Report: Business Structures, Productivity, and External Factors

This individual report provides a comprehensive overview of various business structures, including micro, small, medium, and large enterprises, as well as sole proprietorships, partnerships, limited liability businesses, public limited liability businesses, and cooperatives. The report defines the characteristics of each type of business and explores the impact of organizational structures on business productivity. It also analyzes how different external factors, such as political, economic, social, technological, and legal factors (PESTEL analysis), affect the performance of a business, using Tesco as a case study. The report concludes with a discussion of the key findings and implications of the analysis. This report is a valuable resource for students studying business development, providing insights into the complexities of business operations and external influences.

Individual
Report

Table of Contents
INTRODUCTION...........................................................................................................................1
Section 1...........................................................................................................................................1
Definition, characteristics of micro, small, medium size and large size business......................1
Section 2..........................................................................................................................................3
Definition, characteristics of sole trader business, partnership, limited liability business,
public limited liability business and Cooperative.......................................................................3
Section 3...........................................................................................................................................6
Identify different organisational structures and explain how organisational structure affects
business productivity. .................................................................................................................6
Analysis explain how different external factors affect the performance of a business...............7
CONCLUSION ..............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
It includes the activities of the enterprises that willing to achieve their
characteristics of the corporation. In this enterprise atmosphere play a
important role in which they helps to identify the different types of business
and the corporation with their suitable example. It involve the micro, small,
medium and large enterprises along with structures which includes sole
proprietorship, partnerships, legal corporations etc. it also helps gaining the
expansions. Macro environment also helps to increasing the competition. In
which organisation ca manage for long duration time(Khmara and
Kronenberg, 2018).
Section 1
Definition, characteristics of micro, small, medium size and large size
business.
Small business: A business runs in small level in minimum
investment, minimum worker, and few machines for operations, it also
produce goods and services in small scale. This type of manufacturing plays
a important character in development of economy of the country. The owner
of the company, they do one time investment on industry, machines, plants.
They can purchase or they take on rental basis. This manufacturing do not
finance more than around one crore. There are various example of small
scale business are: bakeries, candles, earbuds, paper, toothpick, brushes,
scraps etc. these manufacturing are mostly situated in Rico industry areas or
urban areas. As an individual unit(Muñoz and Cohen, 2018).
Characteristics
Ownership: They have a particular ownership control on the
company.
Management: All the member of administration control by the
management.
Limited reach: This industry has limited space for the production, so
that shops and industry situated in particular area.
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Labour intensive: This technology is very small, because they are
totally reckon on labour and work force.
Flexibility: This manufacturing done on small basis, they make
frequent changes rather, unlike big manufacturing.
Micro Business: micro business defied as in this they have around
one to ten employees. It is also kind of small business, but it is performed on
very nominal basis in comparison of small business. In this enterprise there
are few examples which comes under the micro business , general store,
outlets, kiosk, shops etc. It also runs in the same way as another enterprise
types. It also chosen by a particular owner(Borchardt and et. al., 2020).
Characteristics
 Micro Business are lower in revenue generation along profit ratio of the
organization.
 They have minimum number of the employees.
 Small market place.
 Sole proprietorship, taxes, business concern, ownerships.
 They give the constricted area and with few situate.
Medium size business: Medium size business are those enterprise
which operates the business in local boundaries areas. And they have around
42 to 250 employees. It is a big enterprise in comparison of small size or
micro size business. There are example of medium size business, cotton
industry, jute industry, iron and steel organization(Davis and Comeau, 2020).
characteristics
 It equipped the work really hard.
 Adopt the frequently changes according to market status.
 Try for constant formulation.
 Give a chance to improve the mistakes.
 To learn the how to convince or dealing with customer.
Large size business: large size business are those business which
allows the bulk manufacturing, mining, deluxe properties, which is performed
at internationally or global nation . In this more than five hundred employees
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do the work. Its is complexity management in comparison of small or
medium scale enterprise. They generate the massive revenue along with
the higher profitability ratio. It do yearly turnover around 1.6 billion. Also
include great business volume. There are various example of large size
business are amazon, apple etc.
Characteristics
 They include the higher amount of investment along with superior
intensive manufacture.
 Large scale industries comes under the high technology industry
which includes the white collar workers, along with bulk workforce.
 Specially looking forward towards the best quality product which
encourages to build the excellent brand image in the market.
 They are able to do increasing the funds, along with the R&d of new
innovations.
 Large size business mostly produce the machines, chemicals,
instruments, high quality services which more capable towards the
profitability(Farooq and Vij, 2018).
Section 2
Definition, characteristics of sole trader business, partnership, limited liability
business, public limited liability business and Cooperative.
Sole trader business: sole traders business are those business,
which under comes easiest form of business. Which is less expensive to start
up, it also responsible for all business terms and conditions, he ought
towards about that. It also known as proprietorship, or an entrepreneur
which handle or owned by the particular person. And in this there is no lawful
differentiation among the founder of the company and concern entity. There
are different examples of sole trade enterprise is, barbershop, general store
etc (Prashar, 2018).
Characteristics
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Ownership by particular person: This type of enterprise handle by
single person. It also contributes towards the needed assets.
Quick decisions and freedom work: There is no interruption
between management and the owner because they are capable to make
their own decisions and they have authority to do work in freedom.
Enjoying whole profit: In this, there is less number of employees if
its required otherwise total earned of the business is taken by the owner and
enjoy the whole revenue.
Maintenance of privacy: The owner of the company is able to leads
all the concern of the enterprises, and privacy of the business can be
preserved easily.
Partnership: partnership is defined as, where two parties collapse
each other in terms of profitability, expenses, and operation of the business,
which divided equally in other. It works in wide sense, which under comes
aggregate parties. It also formal agreement between the parties which can
operates the business and divide the shares equally. In the context partners
they have limited susceptibility(Prashar, 2018).
characteristics
Beingness of an agreement: The act of partnership which under
comes section 5, it clearly shows the formal relation of contribution or
partnership originate from contracts not from position.
Sharing of profits: the reason of partnership is earn the revenue
and must be divided in both of them and losses also.
Membership: partnership require minimum 2 number of people, and
there is no high bound. This act taken as corporation act in 1956. which allow
the maximum number of people around 10.
Registration of firm: The act of registration partnership is not
mandatory comes under the law. The prove of partnership is document or
verbal announcement between partners requirement is get into universe.
Limited liability limited liability business is defined as where
company loss will not be consider the amount invested in limited liability
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organisation. And shareholders also responsible for financial gain of their
company's debts. If organization is supplicated or not willing to pay its debts,
in which founders of the company are eligible for the debt to the valuable
cost, which they already invested in the company.
Characteristics
Separate legal existence: They has separate legal identification
from its founders or its members. The founder own the company and get
debt jointly as a abstraction or single.
To keep simple in formation and operation: when limited liability
businesses provide the welfare of a organization, inactive they have
celebrate the simplicity of the partnership, in relation of formation and
operation.
Public limited liability business This business comes under united
kingdom corporation law and it is a type of public company. Which indicates
the LLC shares are easily listed and sold to common public(Liu and
Atuahene-Gima, 2018).
Characteristics
it is a separate legal entity in which members do collaboration as a member
and their arrangement twisting all the trading operations which is completed
under government terms and condition.
Examples: Tesco plc., Rolls-Royce Holding plc., tesco is one of the most
biggest grocery store in UK which deals all over the nation.
Corporative Business cooperative enterprise is known as a private
enterprise that is handle by the people in which they used their product and
services(Liu and Atuahene-Gima, 2018).
characteristics
the main characteristics of the cooperative enterprise, there is no creation of
the government in production of the enterprise. This type of corporation
acquire the motivation of earning profits and longer duration stability in the
market.
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Example: Dyson limited it is situated in UK that is British technology
company which build the air purifiers, vacuum cleaners etc.
Section 3
Identify different organisational structures and explain how organisational
structure affects business productivity.
Organisational structure
It include the system that build the different activities for acquiring the
goal with in a certain time of period. It depend upon several terms and
conditions and answer-ability shows the flows towards the various
departments with in the organisation at on the levels, there are different
types of structures hierarchy structure, divisional structure etc which is
depend upon the environment of the organisation it can be acceptable,
some of the structures are follow on the basis of TESCO org.
Divisional structure- In this structure organisation divides the work
on the geographical basis, goods and services along with market groups. In
relation to Tesco if they looking forward to acquire organisational structure.
They can generate more revenue or profit at the starting period it creates
difficulties in the among the employees(Bidmon and Knab, 2018).
Flat structure- This structure mostly native by the nominal opening
corporations, it gives right option in decision making program along with
taking their own achievements the objectives and also willing to take
decisions, it is beneficial for the employee. It pushes the workers to do work
in ethical manner, which can acquire their aims and objectives.
Hierarchical structure- This structure includes the group of worker in
which employees have one head, who gives the project to the labour as per
the requirement. This group depends on the HR, marketing departments. In
addition to manager of the tesco must adopt this structure which helps in
work can done significantly. It increases the performance of the employee in
which company will earn more revenue and production of the business for
long period of time.
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Analysis explain how different external factors affect the performance of a
business.
External analysis
Identifying the macro atmosphere and PESTEL analysis these both are
excellent point because it helps in offering the various segments of
knowledge in terms of political, economical, environmental, social,
technological or legal. Tesco manager observe the market so, they able to
identify the difficulties on the presentation of their profitability and revenue
etc. which is given below(Andriani and et. al., 2018).
Political factor- political situation of UK is unfluctuating and also they
charged the tax for the positive reaction about the tesco execution due to
Brexit, doing collaboration with some countries are expensive, that will give
negative impact towards the operating firms.
Economical factor-The strong buying power of UK gathering is
excellent, due to this they are affordable about product and services
according to the requirements and deserve the positive impact. High
increase of infalation in UK which negative impact towards the Tesco
profitability.
Social factor- UK gathering are sophisticated in terms modernization
and worried about their fitness that will gives the positive impacts by the
corporations icon because they are looking forward to fulfil their needs of the
consumer but the junk foods might be smitten negatively.
Technological factor- This strategy include advancement of
technology. In the relation of tesco, they providing the electronic shopping,
and services about payments towards the customer. This thing increase the
customer footfall(Buhalis and Leung, 2018).
Legal factor- It includes the legal terms and conditions for the
organisation which is given by the government in terms of safety of
employees and consumers. Tesco can adopt the rules and regulation for the
employees with higher preference so that, consumer get atttract by the sale
of the organisation which can give positive effect.
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Economical factor- This factor includes the environmental laws
which is adopted by the corporation to maintain the decorum in market. In
the context of tesco get rid of plastic items for example bags and polythene
that will destroy the environment by this decision consumer get attract
towards the organisation and encourage for create high operational
disbursal(Minatogawa and et. al., 2020).
CONCLUSION
To the above research it included the environment of the business
playing a massive role in every corporation for acquiring towards the aims
and objectives. In different level of business corporations can manage their
work according to their resources and also helps to increasing the
employment opportunity. This outcomes helps to increase knowledge in all
aspects of business. And the organisation structure includes smoothing of
the work done successfully by the pestle analysis.
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REFERENCES
Books & Journal
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SMEs growth in Indonesian fashion industry. International Journal of
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societal transitions: New linkages between business model and
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Borchardt and et. al., 2020. The evolution of base of the pyramid approaches
and the role of multinational and domestic business ventures: value-
commitment and profit-making perspectives. Industrial Marketing
Management, 89.pp.171-180.
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interoperability towards an ecosystem. International Journal of
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Davis, C.H. and Comeau, J., 2020. Enterprise integration in business
education: Design and outcomes of a capstone ERP-based
undergraduate e-business management course. Journal of Information
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Farooq, R. and Vij, S., 2018. Linking entrepreneurial orientation and business
performance: Mediating role of knowledge management orientation.
Pacific Business Review International.10(8). pp.174-183.
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a viable business model for sustainability?. Journal of Cleaner
Production.177. pp.721-731.
Liu, W. and Atuahene-Gima, K., 2018. Enhancing product innovation
performance in a dysfunctional competitive environment: The roles of
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Minatogawa and et. al., 2020. Operationalizing Business Model Innovation
through Big Data Analytics for Sustainable Organizations.
Sustainability.12(1).p.277.
Muñoz, P. and Cohen, B., 2018. A compass for navigating sharing economy
business models. California Management Review,61.(1). pp.114-147.
Prashar, A., 2018. TQM as business strategy: a meta-analysis review.
International Journal of Productivity and Quality
Management.23(1).pp.74-89.
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