Business and Business Environment Report: Dyson Company Analysis, UK

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This report analyzes Dyson's business environment, focusing on its organizational structure, functions, and the impact of macro-environmental factors. It begins by defining public, private, and voluntary organizations, highlighting their purposes and legal structures. The report examines the size and scope of these different organizational types, using examples like Tesco, Dyson, and the British Red Cross. It then explores the relationships between various organizational functions, such as production, marketing, human resource management, and IT, and how these functions link to the company's objectives and structure. Furthermore, the report discusses the positive and negative impacts of the macro-environment on Dyson's operations. It concludes with an internal and external analysis of Dyson, identifying its strengths and weaknesses and their relation to external factors.
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BUSINESS AND BUSINESS
ENVIRONMENT
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Table of Contents
INTRODUCTION.........................................................................................................................3
LO1..................................................................................................................................................3
P1 Types and purposes of organizations within legal structures.................................................3
P2 Size and scope of various types of organizations...................................................................4
LO 2.................................................................................................................................................6
P3- Relationship between varied organizational functions and their link with structure and
objectives of company.................................................................................................................6
LO 3.................................................................................................................................................8
P4- Positive and negative impact of macro environmental upon venture operations..................8
LO 4...............................................................................................................................................10
P5- Internal & external analysis of chosen company................................................................10
P6- Strengths & weaknesses relate with external factors..........................................................12
CONCLUSION............................................................................................................................13
REFERENCES............................................................................................................................14
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INTRODUCTION
Business environment signifies set of entities, individual and different important external
and internal components which can control the performance & productivity of companies. An
environment of venture determines progress, success, profitability and permanency of a company
and gets changed by them. The factors included in business atmosphere influence operations and
other activities of organizations indirectly or directly as it depends on their forms. The current
assignment will be based on Dyson, which falls under category of leading technology companies
in the UK. It manufacture advance and the best household appliances for people who like to give
themselves a new and stylish look. This study will define public, private and voluntary forms of
companies and their purposes as well. It will explain size, scope of different kinds of firms and
interconnection between each organizational function. Furthermore, this assignment will
describe the connection of functions with business objectives and organizational structure. It will
justify the negative and positive impact of macro factors upon operations of company, with
suitable examples. This report will clarify internal and external analysis which is conduct to
determine strengths & weaknesses of chosen firm. Moreover, it will explain strength and
dimness interrelation with external factors.
LO1
P1 Types and purposes of organizations within legal structures
The types and purposes of organizations within legal structures can be divided into varied
parts based on functional working shares, higher imperative work targets and also to deliver wide
scale determinants to be grown towards new scale efficacy metrics fundamentally. There are
public, private and voluntary companies which can be segregated based on varied scope
scenarios and larger scale connective horizons for varied avenues of work targets.
Public companies are large in size where shares are open for public to invest in widely
which enhance new scale investment parameters on global level which enhance new imperative
domains of shares and company goodwill. The public companies are profoundly known to be
also largely focusing on capital expansion for varied growth within products and services
development, also to bring forward new innovative business evolution aspects. Purpose of public
companies is expanded on larger commercial level for higher scale informative growth and
evolution of new quest imperatives to evolve towards new competent decisions. Shareholders
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within extrenal parties cannot take active part within decision making as they do not have any
rights, public companies only give right to invest in shares which are being open for trading on
stock exchange. Tesco is one of the biggest public company in UK within retail industry which
has been vividly growing with its varied range of innovative products and services, higher
informative working parameters functionally (Sołoducho-Pelc and Sulich, 2020).
Private companies can be understood as organizations large in capital investments where
shares are contributed by shareholders having major working power and also capital owners are
the active decision makers as they have varied scale powers. Private companies’ shares are not
open for public to invest in, and main priorities for capital revenue make them vividly expanded
into larger scale work domains where new profound growth metrics are present. Dyson is one of
the largely goodwill acclaimed private company with larger categories of products and services,
having varied scale expansion into revenue targets vividly. As private company Dyson specific
focus is on profits and reveneue growth targets whcih enhances long term goodwill paradigms
and also evolve towards larger scale keen work domains.
Voluntary companies on other hand are organisations working for bringing on
competent shift within new work growt domains, enriching higher scale functional targets and
for generating stronger innovation metrics at profound horizons for new scale informative
development. The volunatry comanies offer services majorly free of cost where there is not
strategic focus on capital formulation but widely towards new profound scale diversity for new
horizons scale functional determinants. The Voluntary companies bring on profound work
growth structure vividness, by analyzing new changes into society levels and enhance keen work
goals paradigms vividly to evolve on new horizons. British red cross is one of the biggest
voluntary company in UK known for large scale charity services to bring on change in society
level and living standards among people to evolve on new domains (Sabihaini and Prasetio,
2020).
P2 Size and scope of various types of organizations
The size and scope of various types of organizations have strong impact on work goal
diversity, complex fundamentals extension and higher scale productive efficacy within
performance domains. Small size companies are small with only 1500 number of employees,
which makes limited functional standards whereas the medium size companies scope is extended
to work goal targets where investments can be reached on to 5 cores but cannot exceed 10 crore.
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Large size companies are businesses whose employees shall be atleast minimun 5000, where
varied scale profound diverse networks enhance business scope paradigms.
Public comapnies traded on London stock exchange have larrge size structure faunctional
paradigms where there is varied scale perspectives based on fucntional domains of informative
evolution, in products and services delivery. The public companies trdaing on stock exchange
have varied scope for keeping up new scale informtaive aspects where this enhances scope for
larger scale connective horizons and aslo UK has large number of public companies operating
within. TESCO size and scope is wide as the shares are open for public to invest in, also there is
vivid scale innovation among work domains which has enhanced fucntional standards connective
efficacy, and also bring on keen growt paradigms for varied innovation (Dubrovski, 2020).
Private companie size has fucntional correlation with number of capital exteranlly
available where the private companies have profound scope for generating specific functional
growth into new scale external domains and enriching higher evocative aspects. Dyson as private
compan has varied scope for evolving new innovative business reach and also enhance new
prodfound work domains, as capital structure is vivid. Size and scope of private cmapnies have
vivid structure within shares formualation scenarios for evolving on new quest horizons and
enhanced business goodwill and comes in larger number companies. Profit share among revenue
targets is profound for new scale persimistic developing scenarios on which higher vivid scale
evolving scenrios can be analysed within private comopanies work growth diversity. Private
companies size and scope is widely strong where external goodwill is profoundly strong,
targeting new work horizons and competitive scope functional paradigms to evolve on external
functional scenarios for vision oriented goals.
The voluntary companies on other hand has limited scope and size parameters where the
capital structure is also limited, where shares are not extended for public to invest in nor the
goals are fixed towards revenue aspects. British Red Cross as one of the biggest voluntary
company is known for various charity services, where volunteers bring on new scale profound
diverse strategies to enhance cultural efficacy standards. Size and scope of voluntary companies
are limited to internal capital within business connective horizons, h where main goal is to bring
on new profound measures for enhanced services extensively acknowledging higher vivid
growth. There is limited growth within voluntary companies due to capital reach limited, also
diversity horizons have limited fundamental work growth functional horizons.
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The above discussed factors have brought on large discussion towards new competitive
work aspects identified in depth analysis of size and scope within organizations (Al-Surmi, Cao.
and Duan, 2020).
LO 2
P3- Relationship between varied organizational functions and their link with structure and
objectives of company
As discussed above, TESCO, Dyson and British red cross are three different companies,
they all work and operate in different sectors. The success of all these firms and growth of its
ventures depend on how its operational and functional units’ act (Hofmann and Jaeger‐Erben,
2020). It is really very essential for any company that it’s each function work together. The
relation between all functions and their link to organizational structure & objectives has
mentioned below-
Production with marketing-
The connection or interrelationship between marketing and production plays vital role in
unforgettable success and growth of Dyson as well as other companies such as TESCO.
Production department role is to produce number of items especially for target market and
marketing role is to promote these goods in influencing manner which in return influence each
buyer towards purchase. Interrelation between both departments bring several benefits to each
organization for example, by working with production department, marketing section can
advertise actual item in market which enable both of them to attract new consumers and retain
existing one for longer period of time (Feng, Huang and Avgerinos, 2018). In order to satisfy
consumers and meet the expectations, marketing and production departments work together. This
interrelation directly links to business objectives and structure, in form of achieving goals and
boosting the performance Dyson. Collaboration enlarge the structure of business by increasing
sales.
Marketing with human resource management-
Like above department, marketing work closer with HRM and conduct collaborative
practices with them which is really very essential and beneficial as well. This relation is based
on support and contribution that human resource management do for marketing team in term of
hiring new applicant for them who are able to provide amazing and creative ideas and develop
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the most influencing content that gain attention from local people to international buyers
(Taamneh, Alsaad and Elrehail, 2018). HRM according to the needs and requirements of
marketing team relate to staff requirement, hire people who are eligible for specific job role in
department. Human resource manager not only for marketing, but also for production, finance
etc. departments recruit skilled applicants. By working together and conducting collaborative
practices, HRM and marketing could help Dyson company to achieve its key objectives and
smoothen the work flow within entire organizational structure that is really important.
HRM relation with IT-
All the functions of Dyson company perform together in order to achieve set goals and
objectives of its venture. Information technology section also conduct collaborative practices
with human resource management to make their systems up to date and allow them to manage as
well as monitor performance of staff in manageable manner by using HRM systems (Xiang,
2018). IT section is accountable for hardware, architecture, software & networking of computers
systems in firm. They able to solve any technical issue that permit HR manager to recruit people,
manage worker’s attendance and give them power to handle grievances. IT and HRM
relationship as discussed above can affect structure of company in positive manner as it enables
each employee that work in any department to perform successfully and give his or her
contribution while gaining competitive advantages by using advance systems. Through
collaboration human resource management could gain desire outcomes.
IT connection with marketing-
The relationship between information technology section and marketing department is
quite easy to understand and simple to explain. They both perform together and most closer to
achieve objectives of Dyson. For example, marketing function and its entire team contribute
promoting quality products and services of chosen brand in systematic manner, while doing this
they have use different types of technologies and systems as well which needs to work
appropriately and this thing could only happen when marketing department collaborate with IT.
The collaboration between both departments allow Dyson to get what it want to get and also
support in gaining competitive edge which is really very essential to gain in today’s competitive
business environment. In additional to above context, in order to execute modern marketing
atmosphere, marketers need to have technology at their removal, by coordinating with IT this
thing along with other is possible for marketing.
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Benefits and drawbacks of interconnection between all functions and its impact on
organizational structure-
Advantages-
The biggest advantage of interconnection between all functions or departments of Dyson
company is that it allows each worker to learn something useful and valuable from other
employee who work in another sections.
It gives chance to employees for making their skills much better and improving level of
knowledge which could use in context of achieving objectives, aims and competitive
edge that play important role in success of firm.
Disadvantages-
Along with advantages and benefits interrelation between all units can affect negatively
upon structure and overall performance of business. For example, interrelationship
between organizational departments causes conflict among people because they all have
different point of views and way of working, which could be interrupted by other team
member.
It brings difficulty and complexity in interdepartmental coordination that impact structure
in negative manner by decrease performance and productivity level.
LO 3
P4- Positive and negative impact of macro environmental upon venture operations
By using appropriate and suitable strategic models macro environmental could conduct in
organizational context (Simões, 2020). It helps to identify external factors that impact operations
of Dyson company in two different manners such as positive and negative. Application of
PESTLE analysis in regard to chosen firm mention below-
PESTLE analysis-
Political factor-
Political stability or instability in nation, change in tax rate, trading policies, import
restriction etc. are the example of political factors that impact a company and its operations. In
case of Dyson, import restriction put negative impact upon trading practices and trade operation
of company. It restricts firm to operate in limited market, import restriction by UK government
can impact its venture which in return provide outcome in form of decline in its business. It
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decreases sales and profitability level as well which is not suitable for company when it wishes
to be competitive in market for longer.
Economic factor-
Exchange rate, growth and exchange rate are the economic factors that impact any
business company. In context of Dyson, high growth rate in UK and other nations where
organization has operate put positive impact on sales and production operation as it increases
demand of quality items produce by firm and give excellent progress opportunity to brand which
in return increase its profits margin in unexpected manner (Teslenko, 2020). Not only this one,
the chosen factor also brings many benefits for company in different terms, such as it maximizes
customer base, generate revenue and give firm power to gain competitive advantages.
Social factor-
In recent era, consumers are quite much aware about what he or she need to purchase
instead of going parlor, women’s like to give new to themselves by using less harmful products
in context of curling hair and make them straight. It put positive impact on production and sales
operation of Dyson company because firm has range of styling products that millions of
customers especially female buyers in the whole world has used. By selling quality items
according to the needs of each buyer, organization get excellent success and grow its venture
even better than last few months or years.
Technology factor-
Advancement of technology give superb change to Dyson company in term of adding
more value in items for its consumers (Usher, Dyson and Gorst, 2020). It affects in positive
manner because firm is already using advance technology in its hair styling range which less
damage hair and give a new look to women’s which they can carry out during wedding session,
party or specific event. It impacts marketing operation of its business positively in form of giving
opportunity to conduct advertising activity at global level, where many consumers seek to
purchase the best products for making hair looks shinny and straight just like Dyson hair styling
range could do.
Legal factor-
Change in regulations, rules and laws of nations where Dyson works and operates its
venture in order to sell ranges of items legally put positive impact on brand trading operation
because firms follow rules and principles of ethical business which is quite beneficial for its
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success in the world of business. These regulations include employment laws, trademark
registration requirements and other patent needs. Organization follow all these laws in systematic
and effective manner that help management to conduct venture in profitable markets or regions.
Furthermore, it also helps to build its brand image in that nations successfully.
Environmental factor-
Government and consumers concern for environmental sustainability and safety affect
those brands that not follow and conduct ethical business practices. In case of Dyson, this factor
put positive impact because firm had never into any legal issues as it has always included in
producing researching items which lead to cleanliness (Palladino and et.al., 2019). Management
of company could not miss any opportunity that relate to environment safety as they had always
manufacture successful products that could not impact atmosphere in any manner. It can be said
that people in recent time are more aware of nature beauty, in that case firm by manufacturing its
items included in cleaning can satisfy consumers which turn into increasing satisfactory rate of
buyers.
LO 4
P5- Internal & external analysis of chosen company
Internal analysis is an act that use to determine specific company’s internal atmosphere,
strengths and other things in order to assess competences and key resources.
While external analysis refers to examine sector environment in which a firm is operating
venture. It consists different factors such as economic, political, competitors etc.
Here, SWOT analysis as strategic framework use to conduct both above analysis in
context of Dyson.
Strengths-
A strength that boost performance, profitability and productivity of Dyson company is its
ranges of innovative products that gain the attention of national to international buyers
successfully and allow firm to lead whole sector for longer period of time. Organization has
manufactures and designs many creative household goods like vacuum cleaners, bladeless fans,
heaters, hand dryers, hair straightener and hair dryers as well. With this significant strength
company can sustain for long and gain a lot of advantages.
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The most essential and useful strength of chosen company is its wide workforce which
enable them to manufacture quality items according to buyers needs and expectations as well.
With skilled and talented workers, organization perform successfully and serve what people like
to purchase. With 12,000 candidates company work and operate its venture across the globe
which in return maximize sales and generate unexpected revenue.
Weaknesses-
The biggest weakness of Dyson company is its pricing strategy which could not allow
many consumers to purchase products that firm offer and manufacture. Its goods are prices little
high as compare with rivals who produce similar products. It can put negative impact upon sales,
profits margin and market image of firm. Due to this weakness organization could lose its
potential buyers forever which is not appropriate for its market position and reputation. Price
matters a lot because it is the only source through which management can gain attention of each
buyer and drive them towards purchase.
Poor management is another weakness of chosen firm that could affect in negative
manner and impact performance of workers which leads to decrease productivity and operational
efficiency of chosen brand. Without effective management system company cannot be able to
work and operate venture in market as it brings several challenges for them.
Opportunities-
Technology advancement is the greatest opportunity for Dyson, which it could grab for
gaining current and further benefits. With this chance, company can gain competitive advantages
and retain all the buyers either new or existing one for longer period of time. This opportunity
allow firm to increase profitability by selling quality items and serving services to consumers.
Furthermore, with this opportunity company can conduct excellent marketing activities.
Home décor requirements is the another chance that firm could grab and satisfy target
market easily. Home décor is evergreen market in UK, it caters more chances for firm to expand
its venture and progress. This type of requirements from consumer’s side allow company to
sustain for longer and retain buyers. It is one of the excellent chance that bring benefits in regard
to chosen enterprise such as revenue generating, increasing productivity etc.
Threats-
For any company strong competitors always possess the biggest threat that can impact
their decision making procedure, management practices, strategies development and planning
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function of administration in negative manner. The rivals of Dyson are able to give touch
competition to its business and because of this threat firm faces challenge in context of operating
brand in market. All the rivals have high brand power that could be a major threat for firm.
Other threat that directly impact sales, success and growth of company is market
fluctuation in the United Kingdom. It is one of the biggest threats to firm that can decline profits
margin and revenue as well. It can consider as external factor that impact negatively and develop
barriers for Dyson in context of managing current operations such as production, marketing,
sales and other. There has always been market fluctuation for housing market in nation where
firm has operated its venture.
P6- Strengths & weaknesses relate with external factors
By using above concept, strengths & weakness of Dyson company has been identified
which can relate with certain external factors such as environmental, economic, social etc. For
example, wide workforce is the important and valuable strength of company which firm could
use to overcome negative impact of many external macro elements such as increasing
competition. By working productively employees can support in gaining competitive advantages
which in return increase sales and allow firm to grow even better than its rivals. By using
strengths, organization can overcome each weakness and threat as well which is quite beneficial
in different terms such as generating revenue and opening chance for business growth.
It can be said that competence and weakness of Dyson or any other brand are connected
with external components because in certain cases firm may be impacted by outside elements,
which can impact in negative or positive manner. Company at some points or stages while
operating its venture could not be able to determine factors and handle them. At that time, they
can use strength and bring benefits through it. Above discussion clearly define interrelation of
strength and weakness with outside factors. Furthermore, by using power Dyson can beat rivals
and satisfy people who can promote its venture by conducting word of mouth promotion that
increase productivity of company and increase sales level at top. Along with that weakness is
interrelate with those factor that impact negatively as it could decrease sales and lead to
minimize customer base, which is not acceptable by any company.
Influence of SWOT analysis application upon decision making-
As discussed above, SWOT analysis is valuable for Dyson company as it directly impacts
decision making procedure in positive manner. For example, by conducting external and internal
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