Introduction to Business Assignment: SWOT, Management, Marketing Mix

This assignment provides a comprehensive overview of essential business concepts. It begins with an introduction to business, emphasizing its role in the economy and the importance of management. The first question delves into the purpose of SWOT analysis, explaining its use in assessing a business's strategic position by evaluating internal strengths and weaknesses, as well as external opportunities and threats. The assignment then outlines the major functions of management, including planning, organizing, leading, and controlling. It also examines the components of the marketing mix, which are crucial for promoting a brand or product. Finally, it discusses the advantages and disadvantages of partnerships as a business structure. The assignment highlights the significance of effective resource allocation, competitive analysis, and strategic planning for business success. The inclusion of real-world examples like the Hilton hotel helps to clarify the concepts discussed.

Introduction to Business

Table of Contents
INTRODUCTION...........................................................................................................................1
QUESTION 1...................................................................................................................................1
Purpose of SWOT analysis in business..................................................................................1
QUESTION 2...................................................................................................................................4
Major functions of management.............................................................................................4
QUESTION 3...................................................................................................................................6
Components of marketing mix...............................................................................................6
QUESTION 4...................................................................................................................................8
Advantages and disadvantages of partnership........................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
In modern world business act as essential component to smoothly work an economy . It
can be carried out in the form of sole trader, partnership, company, corporation or organisation.
The main objective of business is to generate profit for the firm and satisfy needs and wants of
the clients. It functions in the economic system where commodities and services are exchanged
for one another or for monetary benefits. The present assignment introduces integration of
different concepts which helps to operate, manage and functions the enterprises (Ford, Steen and
Verreynne, 2014). Management is an essential principle for corporations to run the business
towards the next level of growth and development.
QUESTION 1
Purpose of SWOT analysis in business
A significant tool to audit the overall strategic position of a business and its environment
is SWOT model. It is a procedure used by management team for assessing the internal and
external forces that affects their organisation's performance and goodwill in the market. Here,
strengths and weaknesses are considered as internal factor of the business while opportunities
and threats as external components of the company (Davis and Hoffer, 2012). The framework
reflects firm's ability to overcome barriers and capture opportunities to expand its horizon.
SWOT helps to prepare the overall corporate planning process including financial and
operational goals for coming period and develop tactics for attaining these goals.
SWOT analysis is best used as a guide to identify and evaluate strengths, weaknesses,
opportunities and threats for the organisations. The validity of analysis increases by in depth
adding and weighting criteria for each factor. The main purpose of this concept is to make
optimum use of resources available to the company. Different factors of production including
land, labour, capital and entrepreneurship are required to allocate depending upon their
necessities in the business. Strengths of the company determine the manner in which resources
will be used to attain potential growth and profitability (Belu and Manescu, 2013). The
managerial team make competitive analysis of the company to resist strongly in the market.
Another objective of SWOT analysis is to improve efficiency of its several operations. The
management team evaluates corporation weaknesses in order to understand loopholes taking
place in the company. It identifies the most critical areas that need to be improved to attain
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desired outcomes. Different business activities such as production, marketing, distribution and
communication require developing its efficiency. Yet, another purpose of SWOT analysis is to
search growth prospects for the corporation (Rinfret, Cook and Pautz, 2014). The concept seeks
new opportunities and broader product distribution to wider geographical expansion of business.
Apart from generating opportunities for the enterprise, it also deals with risks involved in
its operations. Risks like abrupt change in taste and preference of customers threatens the
business entity. Although, SWOT analysis helps the management to develop contingency plans
to quickly encounter the external challenges to the company. The technique also makes sure that
it builds strong competitive positioning in the market (Hall and Wagner, 2012). Managerial team
focuses on rivalries weaknesses to encounter them with its own strength and opportunities. It can
be conveyed that this principle is comprehensive approach to strategy formulated for smooth
functioning of business.
SWOT is an abbreviation for strengths, weaknesses, opportunities and threats and each
component is specified below for a business:
S stands for strength
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Illustration 1: SWOT Analysis of business

It is the internal factor of business that describes its core competencies to stand strongly
in the market. The company is benefited by various strategies used to perform day to day
operations. For instance; strength of Hilton hotel is its luxurious hospitality services for its guests
and visitors (Drnevich and Croson, 2013). Strength factor includes positive aspects like
technological skills, production quality, strong distribution channel and better customer
relationship. These measures help to build strong position in the economy.
W stands for weaknesses
The areas that hinder performance or productivity of the organisation refer to its
weaknesses. They slower down the mechanism of operations and restrict development in
required areas. Like, when a brand new business entity enters market it is unaware about the
potential clients which adversely effects its brand recognition. It also results in lack of customer
loyalty and belief in the company. Different types of weaknesses such as absence of skilled
workforce, poor after sale services, weak promotion and advertising activities affect the business
productivity (Michelon, Boesso and Kumar, 2013).
O stands for opportunities
These are considered as external factors of business that provide positive influence over
the company. Various business opportunities increase profits, performance and productivity of a
business. Such as changing customers taste and preferences encourages Nestle to modify its
existing food products along with introducing new items in the market. Technological
advancement also plays crucial role in providing better chances for enterprises (Cahoy, 2013).
Influential government policies and regulations also promote growth and development of the
business.
T stands for threats
Final element of SWOT analysis is threat that has potential to harm the business. It is a
part of external factor that reveals unfavourable components affecting the company. It includes
closing of geographic markets, change in population, age structure or new distribution channels
of suppliers. The management team needs to identify and limit the impact of these factors.
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QUESTION 2
Major functions of management
It is a well known fact that management outlines and operates better business activities to
accomplish the desired goals. It ties different resources of company to attain organisational
objectives. It is a process of planning, organising, staffing, directing and controlling several
resources. Simply, it is transformation of resources into utility through a vulnerable force.
Managers are responsible to identify vision, mission, goals and objectives to be achieved. Along
with this, they also plan and imply rules, regulations and strategies to perform effectively. It is an
essential function to enhance productivity of the organisation (Savitz, 2012).
Management brings altogether six M’s of business entity that are money, material, men,
machinery, methods and markets. Various resources and tasks takes place one after another in a
business entity. Capital is essential to avail financial resources to the company to modify existing
products and introduce the new ones in the market. While, human and other resources use their
skills and abilities to produce good quality commodities and services (Short and et. al, 2013). On
the other hand, methods to conduct various business activities to establish brand image in the
market is monitored by the management.
Management performs four major functions for an organisation that includes deciding
business goals and operations, optimum allocation of resources, motivating and supervising
workforce for assigned tasks and analysing metrics to ensure completion of tasks and identify
areas for improvement. These functions are described as follows:
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Illustration 2: Four major
functions of management

Planning: The first and foremost function of managers is to create a detailed action plan aimed
at specific organisational goal. Planning is an ongoing process that focuses on enterprise over all
objectives along with divisional, departmental and team goals (Willow, 2015). It requires
managers to be equipped with good market knowledge and ability to forecast future business and
economic conditions. For example, marketing manager of a branded company in order to
increase sales of the company will plan different strategies. At first, he/she will recruit and build
effective team of sales representatives.
Organising: Secondly, the managers organise several resources to accomplish objectives of the
company. These elements can include physical, human and financial resources to achieve
objectives. Various steps take place in organising several activities like classifying them,
assigning tasks to units, creating responsibility and delegate authorities to them. Here, sales
manager will allocate resources and organise manpower as per the plan (Rudnick, 2013). They
need to recognize varied roles and ensure that right amount of subordinates to carry out the plan.
Employers will delegate authority and provide direction to teams in increasing sales figures.
Leading: Management and leadership go hand in hand for smooth functioning of organisations.
Managers are required to motivate employees to achieve business goals and objectives. Better
communication and present ability skills connects the leaders or managers with their respective
subordinates. They are able to ensure measures which will promote employees skills and abilities
to perform the tasks (Sovacool and Saunders, 2014). The sales manager will communicate,
motivate, encourage and inspire associates to put in their best efforts for the company. Rather
than motivating leading also includes supervision of employees.
Controlling: It is the final function of management that involves measuring achievements
against set objectives and goals. The sales manager evaluates sales attained by the team in
respect of target set. If in case desired outcomes are not meet then necessary corrective measures
are taken by the sales head (Kotler, 2011). They also figure out sources of deviation for
successful accomplishment of goals to provide corrective course of action. As managers first
establish goals, then they measure achievement and scrutinize loopholes that are keeping them
away to achieve these targets.
All these functions regulates on the basis of goals set by the management. They act as a
guideline for the managers and employees to proceed in proper direction. It is a fundamental
component to obtain long term success. There is a direct relation between set goals and
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productivity of business entities. Management make goals to help employees identify what is
expected from them and what efforts they need to make (Schlichting, 2013). Furthermore, it acts
as a fuel of motivation for the workforce to ensure better results for the company. Setting goals
spurs productivity and confidence among individuals and teams. Setting goals keep performance
up to the mark and maintains consistency of the firm.
QUESTION 3
Components of marketing mix
Various aspects of business depends upon successful marketing of the organisation. It is
considered as the heart of organisations or enterprises. The concept covers tools and techniques
such as advertising, promotion, sales and public relations. The products are introduced and
promoted to potential customers through effective marketing planning. Without marketing a
business firm cannot reach its potential clients and increase its profitability (Parnell, 2010).
Marketing concept not only focuses on maximization of company's profit but it also considers
needs and demands of customers. It builds brand recognition or product recall for the company
in the market.
One of the major concept of marketing is marketing mix. It can be defined as set of
actions that a company uses to promote its brand or product in the market. It is the mixture of
several plans followed by marketing representatives to promote commodities (Definition of
'Marketing Mix', 2016). This integral tool builds an effective marketing strategy and implements
it with tactics. Marketing mix transforms primary customer group into potential market for
products of an organisation. The product and price offer some direction in identifying right
audience. Also, through this tool customers are conveyed about what they are offered and why it
is different from other products in the market. It also makes sure that what channel of
distribution is used by the company to make constant flow of its services in the economy. The
products are available through online shopping or in-store outlets whichever mode is available
(Rowley, 2012). Marketing mix builds brand recognition of a product in the market. Through
various marketing campaigns existing and new customers are build up in the market. Already
established clients are informed about the current updates of the company while new consumers
are introduced to features of the commodities. Marketing mix helps to expand trade area of the
company even to international level.
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Now, understanding important elements of marketing mix in the below description:
Product
First element of marketing mix is commodity or service made available in the market. In
short way, it is the goods manufactured by enterprise for end-users of the cycle. The
commodities can be two forms that is either tangible product or intangible services (Linn, 2012).
Tangible products refers to those that can be touched and feel by clients whereas intangible
services relates to that can be accessed by sensory efforts. Products determines most basic
building block of marketing mix process. Enterprises that predict life cycle of a product can gain
competitive advantage by innovating new products or services in the upcoming years.
Price
Second component of marketing mix concept focuses on monetary benefit of the
company. The money a buyer pays for a product is refereed as price of the commodity. Cost of
the commodity has indirect proportion to its demand in the market. This means that with the rise
in price of commodity its demand falls resulting in more and more customers consuming the
product. Price also depends upon different types of market existing in the economy (Teece,
2010). For instance, perfect competition market posses numerous buyers and sellers that makes
inelastic and any change in demand and supply of goods does not have much impact on its price.
Place
Another factor of marketing mix concept is place where the products are made available,
sold and purchased. Consumers purchase products either from physical markets or modern times
virtual markets. According to this element, clients can either contact directly to the sellers by
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Ill
ustration 3: Marketing mix
model

physically meeting their respective shops or outlets. Whereas, the virtual market posses internet
platform to perform purchasing and selling transactions of the company. Online shopping is
recent branch developed in market to avail commodities to the consumers (Pemberton, , 2012).
Online retailers required to have recognizable web domain and easily accessible navigating
websites.
Promotion
Promotion is the fourth element of marketing mix. It deals with various strategies and
ideas implemented to make clients aware of their brand. The managers of a business entity make
use of several tools to advertise and promote its products. First of all they make target audience
aware about their commodities and services and later they attract them to purchase goods. It
incorporates elements of advertising, public relations, sales and customer services to draw clients
interest towards company. Print media, television, radio are effective measures to entice
customers and make them, aware of its brands existence. While, positive word of mouth from
existing customers also make positive influence over the new clients.
QUESTION 4
Advantages and disadvantages of partnership
As mentioned earlier business takes place in the form of sole trade ship, partnership or
corporation. Where, partnership is a formal arrangement of partners who agreed to advance their
mutual interests for the business. The partners can be individuals, business houses or interest
based organisations. It involves parties with complex negotiations and challenges that can be
navigated unto agreement. The partners manage the company and assume responsibility for debts
and obligations of the business. Partnership is an arrangement of two or more individuals to
share profits and loss of a business venture (Hill, 2016).
There are different types of partnership present in business that can be understood briefly
below:
General partnership
In this type of partnership, all the parties or partners share financial and legal liability in
equal proportion. Individuals are personally responsible for pay off liability of the corporation.
While, profits are also shared equally according to the contract. General partnership can be
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optimised by anyone from small town shops to multinational companies. Here, each partner has
right to dissolve the partnership and force the sale of assets.
Limited partnership
According to this branch, there are two classes of ownership i.e. general partners and
limited partners. Here, business debts come within the liability of general partners but limited
partners are passive investors of the company. There risk factor depends up on the percentage of
capital invested in the business (Types of partnerships: partnership, limited partnership, limited
liability partnership, 2013.). Although, they are not directly involved in managerial activities of
the business entity. These partners participate in revenue sharing whereby operating profits or
losses are split between both general and limited partners.
Limited liability partnership
This is a combination of elements of partnership and corporations comprising may be
general partners or limited partners. Here all the partners enjoy limited liability protection. LLP
are typically favoured by professional associations like accounting firms in which all partners
wish to actively participate in management process of the business. The partners are paid bonus
based on firm's profits but it is not required or guaranteed.
Further, partnership posses few advantageous that can be understood below:
 As partnership involves many partners so there are many investors present in the
business. Due to the nature of business many partners will fund in the organisation with
start up capital. It has opportunities to modify the existing services and introduce new
products in the market due to good amount of capital to invest.
 Partnership s comparatively easier to organise, manage and operate in an industry. They
posses merit of flexibility in the market and provides more scope or potential to operate.
In terms of law, they are less restricted by legal proceedings in comparison of companies.
 Here, partners can share responsibility to run the business entity. Rather than splitting the
management and taking equal share of each business task they spilt the work in different
sections. It causes less burden of managing and operating several activities
simultaneously in the business.
 Another merit of partnership is effective decision making process as partners share their
views and help each other at time of emergency. More partners means more brain to
sought out a critical situation.
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Whereas, there are few disadvantageous of partnership are as follows:
 It is the most obvious loophole of partnership that is threat of disagreement between
partners on a specific topic. As every personality has its own nature and ideology to think
and execute things.
 Another disadvantage is partnership are subjected to unlimited liability and each partner
is liable to for financial risks of the business. Liabilities burden partners and restricts
them to invest in new ideas and innovations.
 As partners share profits equally this leads to inconsistency where one or more partners
putting fair share of effort into the running or management of the business.
CONCLUSION
From the above assignment it can be concluded that business provide wide range of
commodities and services in the market. In order to operate successfully it uses various tools and
techniques. The report examines significance and functioning of SWOT analysis for a business
entity. Whereas, major functions of management that is planning, organising, leading and
controlling helps to operate business effectively. Further, the report evaluates four major
components of marketing mix i.e, product, price, place and promotion for better functioning. At
the end it determines different types of partnership and its merits and demerits for the
corporation.
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REFERENCES
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