Business Environment Report: Stakeholders and Organisational Analysis

This report analyzes the business environment, focusing on the organizational types and stakeholder requirements of businesses, using British Petroleum (BP) and John Lewis Partnership (JLP) as case studies. The introduction defines the business environment, highlighting the internal and external factors influencing organizations. The main body explores the organizational structures and purposes of BP (a public limited company in the oil and gas sector) and JLP (a private limited company in the retail sector), examining their operations, market positions, and strategic adaptations. The report further delves into the stakeholder requirements of both companies, differentiating between the public shareholders of BP and the employee-owners of JLP. It emphasizes the importance of transparency, ethical practices, and customer satisfaction. The conclusion summarizes the key findings, emphasizing the need for businesses to adapt to changing market dynamics and stakeholder expectations, particularly in the context of environmental sustainability and customer-centric innovation. The report references several academic sources to support its analysis.

Business
Environment

Table of Contents
Introduction..........................................................................................................................................3
Main Body............................................................................................................................................4
1 Explore the organisational types and purposes of businesses from a range of sectors.................4
5 Demonstrate an understanding of the requirements of a variety of stakeholders to a chosen
organisation......................................................................................................................................5
Conclusion............................................................................................................................................5
References............................................................................................................................................6

INTRODUCTION
An organisation has forces and factors which affect a business to build and keep good
relationships with the customers is known as business environment. Business environment has three
stages which are internal environment and external environment. The internal environment includes
the decision making, finances, management, purchasing, etc. The environment is limited to the
boundries of the organisation, everything happening within the organisation is the internal
environment. (Saleem, 2015.)
The external factors which are partners, competitors, customers, etc are the external
environment factors of the organisation which are outside the boundry line of the company. It could
also include the demographic, politics, culture, etc in this factor.
The business enviroment (Akhtar, and Sushil, 2018) is divided into two for the easier and
longer run of the industry and all the aspects for the organisation are very important which have to
be given attention to. Different departments for each purpose is required so that there are lesser
conflicts in the business.
The two companies which are being which is being picked are British Petroleum which is a
Public limited company and John lewis partnership which is a private limited company. Both the
companies are UK based and very establishedin there own fields.
MAIN BODY
1 Explore the organisational types and purposes of businesses from a range of sectors.
British pertroleum serves oil and gas to its customers and due to its performance in 2012 it is
the 6th largest company. Being a public limited company the organisation has to let out the full
information and each step taken about the company to all the shareholders and its the public
company's responsibility to maximise the profit for the shareholders.
Though the world is shifting from using petroleum and gases whihc are limited resources
and are moving towards natural resources like wind energy, solar energy, etc. BP is trying to control
over its Carbon outlet from its product keeping the future and environment in mind. The company is
well prepared for the changes which would come up in the future where using resources which are
limited banned and BP is well organised to get in the change well. (Hair, et.al., 2015)
The company is trying to make its product safer because of the hazardous explosions
because of the companies mistake which affected the company and the environment. The company

works with hazardous products so the companies need to be even more careful. The company can
suffer many problems and losses in future because of the change in the environment. The laws and
functions are very different than the other limited companies. BP is very successful in this field.
John Lewis Partnership is a company which is owned by a trust thats why partnership is in
its name and the trust also has a voice of its own in the decision making or any ascept of the
company. Though the company is runner by John Lewis and partners stores which are the
company's employee own. JPL is the 3rd largest supermarket in UK which sells cosmetics, clothes,
giftwares, furniture, financial services, etc.
This company is similar to public limited company but the only difference is that the
shareholders are limited and not everyone can buy a share in this company (Teece, 2018). The
company does right on the bases of judgement, they believe in nothing or all which means they put
in all for getting more outputs. The companies goal is to expand as much as possible and make the
maximum profit in there capability.
The factors which make this company different are that they build upon the quality of the
organisation and economic environment. They focus on well being and health of their product. JLP
is producing its own products which are exclusive and own-brand which has increased 30% of
woman customers (Dey, 2019). The brand is having its own Food Innovation Studio which is
producing healthy eating products which helps customers in shopping.
5 Demonstrate an understanding of the requirements of a variety of stakeholders to a chosen
organisation.
In a public limited company the company has to be open about all the decision making and
everything in detail about the company to all the stakeholders. The company can be sued if all the
details are not shared or the company owners try to make a personal profit without letting the
stakeholder know. If there is a loss then the company managers, executives, etc will be blamed for
it. On the decisions the board can raise as many questions as they want. The company has to always
keep the stakeholders in profit otherwise the company can lose its stakeholders and if the company
faces any lose then they will be answerable.Every stakeholder has its own right to know about the
company they are investing in and only with the help of a good governance structure is it possible
for the equitable treatment.
The main objective of the company is to give the customers the best of quality and satisfy
there needs. The NGO's, media government, etc are very much interested in such kind of companies
and are influencing the company to certain degree. To maintain the stakeholders the company is

working with NGO's to improve its outlet of pollution and innovating new ideas for the betterment
of the company.
In John Lewis Partnership the stakeholders are the employees themselves. In a private
limited company there are no stakeholders except the owner's and no one can can become a
stakeholder in there company. Since the companies objective is to fulfill the customers needs with
good quality and healthy food variety the company is having its own unique quality.
The company has its own food innovation studio to make its own healthy food and has its
own brands products. The profit of the company is shared between the owners and not between the
government and the customers or the outsiders of that company.
CONCLUSION
Both the companies are doing very well in there own fields and are working on making the
company more innovative and approachable for the customers. BP being the oil and gas company
has to come up with new products replace its present products because the consumers are shifting to
pollution free or environment friendly products. And JLP is producing innovative healthy products
to attract more customers and having its own products which are exclusive.

REFERENCES
Books and Journals
Akhtar, M. and Sushil, S., 2018. Strategic performance management system in uncertain business
environment. Business Process Management Journal.
Dey, S., 2019. Business environment.
Hair Jr, J.F., et.al., 2015. Essentials of business research methods. Routledge.
Saleem, S., 2015. BUSINESS ENVIRONMENT, 3/e. Pearson Education India.
Teece, D.J., 2018. Business models and dynamic capabilities. Long Range Planning. 51(1). pp.40-
49.