Unit 1 Business Environment: Organization Types, Functions, and Impact

This report provides a detailed analysis of the business environment, focusing on different types of organizations—public (BBC), private (Dyson), and voluntary (Oxfam)—and their respective purposes and legal structures within the UK. It explores the size and scope of these organizations, examining their backgrounds, products/services, vision and mission statements, objectives, and organizational structures. The report also explains the interrelationship between different organizational functions, such as finance and marketing, highlighting how they contribute to achieving overall business objectives. Furthermore, it analyzes the positive and negative impacts of the macro environment on business operations, using PESTLE analysis on Dyson. Finally, the report assesses the internal and external factors affecting specific organizations, identifying strengths and weaknesses and their interrelation with external macro factors. Desklib offers a variety of resources, including past papers and solved assignments, to aid students in their studies.

Unit 1 - Business and
Business Environment

Table of Contents
INTRODUCTION.......................................................................................................................................4
Section 1
TASK 1.......................................................................................................................................................4
P1 Dafferent types & purposes of organisations; public, private & voluntary sectors & legal structures.
.................................................................................................................................................................4
P2 Explain the size & scope of a range of different types of organizations............................................6
TASK 2.......................................................................................................................................................9
P3 Explain the relationship between different organizational functions..................................................9
Section 2
TASK 3.....................................................................................................................................................11
P4 Positive & negative impacts the macro environment has upon business operations.........................11
TASK 4.....................................................................................................................................................13
P5 Internal & external analysis of specific organisations in order to identify strengths & weaknesses.
...............................................................................................................................................................13
P6 How strengths & weaknesses interrelate with external macro factors.............................................15
CONCLUSION.........................................................................................................................................17
References.................................................................................................................................................18

INTRODUCTION
Business is containing as a strategic legal structure & entity that need an innovative business
ideas & plan to established business successfully & maintain specific market growth & share. In
UK, there are various types of business are considered by the people like public, private &
voluntary (Gorla, Chiravuri and Chinta, 2017). Every business contains its size whether it is
micro, small, medium or large corporation. Every business considers a specific purpose,
objective, size, vision & also legal structure in order to establish their business operations
successfully. It is mandatory for the businesses to pay more attention to identify the impact of the
business environment both internal and externally so that company can appropriately manage
their all activities and improve their market growth. This project will determine different types of
organization like public, private & voluntary & it's purpose & legal structure. This project
applies PESTLE analysis on Dyson because it is a base company of this project & also analyzes
the positive & negative impact of external environment factors. Dyson is British multinational
technological firm which situated by James Dyson in 1991 & this company headquartered in
Malmesbury , United Kingdom. This project also explain about interrelationship with
organizational functions for maintain objective & structure. Lastly, this project determines the
affect of strengths & weakness on macro environment.
Section 1
TASK 1
P1 Dafferent types & purposes of organisations; public, private & voluntary sectors & legal
structures.
In UK, there is various type like public, private & voluntary organization are running with
a specific purpose & every organization contain specific legal structure. For this project, BBC is
containing as public company, Dyson is considered as private company & Oxfam is chosen as
voluntary organization. The explanation about all these organisations is as follows -
Public organization
The main concern of public organization is to improve the economic structure of the
country & provide their contribution to enhance the living standard of the people. Public
organizations are directly formed by the government with a specific aim to supply appropriate

services for the society. These kind of organizations contain as generate not-for-profit & helpful
in the economic development.
Example - British Broadcasting Corporation (BBC).
Purpose - The prime purpose is to provide specific participation to serve the society with their
products & services for the beneficial for the communities.
Legal structure
 Central government - Public organizational monitored and also controlled by
government of UK. These organizations operate their business operations in entire
country (Kong and et. al., 2020).
 State government - This business is also controlled by central government but they
mainly operate at state level with state boundary. Does not contain any state government
who can manage its operation so that central government contains full control of this.
 Local government - This legal structure mainly monitored & controlled by local
government in UK. It mainly operates business activities with the ambit & boundary or
local areas.
Private organization
Private businesses mainly owned & managed by individuals. The main concern of private
organization is profit maximization. These businesses are maintained by stakeholders, owner,
shareholders & investors.
Example - Dyson Ltd
Purpose - The main purpose of private businesses is to improve profit & productivity of the firm.
Legal structure
 Sole proprietorship - This is also known as sole trader ship which mainly established,
owned & monitored by a single person. The entrepreneurs are liable to maintain all the
business operations & also consider the debts & liabilities of the company.
 Partnership - This legal structure mainly controlled by the two or more individuals who
are liable to maintain the business activities in an appropriate manner & take decision for
the welfare of the company. Partners are equally share all the responsibilities, profit ,
share & failure.

 Companies - It is an artificial entity that manages their operations separately by its
owners. Companies are managed by the board of directors, stakeholders & managers. To
maintain the business process, it is mandatory to maintain all the activities as per the time
(Lee, 2019).
Voluntary Organization
Voluntary organization are contain as nonprofit business organization which mainly
established for the welfare of the society. The prime purpose is to provide their contribution in
the development of the communities & social people.
Example - Oxfam
Purpose - The main purpose of the voluntary organization is to work for the growth of the
society & those people who are not capable to survive.
Legal structure
 Trust - This legal structure contain as one of the prominent documents that can allow
individual to provide the legal authority of properly to the 3rd party. People can take
appropriate initiative & trustees can manage process.
 Un- incorporated association - This is considered as the specific kind of business entity
& structure which are mainly committed to what the welfare of the common societies.
This legal structure maintains manual agreement between the two or more people who
can make a specific association and enhance their operations towards the welfare of the
society.
P2 Explain the size & scope of a range of different types of organizations.
The description about size & scope of different type of organizations like Dyson, BBC &
Oxfam are discussed below -
Types of organizations according to size
 Micro Organization - These kinds of organizations mainly contain less than 10 people &
contain annually turnover less than £ 2 million.
 Small Organization - These types of organisations employee less than 50 people &
annual turnover rate also contain less than £ 10 million.

 Medium Organization - Medium organization employee less than 250 candidates and
the annual turnover also considered £ 50 million.
 Large organization - This organization is measured in size and contains more than 250
employees. The annual turnover rate is more than £ 250 million.
Type of organization according to scope and background
The explanation related to private, public & voluntary organization scope and background
discussed as follows -
Dyson
 Background - It is a multinational technological based organization which is established
in 1991 and maintain their operations most of the foreign country. Company offer
innovative products and services so the company can effectively improve their market
growth (Rennick, 2013).
 Product/ service - Dyson mainly producing & manufacturing technology cal products
like vacuum cleaner, hair dryer, purifier, blenders & heater etc.
 Vision Statement - To offer innovative and creative products which can contain specific
value of the products among customers.
 Mission Statement - To inspire new generations in the technological field & provide
various opportunities to the young mind who can produce creative products and provide
more advancement to the customers. Company also so want to reduce the harmful impact
of emissions.
 Objectives - The supreme objective of Dyson is to improve the effectiveness of their
innovative products so that company can effectively enhance their customer base and also
improve the living standard of the people with usage of their innovative products.
 Organizational structure: It offers the flat organizational structure wherein the
executives do not have the office of its own and every staff works in one space.
 Size - Dyson is a large corporation which generate revenue more than $ 7.3 billion in the
year 2019 and the net income of the Dyson is $ 1.3 billion in the same year. In company
more than 13000 employees are working.
British Broadcasting Corporation ( BBC )

 Background - BBC is the most famous National broadcast company which f established
in 1922 by the HM government & it headquartered at broadcasting house in London. This
is considered as the state re operation that contain a Royal Charter. Product/ service - BBC company e maintain their operations globally and considered as
the world largest broadcast nationally. This company mainly deals with the mass media
industry & provides news and latest updates to the people through broadcast. Company
also providing broadcasting services with the help of television, radio & online platforms. Vision Statement - To provide appropriate services to the people so that the nation must
speak the peace & improve broadcasting services effectively (Rossignoli and Lionzo,
2018).
 Mission Statement - To work for the public interest and also serve their services for the
audience to follow the specific country considerations about provision of impartiality.
Company provides high quality of services related to the entertainment, education sector,
social sector & current facts about the society.
 Objectives - The main objective of the company is to offer impartial information through
their broadcast channel so that most of the people can connect with this company &
support the specific learning of the people.
 Organizational structure - BBC is a large National Organization which follows
hierarchical organizational structure. In this organization all the activities are controlled
by board of governor, executive board, journalism board, commercial board and also
create a board.
 Size - BBC is a public organization which contains a message size and their activities
also divided in various divisions like BBC studios, BBC sports & BBC music. This is
large corporation which serve their services to update the common people worldwide. In
this organization more than 22749 employees are working and provide their contribution
in the development of the company.
Oxfam
 Background - This voluntary organization which considered as the incorporation of 20
independent charitable organizations that mainly concentrate on international poverty.
This Organization established in 1942 & considered as the nonprofit organization.

 Product /services - This voluntary organization perform their work for the education,
livelihood, trade justice, conflict, gender equality, climate change, national disaster and
many other activities. The main motive of the organization is " Saving for Change". This
organization worked for the welfare of the community so that they can become
financially capable (Townsend, 2017). Vision Statement - Oxfam is a multinational organisation which works for the
development of the local communities and the society. The main concern of this
organization to reduce the level of injustice and poverty so that people can live a healthy
life.
 Mission Statement - To support the people which can improve the living standard of the
people so that they can participate in the development of the society.
 Business Objectives - To work for the growth of the society & perform their job for the
betterment of the population.
 Organizational structure - This organization mainly follow matrix organizational
structure because it operating their operations in various countries.
 Size - This is a International organization that maintain more than 19.5 Million people. In
this organization, more than 52 % women are also involved. Oxfam based on the
humanitarian assistance program.
TASK 2
P3 Explain the relationship between different organizational functions
There are various organizations functions are considered by the company which can helpful
to obtain the each & every operations in an appropriate manner. All the functions are perform
their operations with another functional units. The interrelationship with all the functional of
Dyson are as follows -
 Finance & marketing function - The finance Department of Dyson is consider all the
requirement of the capital and maintain source of funding. Responsibility of finance
manager is to allocate budget official every functional department so that company can
maintain all the activities. Marketing departments of the company manage advertisement

and promotional activities in which continent that are located by the finance department.
Both functional units are work collectively to maintain organizational objectives &
structure.
 Human resource & Information Technologies functions - The prime concern of human
resource is to conduct strategic hiring and selection process so that fresh talent can
considered by the company so that communicate effectively with high potential
employees. IT department of the Dyson is responsible to maintain all the online activities
of the human resource so that HR manager can effectively publish online job application
so that interested candidate can apply via online platforms (Upadhyay, and et. al., 2019).
 Research and development & Production functions - Research & development
department of the Dyson is liable to conduct a small-scale research and generalized that
what exactly customer need. As per the market research report, manager can produce
product which can fulfill the requirement of the customer so that both department were
collectively and also interrelated with each other.
Organizational Structure
Basically organizational structure is work as a systematic framework maintains an outline
which needs to follow each and every staff members in order to complete their regular operation.
Dyson mini follow flat organizational structure which contain less or low level of the middle
management among the executive and also employees. This structure mainly contains few layers
of management & manager also have wide span of control with their subordinates & manager
also use short chain of command.

Figure 1Dyson organizational structure, 2020
Section 2
TASK 3
P4 Positive & negative impacts the macro environment has upon business operations
To identify the effect of macro environment upon the business operation, it is mandatory for
the businesses to apply PESTLE analysis framework so that company can effectively generalized
its positive and negative impact which are discussed below -
PESTLE Analysis
 Political Factor - This factor generally involved taxation policies, political instability,
trade regulations, foreign trade policies & many other factors which can provide direct

impact on the working of the company. Dyson is multinational company so it is
necessary for the company to maintain political stability which can help to reduce the
impact of political interference in the business operations. Brexit provided negative
impact on the trade operations of the company. Dyson maintain all the legal consideration
& follow appropriate policies which can be provide positive effect on the productivity of
the company. Fluctuations in the market, stable policies of the government can provide
negative impact on business (Mandale, 2019).
 Economic Factor - Economical factor mainly concerned about inflation, recession,
unemployment rate, interest rate. Dyson need to pay more attention on these factors so
that company can effectively maintain their external market situation. Due to Covid
pandemic, company experience various adverse situation so it is necessary for the
company to adopt appropriate pricing policy to rebuild their market position. Dyson is
large multinational companies which can provide their direct contribution in the
development of the economy by generate more foreign currency that can be provide
positive impact on business performance. Sometimes a company can experience that
inflation and ups and down in the marketing situation which can provide adverse impact.
 Social Factor - cross cultural activities, buying behavior of the people, income level, age,
gender and many other factor are involved which need to considered by Dyson in order to
maintain their external market situation. Dyson need to conduct market research and
generalized the real requirement of the customer and do some modification on their
production and manufacturing process that can provide positive effect on the company
marketing. Constant changes in customer’s requirement & demographic changes provide
negative impact.
 Technological Factor - This factor concentrate on technologies, software, online
services, internet connectivity , gadgets. Dyson is a technological company which more
concerned about their technological advancements. Company mainly focuses on high
level of software & providing innovative features in their products can provide positive
impact on sales. Technological error & expensive technological products provide
negative impact on the sales.
 Environmental Factor - This factor contain specific environmental situations like
climate change, sustainability rate, population and pollution level. Dyson can follow

green Marketing initiatives to maintain more sustainability at the marketplace that can
provide positive impact on the working operations. High level of carbon emission can
affect negatively on the business operations of firm (Khalid and Seuring, 2019).
 Legal Factor - lawful activities, legislation, legal policies, acts, procedures are involve in
political factor. Dyson properly follow all specific legal policies and consideration so that
company can effectively deal with and other countries legal structure which can provide
positive effect on the working operations. Every country contain different legal structure
sometime it's critical to maintain all the consideration of all countries legal structure
which can provide adverse impact only operation.
TASK 4
P5 Internal & external analysis of specific organisations in order to identify strengths &
weaknesses.
To determine the internal and external analysis of the company, it is necessary for the Dyson to
apply SWOT analysis which can be useful to determine strength and weaknesses of the
company. The explanation about this analysis is as follows-
SWOT Analysis
Strengths Weakness
 Company can maintain advanced level
of technologies and produce innovative
products in order to take care about
convenience level of the customer can
be a main strength of the company.
 Dyson is operating high quality of
innovative products & add unique
features in their products are helpful to
take attention of the customers.
 Company also concerned about their
Research and Development Department
because with the help of this is
 Dyson faced various controversies
related to their products can also be our
weak point of the firm.
 Company offering more expensive
products as compared to their rivals it
can also affect companies marketing.
 Dyson sale on their washing machine
business operation that is considered as
the main weakness of the company.

department company generalized the
real need of the customer so it is also a
main difference of the company.
 Company focus on their products
creative design & manufacturing
process so company appoints high
talented employees who produce
designer to attract the customers
(Boojihawon and Ngoasong, 2018).
Opportunities Threats
 Company already contains International
appearance now Dyson has opportunity
to enhance their marketing at local &
niche market.
 Dyson can work collectively with small
scale firm & maintain merger &
acquisition, partnership & joint
ventures consideration which can
improve the market value of the
company.
 Company can improve E-Commerce
activities, adopt various social media
platform so that company can
effectively engage with their customers
and keep update about their various
offers, discount and new production.
 Company can high talented workforce
& provide them appropriate training
sessions so that employees can develop
their competencies & maintain good
 High competition in technological
industry can also be a big threat for the
Dyson.
 Continuous changes in customer’s
requirement can affect the working
operations of the company and provide
negative impact on the production and
manufacturing process.
 Delay to introduce new products and
development can also container is a
massive threat.

relations to their customers.
P6 How strengths & weaknesses interrelate with external macro factors.
The explanation about how strength and weaknesses of the company can interrelated with
the external micro environmental factor of the Dyson are discussed below -
Political Factor
This factor mainly determines the ups and downs which company e experience regarding the
political policies and procedure of the country.
 Strengths - High level of international appearance & global reach is the main strength of
the company which can create a strong team building and contain high potential
employees who can deliver high quality of products and services and maintain good
relations with the foreign customers (Chang, Wong and Chiu, 2019).
 Weaknesses - Constantly changes the lawful activities & legal policies of the
government can affect negatively on the business operations of the Dyson.
Economic Factors
Economic stability & fruitful changes in the growth rate of the country's economy can also
provide positive effect on the marketing of the Dyson.
 Strengths - Dyson adopt competitive pricing policy & also provide appropriate offers,
discounts to their potential customers can provide positive impact on their performance
level which is also contain as a main strength of the company.
 Weaknesses - constant fluctuation at the market place & uncertainty of Brexit is
providing adverse impact on the ceiling of deduction that can consider as the main
weakness of the firm.
Social Factor
Socio culture activities and operations can directly influence the marketing and selling
process of the company.

 Strengths - Company is more focused on their Research and Development Department
and this is the main strength of the company because with the help of this department
company can appropriately analyze the exact requirement of their customers and do some
modifications in the production process.
 Weaknesses - Dyson is a technological company & in this time there is lots of
competition in this industry because this generation is totally dependent on technology is
and digitalization so more competition can main weakness of the company.
Technological Factor
Dyson is belong from the technological industry which maintain high potential value of their
technological products in order to attract large number of customers (Dave, 2017).
 Strengths - Company is offering high quality of products and also maintains additional
technical features which are convenient to use and provide proper comfort to the
customer so innovativeness in their technological products can be a main strength of the
Dyson.
 Weaknesses - Sometimes technological error can affect negative impact on the working
of the company. Expensive rates of the innovative products as compared to the
competitors are also a main weakness of the Dyson.
Legal Factor
Company properly follows all the legal considerations and also maintains specific
legislation and procedures.
 Strengths - Dyson properly maintained legal legislation & adopt specific legal acts and
policies like employment acts, equality act, data Protection act & also follow health &
safety considerations in their environment so that all the employees can feel safe and
work properly without any pressure.
 Weaknesses - Dyson experience few controversies and various lawsuits activities which
can provide adverse impact on their reputations of the company.
Environmental Factor

It is necessary for the company to maintain environmental sustainability rate and reduce the
impact of carbon emissions.
 Strengths - Dyson take appropriate steps to reduce the carbon emission level and
improve the green Marketing so that company can enhance the awareness about safe and
healthy environment among the people (Zahari and Romli, 2019).
 Weaknesses - Dyson is a technological company so constant changes in the
environmental situations can affect the environmental sustainability rate.
CONCLUSION
On the basis of this project, it can be concluded that there are various types of businesses
are operating in UK like micro, small, medium, large. This project discussed purpose, scope ,
size & background of various businesses organizations like public, private & voluntary. This
project also discuss about impact of macro environmental factor on the business operations of the
company & applied PESTLE analysis so that company can effectively identified its positive and
negative impact on the business environment. This project also conduct SWOT analysis &
determined various strength and weaknesses of the company which can help full to maintain
internal environmental situations.

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