Business and Business Environment Report: Structure and Functions

This report delves into the intricacies of the business environment, examining various organizational structures and functions. It begins by defining different types of organizations, including public, private, and voluntary sectors, along with their respective purposes. The report then explores organizations based on their size and scope, differentiating between micro, small and medium-sized enterprises, large business enterprises, and social enterprises. It further investigates the relationship between different organizational functions such as production, research and development, marketing, and human resource management, highlighting how these functions are linked to the overall objectives and structure of a business. The report uses Marks and Spencer's as a case study to illustrate the concepts discussed, providing a comprehensive analysis of its internal and external factors and assessing its strengths and weaknesses.

Business and Business
environment
Contents
Introduction.................................................................................................................................................3

LO1.............................................................................................................................................................3
P1 Explain different sort of organizations with their purposes................................................................3
P2 Explain various organization on basis of size and scope....................................................................4
LO2..............................................................................................................................................................5
P3 Explain the relation between different organizational functions and how they are linked to
organization’s objective and structure.....................................................................................................5
LO3..............................................................................................................................................................6
P4Covered in PPT...................................................................................................................................6
LO4..............................................................................................................................................................6
P5 Covered in PPT..................................................................................................................................6
P6 Covered in PPT..................................................................................................................................6
CONCLUSION...........................................................................................................................................6

Introduction
Business environment plays a very crucial part in development and growth of a company.
Environment plays a very vital part to carry out business functions of an organization. Other than this, it
also helps in better understanding of various sorts of operations that will help in effective rise in
operational capacity of firm (Pearson, 2017). The internal and external factors of company will support
execution of business operations in a better way. For this report, Marks and Spencer’s is been taken as
organization of context. This report will lay emphasis on the various types of organizational structure,
along with their size and scope. Besides this, the relationship between various business operation is been
taken in context and impact of macro and micro environmental factors are been taken in consideration.
Apart from this, an internal and external assessment of an organization is been conducted with assessment
of its strength and weaknesses.
LO1
P1 Explain different sort of organizations with their purposes.
There are various sorts of organizations that are very functional in their respective fields. This
helps in better growth and development of operations that will help in significant rise in operational
capacity of business organization. The organizations may be different from each other that help in better
execution of their respective business operations. The various sort of business organization will perform
the wide range of the operations and gain a better productivity and profitability. The revenue that is been
generated by these firm is different, on the basis of their functionality and scope. Although, this
organizations are interlinked from each other, their operational capacity and functionality differentiate
them from each other. Other than this, these organizations will work for the different purposes (Kolk,
2016). Some major sort or types or organizations that are been operational in the market are as follows:
 Public organization: Public organizations are firms that are operational in public sector and
work for welfare and development of people. These usually work in collaboration with local or
national government and help in better development of business organization. Public firms
usually wok in medical, infrastructure and health care department that will help in the significant
rise in operational capacity of organization. Other than this, public firms have collaboration with
local governing bodies, which keeps a check on its growth and development. Apart from this,
profitability and the revenue that is been generated by such firms is been shared by government
or governing bodies. The business organization will look after better welfare of consumers and
will see through better development of products and services to meet their needs and demands.
 Private organization: This are the organization that are been owned and set up by an individual.
The profitability and revenue that is been generated by them is been utilized by themselves on
their growth and development. This firms mostly work in retail, IT, telecom etc sector. They
usually work independently and rarely work in collaboration or partnership. Apart from this,
private organizations are deeply dependent on the high level of workmanship and require
investments to establish and handle the business operations on a larger scale (Carroll and
Buchholtz, 2014). Also they consist of a single individual who work for the development of
overall operations and decision making on a wider scale. They collaborate with other sectors to
have a better handling of operations and meet operational requirements of the organization.

 Voluntary sector: This sector has no fixed structure and comprises of individuals that work
voluntarily for development or production of goods and services that are good for better living
and welfare of peoples in society. Their main aim is to provide people with best quality services
and products and have a good customer satisfaction level. They majorly work in medical and
health care sector. Also, the profit or revenue that is been gained by them is been implemented for
the development of better health care services and products to meet people’s needs and demands.
Their main aim is to ensure the wellness and goodwill of their customers (Armstrong and et.al.,
2015).
 Legal Structures: they work in the following and establishing of proper legal and social care
services. Their main motive is to provide better handling of various legal and jurisdiction
measures that are been taken in appropriate consideration by them. They will look after all sort of
legal matters and will provide the legal help and support to people. They majorly comprise of
courts, and associates who will look after the passing and establishing the rule of law in society.
Besides this, they will look after the following of all sort of legal obligations that are been
followed by organization in a better way. Apart from this, such structures work for better
handling of legal cases of their clients or customers.
P2 Explain various organization on basis of size and scope.
Various sort of operations are been taken in effective consideration that will help in effective
handling of different sort of operations. On the basis of size and scope, there are various organizations
that are operating in market. The operational size and scope help in better growth and development of
organization that will help in better handling of operations in an organization. This various organization
helps in effective handling of different business operations in company and helps them to meet needs and
demands of organization (Drucker, 2017). The difference of scope decides functionality of organization
to a greater extent. The various organizations on basis of size and scope are as follows:
 Micro business enterprises: these organizations are been handled by an individual owner who
looks after the operations of the organization and implement his own investment to run and
establish the business organization. The profit that is been gained by the organization or
enterprise is been used for the development and growth to expand the business operations in a
better way. They have a limited scope of growth and development in market hand have adequate
amount of investment to run the organization. It mainly comprises of grocery vendors, barbers
etc. The employees in such firms are either the family personals or the local people and labor.
 Small and medium scale enterprises: They are bigger than the micro scale business enterprise
but are smaller than larger level business organizations. Such organizations are been owned by
either an individual or a group of people. They have higher scope that that of the micro
enterprise. It mainly comprises of the retail, IT or other firms. They can be operational on the
local level but can expand their business in other states, countries or even countries. The work
force is mainly the local citizens as well as the people from other cities and countries ( Hillary,
2017). The profit that is been gained is used as the investment for the other business activities
that are been used by the enterprise to expand their business. It also lays a very significant impact
on the wide range of financial actions that help in better growth and development of the economy
of a nation. Besides this, they are the largest job generator and employs maximum number of
workers with them.

 Large business enterprise: these are the biggest firms with large number of employees and have
a greater investment implemented by the stakeholders. These are owned in partnership,
acquisition or collaboration. They cater the maximum number of customer and have the high
scope of growth and development. Their business operations mainly comprises of the wide
variety of operations that will help in effective rise in the operational capacity of business
operations. They mainly work in the manufacturing or infrastructure industries and may work
with the governmental or legal bodies to execute their business operations. Other than this, they
may be operational in many countries and have the high level of operational capacity (Hair Jr.
and et.al., 2015).
 Social enterprises: these are the firms that comprises of the NGO’s and other non-profitable
organizations which will help in better handling of the business operations. Their main motive is
to provide the better handling of the needs and demands of the organization as well as their
customers. They work for the specific cause and may get the investment through the grants,
charity and donations. They work for the betterment of living standards of people. Other than
this, they are prior to perform the corporate social responsibility.
LO2
P3 Explain the relation between different organizational functions and how they are
linked to organization’s objective and structure.
There are various operations which are been taken in effective consideration by the business
organizations that help in the better handling of the business operations. It helps in the better handling of
the different operations that help in better handling of a wide variety of functions that help in effective
rise in operational capacity business organization. Other than this the effective rise in the operational
capacity of the organization which help in better growth and development of the high level of
productivity. Other than this, these business operations helps in the better handling of the wide range of
the business operations which will help in effective rise in the capabilities of the company to achieve its
targeted goals. Some major business operations that are been taken in effective consideration by the
business operations are as follows:
 Production: The managers and the other executives at the workplace will look after the effective
handling of the wide range of business operations that will help the firm to handle the business
operations in a better and significant manner. All the organizations will handle the business
operations in a better and significant manner that will lay a very crucial and deep impact on the
overall operations of the cited business firm. The different sort of the business operations will
help the cited firm to meet the operational requirements and demands in a significant and
effective way. Also it will help in better meeting and achieving of the targeted goals that are been
set by the business entity (Charter, 2017).
 Research and development: The different sort of the operational structures will have a wide
variety of business structure that will lay a very deep and crucial impact on the functionality of
the business firm. The customers of the cited business firm will help in the effective handling of
the wide range of business operations that will support the wide range of business objectives that
are been set by the M & S for better growth and development. Other than this, the better

management of the research and development will help the firm to develop high quality
innovative products and services that will help in meeting the needs and demands of the
customers and handle their requirements in a very effective way.
 Marketing: The better handling of the business operation of marketing in an organizational
structure will lay a very deep and significant impact on the overall operations of the company and
will help the cited business firm to handle the wide range of marketing operations to meet
requirement criteria of cited business firm and gain a better sustainability. The effective
marketing techniques that are been undertaken in consideration by the business firm will help the
retail firm to achieve its objectives and targeted goals. Besides this, the better marketing
techniques that are been implemented by the firm will help the business organization to gain a
better insight about the requirements of its customers and users and provide them with high
quality product or service (Crane and Matten, 2016).
 Human resource management: the better handling of the wide range of business operations will
have a very deep and significant impact on the various business operations that will lay a very
deep impact on the operational efficiency of business entity and help the firm to manage its
human resource or work force in a very deep and significant manner. This will help in the better
handling of the different operations to increase their efficiency, leading to increase in operational
capacity of business organization. Other than this, the effective rise in working efficiency of the
employees at M & S will help the firm to generate better revenue and handle its business
operations in a very effective way.
LO3
P4Covered in PPT
LO4
P5 Covered in PPT
P6 Covered in PPT
CONCLUSION
Thus, it can be concluded from the report or analysis that the business environment plays a very
deep and significant role in the execution of business operations. The effective assessment of the various
environmental factors and different sort of business organization structures will help in the effective
development of the specific strategies to meet the needs and demands of users. Besides this, the
relationship between the various business operation is been taken in consideration and impact of macro
and micro environmental factors are been discussed. Apart from this, an internal and external assessment
of an organization is been conducted with assessment of its strength and weaknesses.

REFERENCES
Books and journals
Armstrong, G. and et.al., 2015. Marketing: an introduction. Pearson Education.
Drucker, P.F., 2017. The Theory of the Business (Harvard Business Review Classics). Harvard
Business Press.
Hillary, R. ed., 2017. Small and medium-sized enterprises and the environment: business
imperatives. Routledge.
Botha, A., Kourie, D. and Snyman, R., 2014. Coping with continuous change in the business
environment: Knowledge management and knowledge management technology. Elsevier.
Hair Jr, J.F. and et.al., 2015. Essentials of business research methods. Routledge.
Charter, M. ed., 2017. Greener marketing: A responsible approach to business. Routledge.
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
Carroll, A. and Buchholtz, A., 2014. Business and society: Ethics, sustainability, and stakeholder
management. Nelson Education.
Kolk, A., 2016. The social responsibility of international business: From ethics and the
environment to CSR and sustainable development. Journal of World Business, 51(1), pp.23-
34.
Pearson, R., 2017. Business ethics as communication ethics: Public relations practice and the
idea of dialogue. In Public relations theory (pp. 111-131). Routledge.