Analysis of Business Types, Scope and Organizational Functions

This report provides a comprehensive analysis of different types of businesses, including public, private, and voluntary sectors. It examines their purposes, sizes, and scopes, using examples such as the National Health Service, Mark & Spencer, and Child Care. The report delves into the relationship between organizational functions, such as finance, marketing, and human resources, and how they are linked to business objectives and structures. It also explores how the structure, size, and scope of these organizations contribute to achieving their goals and objectives. The report highlights the interrelationships and complexities within different business structures and their impact on overall organizational performance and market competitiveness.

Businesses
and
Businesses
Environment

Table of Contents
EXECUTIVE SUMMARY ............................................................................................................3
INTRODUCTION...........................................................................................................................4
1. Different type of businesses and its purpose...........................................................................4
2. Size and Scope of different organisation................................................................................7
3. Relationship between different organisational function linked with objectives and structure
.....................................................................................................................................................8
4. Analysing structure, size and scope link with business objectives.........................................9
5.Complexity of different types of business structures their interrelationship with other
organisational function..............................................................................................................10
RECOMMENDATION.................................................................................................................11
CONCLUSION..............................................................................................................................12
PRESENTATION..........................................................................................................................13
Covered in PPT.........................................................................................................................13
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REFRENCES.................................................................................................................................23

EXECUTIVE SUMMARY
The term business environment can be described as a combination of several factors
classified as internal and external which have negative as well as positive effect on the activities
of company. There are mainly three types of companies private, public and voluntary they all
have their different scope as well as size. Apart from this, by conducting external analysis
strength, weakness, future opportunities and threats has been identified. Along with the way to
overcome with these as well as external and internal factors are interrelated and help in growth of
business.

INTRODUCTION
The business environment refers to various internal and external components which
impacts on operational activities of an organisation. Such as company's functions including
employees, customers, management, supply and demand and business regulation in which an
organisation is operating in it (Abrahamsen And et.al., 2016). It is basically collection of all
individual's entities and other factors which may or may not be controlled by an organisation, but
it effects the performance, profitability, growth and sustainability of an or organisation.
Eventually, a business operates in a distinctive environment by influencing its operation and get
affected by its activities. The present report is based on selected organisation i.e. National Health
Service (Public Sector), Mark & Spencer ( Private Sector) and voluntary institution named as
Child Care. This assignment will focus to determine to purpose, size and scope of different type
of organisation. Analysing relationship of different type of organisational function connected
with other organisational objectives and structure.
1. Different type of businesses and its purpose
An idea of business includes basic information such as product and services, its target
customers and its unique selling preposition that gives an advantage to a company over its
competitors. Such as human beings relate to different types of goods and services in order to
raise their living standard. Its main purpose is to meet daily needs and wants of customers and
attaining profitability in market.
Public sector:
Public sector includes all those activities and functions that are owned, performed,
controlled or owned by government. It basically consists of public fund agencies, enterprise and
other entities that deliver public programs, goods and services. It exists to provide services to
general people and citizens (Aithal, 2017). They are raised in marketing through various methods
such as including taxes, fees and financial services from other levels of government.
For example: National Health Services, it is public funded national healthcare system. It is one
of the largest single players in healthcare system at worldwide.
Purpose: The purpose of National Health Service is to shape it service around need and
perfectness of individual patients, their families and career as well as responding different needs
of population.

Stakeholder of National Health Services: National health services stakeholders
are National School Of Health Science (NSHS), National West Healthcare Science Network and
Health Science Professional Bodies and Academy for Health Science (AHCS).
Private sector:
This can be considered as a part of national economy which has been established by
number of private companies. It consists of personal sector and corporate sectors and responsible
for allocating most of its resources within an economy. Most All of this sector businesses
organizations are done or run with an intention of making profit. Moreover, it is run by an
individual rather than government and regularities bodies.
For example: The company named as Mark & Spencer which is known as British Multinational
private sector organisation of retailing. This company is specialising in selling premium quality
of clothes, home products and luxury food products (Crane and Matten, 2016).
Purpose: Its purpose is to provide high quality of products to its potential customer and
gain market share in clothing and speciality of food.
Legal structures of Private Sector organisations
Sole Trader: A sole trader is a person who carries a business exclusively by himself. It is one of
simplest form of business as it mainly depends up on his resources and funds etc. Moreover, it is
an individual entrepreneurship form of business organisation which stands on the hand of
individual who is responsible for its operation, its risk of failure.
Partnership: A partnership is a formal arrangement in which two or more person come
together to manage and operate a business (Cullen, 2017). It is a type of business in which two or
more individual pool money, skills and other resources, share profit and loss in accordance with
the term and condition agreed upon
Private limited Company: A private limited company is a company which is privately held up
with small business where liability of members are limited to amount of shares which are held by
them. It is a legal protection for its share holders along with some sort of restriction towards its
ownership.
Public Limited Company: A public limited company is a legal designation of a limited liability
of a company. It offer it shares to general public as well as have very limited liabilities.
Moreover, its stocks are offered to general public that can be acquired by anyone either privately
or during initial public offerings through trades or stock markets.

Voluntary association:
A Voluntary association is basically a group of people or individuals who voluntarily
enter in business to specify social purpose. It consist of group of people joined together on basis
of mutual interest or common objectives in order to provide welfare to society.
For example: Child Care is one of the supported combinations of works for children and
general public.
Purpose: Its purpose it to work for the welfare of poor and needy children and society.
Trustee: An individual person or member who is given control and power of
administration. Moreover, it is a natural or legal person who is legally committed for beneficiary
of charitable purpose.
Charity: An organisation who basically raise money in order to help general and local
people who are in need of it. Charity is also a systematic process of donating money, food and
useful things to needy one's.
Stakeholder of Child Care: Stakeholder of Child Care are its members, employees,
donators, local community and local authority.
.
2. Size and Scope of different organisation
National Health Services
National Health Service is one of the largest health services that is funded by public ally.
Basically, it has come up with an idea to provide good health care irrespective of wealth, class
and other issues (Ding, Quand Wu, 2016).
Size: National Health service is sizing up of largest group of employers in health and
service industry with high number of employees and staff members as well as exploring business
on different countries.
Mission: The mission of National Health Care services to provide health care services to
individual and its family.
Vision: Its vision is to provide a healthy service to general people and more independent
lives through high quality and seamless care.
Scope: Its scope is to develop cote and essential staff values with high quality of services
such as free medication and treatment to poor and needy people.
Mark & Spencer

Mark & Spencer is one of the leading largest retailer stores in worldwide. Its motive is to
sell high quality and great value of clothing, home products and outstanding food quality.
Size: It has begun to expand all over to increase its size of its food market by having huge
force of employees, positive attitude of shareholders towards their product and services.
Mission: Mark & Spencer Mission is to make aspirational quality of product and services
to its customer's. Main motive is to provide high class or premium quality of product for
customer's valuable penny.
Vision: Its vision is to gain leadership in market by meeting up customers’ needs and
improvising its competitiveness (Foss and Saebi, 2017).
Scope: Mark & Spencer are ranging in international market with more than 35000
product line.
Child Care
Child Care are working towards welfare of children. It is usually taken up by parents
specially mothers who take leave from employment.
Size: Child Care are growing in market and increasing demand with their best nursing
staff services who are working towards welfare of society.
Mission: Ensuring to operate best and most successful day nurses’ schools for children.
Vision: Raising a child with greatest personal responsibility and supporting their parents
to grow up their child.
Scope: Herein, Child care are providing services to children such as free education,
shelter, free medication and treatment as well as basic needs.
3. Relationship between different organisational function linked with objectives and structure
Organisation structure defined or outlines certain activities that help in attaining business
objectives (Morrison, Google, 2016). There are some functional department in an organisation
which are are interconnected and linked with business objectives and its structure.
Finance department: The finance department of an organisation is important as it
mange’s money, allocate budget and raise fund from market. Finance department of Mark &
Spencer is interconnected with marketing department such as price of product, generating sales
and revenue. Thus, both departments are working for achievement of organisation gaols and
businesses objectives and creating an efficient structure.

Marketing department: A marketing department of Mark & Spencer promotes and drive
out sales of its product and services in competitive market. This department is connected with
both finance and human resource department of their organisation. As without finance
department they will not be able to proper research in market, from research finance department
will set out its cost to offer general public. Moreover, human resource department are working
towards creating up its brand loyalty as they are coming up with attractive talents to meet up its
sustainability in market.
Human resource department: Human resource department of Mark & Spencer are
linked with finance department as they keep records of each employee's work and help finance
manager to pay their salaries according employee's working criteria. Moreover, human resource
department of respective organisation plays an important role for hiring right candidate in full its
goals and business objectives.
Thus, functional department of Mark & Spencer are interconnected with each so that they
can achieve its goals and business objectives (Razak And et.al., 2016). Furthermore, leading and
gaining market share and remaining competitive in market.
4. Analysing structure, size and scope link with business objectives
National Health Service
National Health Service is world largest healthcare services worldwide. Its legal
structure, size and scope are working together such as arranging wider ranges of services as to
meet up necessary and reasonable requirement of a person (Shchepakin and Krivosheyeva,
2015). Moreover, they are expanding their health care services and operating more than one
region. As they are ensuring a healthier and better lives for an individual as well as their family.
Furthermore, providing high quality of nursing staff and ensuring to listen their patients and
communicate clearway about their problems.
Mark & Spencer
Mark & Spencer basically follow a flat organisation structure as they encourage it
employees to take decision making process. They are involved in providing premium quality of
product and services to its potential customers. Moreover, they are ranging their size towards
fashionable clothes and its sales continue to slump. Eventually, they are developing themselves

more on international market with more than 35,000 stores of its product line. Thus, its size,
scope and its legal structure help them in fulfilling its goals and objectives and attain more
market share in competitive market. With effective workforce and staff member are able to
attain competition over its competitors by having proper decision-making so that they can
maintain their quality of goods and services. Thus, in this way a respective organisation can have
sustainability for longer period of time.
Child Care are working for welfare of needy and poor children. It is expanding their
business and increasing their market share and benefiting parents to take leave from their
employment services. Moreover, its main motive it to ensure and shape a child in such a manner
so that providing privilege for future life of a child. Thus, in this way they are able to fulfil their
motive and achieve their business goals and objectives.
5.Complexity of different types of business structures their interrelationship with other
organisational function
A business is done in various ways such as private, public and voluntary sector. Each of
them has its own complexity in performing their business operation and caring out their day to
day activities (Stott, Stone and Fae, 2016). Herein, some of the organisation faces numerous
issues due to their business structure. Such as one major complexity are unlimited liabilities,
owners claim, taxes and debt against business and potential dissolution. The most complex of a
particular business organisation is to act as legal entity which exist separately from owners.
Moreover, complexity depends on number of interconnections and their effects on business.
Furthermore, a business’s complexity lies on popping up on radar screen of corporation all
around the world as business should be clear in performing its own businesses.
The interrelationships of different organisation functions of Mark & Spencer are as follows:
Marketing department: The marketing department of Mark & Spencer need to flow a flat
structure to carry out their business activities (Turner and Endres, 2017). Herein managers and
employee can communicate with each other freely without any middle management. Positive impact: If marketing department of Mark & Spencer follow this structure then it
will be cost efficient, paster decision making process and allows to communicate clearly
and properly. Moreover, it will require less dominance of supervision.

 Negative impact: If this structure is not applied in an effective manner than management
will loss control over it, work relationship could struggle, and it will make employment
retention difficult. Thus, it will result in role of confusion among employees.
Finance department: Finance department of Mark& Spencer follows hierarchical structure in
their working criteria. As this structure tends to resemble pyramids with highest level of power
and authority. Positive impact: If finance department of Mark & Spencer follows hierarchical structure
then there will be clear chain of command among employer and employees. Moreover,
the managers will lead to achieve clear path of their working advancements.
 Negative impact: If managers of Mark & Spencer does not follow this structure then it
will lead to poor flexibility, communication barriers and there will be organisational
disunity (Zott, Amit and Massa, 2011). Hence, power and authority will be decentralized.
RECOMMENDATION
It has been recommended that, each organisation have its own businesses operation and
carrying out their activities in day to day basis. Such as:
 Private, public and voluntary organisation has its own legal structure, purpose, size and
scope in order to achieve its business goals and objectives respectively.
 Each organisational department are connected and interlinked with each other in attaining
sustainability and remaining competitive in market. Though it has positive and negative
impact on an organisation.
 Moreover, size and scope as well as legal structure relate to each other in achievement of
successful business organisation.
CONCLUSION
From the above report, it has been concluded that business environment can be described
as different types of factors which impacts on their operations and brand image. However, it
includes internal and external factors which are responsible for effecting enterpriser so that
business entity is required to make decision by evaluating overall elements properly. Moreover,
it includes size, scope and legal structure of different types of organisation including private,
public and voluntary as per their concept of business. In addition to this, it is necessary to

analyse different types of department such as marketing, human resources, finance and IT along
with evaluating interaction amongst them.

PRESENTATION
Covered in PPT