and Sabelis, 2019). They
provide services to reduce poverty and save people in dire situations.
 Purpose: The purpose of Oxfam is to provide Safe Guard global services and to eradicate
discrimination between the poor and the wealthy individuals.
M1. Structure, size addition to scope of organisations linked with business objectives.
As in relation to the public sector management, the main purpose of NICE is to provide the
main sort of superiority and maintainable facilities that present their criteria as per to the
business of management. The main aim is to evaluate the candidate’s size that are termed to be
massive and it helps in investing and examine the objectives to achieve them as effectively. As in
private sector of management, ASDA have their large set of private key terms of management
with set of varied sections of candidates, size and scope. In relation to voluntary management,
Oxfam aim is to manage the public term of groups for empowering youth, setting safety and
health measures, declining poverty sections (Fenwick, and Vermeulen, 2021). Likewise,
consuming the massive manner of size, structure with large sector of candidates that helps the
management to express vast manner of size and scope.

TASK 2
P3. Relationship among organisational functions.
The functions of management involves the basic set of targets that will present and achieved
by workforces’ in varied field of the area. There are various sort of functions like economic,
marketplace investigation, handling human resource, consumer connection organisation and
activity management (Tanaka, 2021). Structural terms that are improved with several other key
terms as per to the market situation, circulation frequencies and opponent’s activities. ASDA is
the retailer management that holds the aim for using the manner of arranging the interrelated
segments with sort of operations of business of management (Organizational chart, 2020). Three
organisational structures that are as follows –
Figure 1 Organisational chart, 2020
 Wheel structure – The wheel structure is termed as the managerial structure that are
utilised by start-up corporations. In wheel structure, the executives have authorities to
evaluate the decision making process and all the actions that are controlled as per to the
proprietor of the business. It welfares the proprietor by governing the development as

with the growth of organisation. On the other side, the structure have restrictions that it
will be suitable till definite size only and the proprietor might not own expert
understanding in relation to various operations.
 Matrix structure – The matrix structure associate the diverse operations or sections with
development group by which staff faculty perform their functions in their own purposeful
field (Chakraborty, and Biswas, 2021). It welfares in spread out decision making power,
maximise the organisational stimulation, difficulties might get managed and individuals
with same abilities are kept in single group. But matrix structure is tough to execute as it
includes wide term of issues with high overhead charges.
 Divisional structure – In the divisional structure, managerial operations are separated
into various sections that are linked to merchandise or physical fields to offers required
term of goods. It welfares high quality of management to focuses on extended term
strategies by diffusion of profits as per to the goods, marketplaces and sections but it have
limitations to deal with sections and consequences in issues in sections on the basis of
supply distribution.
Executives of ASDA monitors different arrangements as per to the various supplies and
definite sites as according to the suitability of executives. For example, in certain supplies,
divisional managerial structure is surveyed and at certain locations the matrix managerial
structure that are monitored due to the suitability as well and flexibility of candidates to perform
the managerial functions and operations in groups.
Interrelationship of functions of Asda with linkage to objectives addition to structure as as
mentioned:
 Marketing function with human resource function – The manner of the marketing
function develop a sort of plan of actions and activities to stimulate brand good will at the
market place. The company evaluates the market circumstances that are termed with
consumer’s preferences and predominant tendencies as per to it, they transfer source of
data to another section (Parsa, and et.al., 2021). The marketing operations of ASDA
forms actions as per to the of human resource operations. Human resources gathers data
that are linked with preferences of consumers and their activities that are to be achieved.
Marketing sector will corresponding the plan of actions with human resource division to
achieve the aims in operative term. The actions that are connected with advertising

operations are thoroughly connected with arrangement and aims of the management in
frequent manner like the company provide guidelines to achieve activities.
 Operational function with marketing function – Operational function includes the
term of storerooms, delivery, manufacture and packing. The operations of ASDA is
linked with managing and reforming functions by which the manufacture actions will
follows the frequent manner without any obstructions (Caputo, and et.al.,2021). The
operations of ASDA accumulates data that are connected with demand or source of the
products and coordinate activities with marketing operations. All the actions are termed
by framing the arrangement and purpose by which the actions are executed to accomplish
them as effectively.
M2. Advantages together with disadvantages of interrelationships among functions of
organisation.
The managerial structure plays an essential role at place of work as the manner of the
structure is utilised to mark the decision making terms by replacing ideas, perspective in term to
the source of data. Operational dealings gives advantages to the executives of ASDA to help
actions by continuing collaboration and the relations by which they maximise the profitability
and productivity as smoothly and it have an effect in phrasing in constructive features on
corporate arrangement. As it also have the drawbacks of the dealings is termed that there are
probability of threat that are related with allocation of private data by staff faculty to contestants.
D1. Analysis of complexities.
The organisation of ASDA have comprised various arrangements at diverse work stations.
For example, in operational arrangement there are different functional collections with different
complications in collaborating and holding consideration of multinational marketplace that
moderates performance suppleness as it sources the difficulties that are linked with not perfect
interpretation and misbehaviour of staff in between operations like advertising and human
resource (Cordova, Zorio-Grima, and Merello, 2021). In evaluating the divisional structure the
candidates are facing various tough sections in connecting with functional disorganisation in
specific purposes like marketing operations by which they miscarries to interpretation with
precise data.

TASK 3
P4. Impacts of macro environment.
ASDA is one of the top retail management that contracts in overall commodities, grocery
and with supplying economic facilities. Business environment contains the macro accumulation
to micro features or fundamentals that have an impacts on managerial functions and operations.
Micro features are measured by executives and it present in managerial margins. It involve the
consumers, standards, dealers, contestants, new applicants and alternatives (De Chiara, 2021). In
relation to it, macro aspects are external that managed by organisational group and it stands for
political, social, technological, economical, legal and environmental factors. It has been
discussed below –
Political factors – It include the manner of the administration constancy, opposition guideline,
subsidy allowances and administration strategy and challenges principles. In relation to the
United Kingdom, there is constancy in radical organisation and such specialists applies rules and
also allowing for well-being, security and occupation stages. The political factors that affects
managerial performance in various sort of ways.
 Positive impacts – United Kingdom is the unwavering nation by which guidelines
remains reliable by the year that helps ASDA to regulate the manner of the functional
value by the basis set of the raw supplies as with enhancing the productivity. As working
on the corporate is reliable situation that have an impacts in positive way as ASDA can
efficiently achieve all corporate functions by resulting the prearranged political strategies.
 Negative impacts – ASDA is prevalent for scheduling corporate social responsibility
(CSR) enterprise but due to deficiency of simplicity of the idea by the United Kingdom’s
government in relation to vitality effectiveness arrangements, administration might put
certain schedules as per to the ASDA that might mark the manner of the decision making.
Economic factors – The manner of the factor that includes credit crisis, exchange charges, price
rises, development and non-refundable revenue (Bucheli, and Decker, 2021). UK's budget is
extremely advanced with market orientation. Financial features are intensely measured by
ASDA, the executives are responsible for the investment standards composed with corporate
collection. ASDA is extremely artificial by their valuing approaches due to variations in financial
sequence. As per to this, executives are not able to influence consumers as effectively.

 Positive impacts - The organisation of ASDA offers a sort of reductions on foremost
values on online bargaining as it influence various consumers and have positive impact
on transactions and incomes in positive manner.
 Negative impacts – In sort of locations as per to the population, as due to variations in
financial series, executives of ASDA aspects increases by which values of structural
goods for increasing as with advanced borrowing value for the corporate (Cockburn, and
Smith, 2021). It have an impacts in maximising the borrowing and saving cost that
decreases the manner of the profit margin and maximise the risk that are related with
advancing currency that directly affect the corporate results.
Social factors – The social factors involves the inhabitants age, summary, outlook to labour,
non-refundable revenue and instruction level. In the current era, inhabitants of United Kingdom
will desires to purchase their goods under distinct site. Executives of ASDA highlighting on the
factors that are related with cultural duties, household preferences and financial rank so to aims
at loyal consumers. They create goods by evaluating current tendencies at market place with
consumer inclinations.
 Positive impacts – ASDA functions at numerous actions in multinational marketplace and
as per to the production of the goods as according to the several values that have
positively impact on trades together with efficiency and impact the manner of the
decision making in an effective way by sustaining consumer preference.
 Negative impacts – Consumers are complex in behaviour as they fluctuate their thoughts
as very commonly and wants all goods as according to their financial position. If ASDA
offers goods at advanced charges as against to the charges that are apparent by visitors
then it might impact on the sales and brand good will that might affect in varying its
decisions as effectively.
Technological factors – The manner of the technological factor includes the digital approaches,
technical growth, study outlay and technical inventions. The market of United Kingdom is
accomplishing the realisation by the technological features and will apply tactics to create digital
technical corporate (El-Garaihy, 2021). Information expertise group of ASDA keep upgrading
on regular basis on creating their skills and will adapt the manner of the modern skills in respect
to achieve total functions in reliable manner. The trending technical tendencies in United