Business Environment Analysis and Impact for John Lewis Partnership

This report provides a comprehensive analysis of the business environment, focusing on John Lewis Partnership (JLP), a retail sector enterprise in the UK. The report begins with an introduction to the dynamic nature of the business environment and its importance for managers. It then delves into the analysis of different types of organizations, including public, private, and voluntary sectors, and their respective purposes. JLP's business operations are analyzed based on their size, scope, legal structure, mission and vision, and their objectives. The report examines the relationship between different organizational functions, such as research and development and human resources, highlighting their link to objectives and structure. The impact of the macro environment on business operations is identified, along with an internal and external analysis of the company, including its strengths and weaknesses. The report also explores the relationship between internal and external factors. The report concludes by summarizing the key findings and insights gained from the analysis.

Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Various types of organisation with their purpose..................................................................1
P2 Size and scope of range of various business organisations....................................................3
P3 Relationship between different organisational functions with its link to objectives and
structure.......................................................................................................................................5
TASK 2............................................................................................................................................7
P4 Identify the positive and negative impact of macro environment has upon business
operations....................................................................................................................................7
P5 Internal and external analysis of specific organisation with its strength and weakness........9
P6 Relationship between internal and external factors of business..........................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Environment of business is ever changing in nature which need to understand by
managers of a company so that better results could be drawn. It is really important to analyse and
understand the environment properly so that better and supported results could be drawn.
Sustainability of corporation become possible by analysing and understanding the micro and
macro environment in an appropriate and suitable frame. All elements present in environment are
uncertain in nature which need to reflect and understand in most suitable frame. This project is
based on John Lewis partnership whom dealing in retail section in UK and they need to analyse
the business environment properly for managing and enhancing work in an appropriate and
effective manner. For understanding each and every aspect properly, evaluation of various
organisations get done by analysing their size, scope and types. Along with this, there is a
relationship between various functions of an association with related structure as well. Moreover,
it will also reflect about positive and negative impact which get done on business through macro
environment.
TASK 1
P1 Various types of organisation with their purpose
Business environment is dynamic in nature which could be change or modify with every
course of time. It is really important for managers to understand the environment in an
appropriate and suitable manner so that better and effective working could be done. There are
various types of organisations are taking place whom have specific purpose and nature of
working which need to evaluate in an appropriate and suitable manner. Basically various kinds
of business entities are evaluated in environment but generally they classified into two sections
which are profit and not for profit. All these organisations will further divided into various
sections which underpin as follow for getting better suited results and outcome:
Types Overview Purpose
Public sector: Public sector
companies are those which
usually controlled by the
central government or local
Crown prosecution services is
one of a public sector
association of UK whom
working for criminal
Their major purpose of this
organisation is to provide
suggestion and advise to the
legal policies and other
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authority of a company. prosecution in England an
Wales. It was formed in the
year 1986 and have more than
6000 employees at work.
investigation agencies while
organising criminal
investigation. It is headed by
the director of public
prosecution.
Private sector: Several
organisations in the UK
running privately and solely
focus on profit generation
capacity. It get controlled by
an individual. There are
various kind of private sector
operations are taking place in
UK which are sole trader,
partnership etc.
John lewis partnership is one
of retail sector enterprise in
UK with nature of limited
company. Company owned by
trust on behalf of their
employees whom receive a
share of profit in context. It
was founded in the year 1929
and have more than 80000
employees.
Their major purpose is to
deliver quality products to
their customers so that more
and more profit could be
generated which simplifies
effective and appropriate
working.
Voluntary: These are such
kind of entities whom usually
working in favour of society
not with a motive for
generating profit but clear to
resolve issues present in social
environment. They made a
vast positive impact on every
individual so that better
associated working could be
done and manage.
British heart foundation is one
of charity business in UK
which was formed in 1961. it
was founded with an aim to
reduce the number of deaths
which taking place due to heart
problems. It get started with
assistance of some medical
professionals.
A major purpose or sole work
which could done by this
voluntary entity is to control
the heart diseases in UK but
launching awareness events so
that better associated working
could be done.
These are several associations whom have charge of working in UK with define purpose.
John Lewis partnership need to assess all these things properly and supportively so that they
could derive better associated results and outcome. This will further assist and support them to
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enhance growth and development of business enterprise so that appropriate targets could be
manage and frame.
P2 Size and scope of range of various business organisations
Every business is differ from each other as per the size, scope, stakeholders etc. There is
a need to assess them properly so that better and effective working could be done in a beneficial
manner. Although, such aspects required to evaluate properly so that better supportive results
and outcome could be drawn. Hence, on the basis of selected options a clear and appropriate
understanding of each could be done below so that effective strategies could be manage and
crafted by organisation in order to accomplish targets and objectives.
Crown Prosecution Services
Background Product and
services
Mission and vision Size and
objectives
Legal
structure
Service providers
whom prosecutes
criminal cases
that studies by the
police and other
investigating
agencies over in
England and
Wales
Services
providing
company which
prosecutes the
cases of criminal
offense.
The mission and vision
of crown prosecution
standardise as follow:
 Decide which
case should be
prosecuted
The size of this
association is not
so big as they
only operated in
England and
Wales
Appropriate
structure
which
support to
provide
appropriate
suggestion
related with
each and
every case
Independent
organisation and
decision making
is also not
depends on others
Support tin
presenting cases
to court
 Present cases to
court
 Provide support
to prosecution
witness
John Lewis Partnership
Background Product and Mission and vision Size and Legal
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services objectives structure
It usually operates
in retail section
where sole focus
in on profit and
revenue
All kind of
products which
includes beauty,
skin care, Make
up, Fragrances
etc.
Purpose of mission of a
company is to spread
happiness to all
members through their
worthwhile and
satisfying employment
in successful business.
Size of an
organisation is
wide in frame
with clear
motive to
generate profit
and revenue.
Company
have definite
legal
structure
where they
are limited by
liability so
that they are
not going to
issue more
shares than
their whole
assets value.
Third largest non
traded company
of UK as per the
Sunday times
Also deals in gift
products and
services
Objective of a
company is to:
 Spread
happiness
 Satisfyin
g
employee
s
Another
structure
which need
to followed
up is taking
need to
registered
under
companies
act, 1996.
British Heart Foundation
Background Product and
services
Mission and vision Size and
objectives
Legal
structure
Charity
organisation in
the UK
Research and
development for
removing heart
Mission of a company
is to fight against heart
Only operated in
UK and have
smaller nature of
Definite legal
structure by
taking
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related diseases diseases and end it up. functions approval
from
government
and working
align with
them as well.
Founded in the
year 1999
Services to
provide
cardiovascular
treatment to every
individual
Clearly conduct study
for making appropriate
cardiovascular study
Clear objective
which is to end
heart diseases
Stakeholders are the essential part of every business which made a vast impact on
concerning operations. All above stated business entities have stakeholders which need to
understand and assess in an better associated frame. Thus, there are two types of stakeholder get
evaluated which need to map out in better suited section:
 Internal stakeholders: These are internally related individual of an organisation which
made impact in internal working aspects like employees, Board of directors etc.
 External stakeholders: These are external related aspects like customers, government,
power forces etc.
For mapping stakeholders, there is a need of appropriate and suitable analysis which need to
organise in a better suited frame:
 Determination of stakeholders: This aspect enable and support to analyse the key sections
and elements of company. All individual whom have a linked with enterprise whether
from internally and externally associated as stakeholders. Boss, shareholders, customers
etc. determine as key elements of business
 Prioritising them: Every individual whom have linked up with business and its
operations, there is a need to prioritise such individual on the basis of their power. Some
have ability to block success on the other hand some advance them.
 Understand the key stakeholders: Last section define the stakeholders understanding
which reflect and support to evaluate the things properly. Thus, for this management need
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to conduct appropriate frame which related with business and its function for managing
effective working.
P3 Relationship between different organisational functions with its link to objectives and
structure
Every organisation have several functions and management which need to assess in a
better manner. All such aspects have a link between each other in direct response or indirect
response (Cascio, 2018). There is a need to understand such aspects properly so that better and
effective working could be done. John Lewis Partnership are dealing in retail section enterprise
and there are diverse number of functions are taking place. Although, management for making
effective operations and outcome required to bind all their relationship properly so that
effectiveness in structure could be maintain as well as better functions get perform. Research and development: A major section of every business on which innovations and
inventions are completely based on is Research and development (Deasy and et. al,
2016). They have to identify the current and recent trends properly and coordinate with
divisions properly so that better working operations could be done. All employees need to
be motivated and concern towards working and targets properly. By appropriate and
effective modification against due course of time, chances of fulfil all requirement of
customers possibly become done. This sector also support to accomplish targets in better
suited frame so that all things lead to get made in positive framework and simplify best
suited outcome. Human resource: HR department enable every business organisation to recruit and select
such personnels whom have potential to do something new and able to carry forward
profit to next years as well. JLP managers need to facilitate effective recruitment process
for each and every division by determining the requirement. By assessing every division
requirement of employees, they lead to search such person whom could done role and
responsibility properly. This factor will also contribute in achieving objectives because
such person have enough potential to perform their duty properly. Marketing: Marketing division play a vital role in order to assess information properly
and manage supply of goods as per the demand. Marketing team need to coordinate their
work with HR and production division properly as well as with finance. HR team enable
such section to recruit individual whom have potential to manipulate sales in minimum
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time manner as well as production team need to work on major feedbacks provided by
marketing individual. This will going to make such goods and services whom nature is
appropriate and able to satisfy customers. JLP marketing division have to coordinate their
work with such division so that customers will get keep aware about all kind of offers and
services. This lead to reflect positive attribute on business objectives as chances of
wastage get reduces which enhance effective utilisation of resources.
 Finance: It is a lifeblood of every business and finance department need to maintain
appropriate reporting of their work as well as other division so that better reports could be
presented to stakeholders of an organisation (Eling and Schaper, 2017). Finance division
is linked up with other sections as well as they evaluate as one whom going to facilitate
money for other division to operate properly. John Lewis Partnership finance department
have a linked with function where they provide sufficient fund to for production
department to produce effective goods and R&D to innovate product and services with a
time course. This consideration will directly reflect upon business effectiveness as all
objectives get accomplish in better manner. Like major goal is profit which get rises with
absolute production and appropriate innovation in deliverables.
TASK 2
P4 Identify the positive and negative impact of macro environment has upon business operations
Business operations need to be appropriate and suitable in nature whose reflection could
be determine on the profitability of an organisation. Macro environment in environment context
refer to as such considerations whom are ever-changing in nature and get modify at any course of
moment (Goleman, 2017). Thus, their analysis and understanding suppose to be important for
managing and encouraging operations and sales properly. Although, all positive and negative
attributes also have to identify which enable in gaining and getting better associated outcome as
well as on the basis of negative influences appropriate strategies lead to get formulated. Hence,
all issues which associated with macro environment factors creates barrier in achieving business
objectives properly. John Lewis Partnership need to evaluate such aspects and attributes properly
so that better supported work get done as well as each and every objective get accomplish in
better frame as well.
Basis Strength Weakness
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Political: This aspect is
associated with the
government intervention
where authority formulate
several rules and regulations
regarding tax and other
policies so that better and
effective working towards
association get done.
A major strength for John
Lewis Partnership in context
of government is that they are
operating at vast level where
political support enable them
to perform things properly.
Along with this, government
cut down the corporate tax
from 30% to 28% which assist
in gaining better results as well
as profit generation in future.
Frequent changes in
government policies reflect
weakness and limitations for
John Lewis partnership as well
as cutting down the tax rate
also support other business.
This might create barrier in
working as well as target
accomplishment become quite
riskier and harder.
Economical: This depicts
about economical condition of
a country where need to
understand is important before
formulating future strategies.
UK have good economical
condition which reflect and
support to manage growth. A
major strength which could be
assess by John Lewis
partnership is that they could
be gain through effective
relationship with other
European Union.
Rigid competition in retail
sector enable and restrict
management to charge
appropriate prices as they
required to provide appropriate
incentives to each and every
customer. Major competition
will going to enforce them to
lower down their prices of
products.
Socio cultural: In every
region, number of individual
get vary from each other on
the basis of reflection of
society and culture. This really
required to understand in an
appropriate and suitable
manner.
By evaluating new market
area, management become
able to target new world by
introducing products and
services. Good command over
on market by fulfil all needs
and wants enable them to
compete into signified market
world properly.
A major weakness for business
is the number of competition at
market world as well as
chances of shift by society due
to modified culture also reflect
weakness and limitation.
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Technological: For every
business there is a need to
utilise new technology so that
better and appropriate return
could be gain.
Internet shopping site and less
use of paper work concentrate
management to accomplish
targets properly. It is a major
strength of business through
which they become able to
sustain into keen competitive
world.
Chances of frauds during
payment mode at the time of
online shopping create barrier
for John Lewis partnership
which required to made
appropriate focus and provide
secure payment mode to all
individuals.
Environmental: Whenever
production activity leads to
take place, management have
to take care about environment
factor properly so that better
and effective outcome could
be drawn in order to manage
and maximise appropriateness
of working as well as
conserving environment.
Strength concerned with
utilisation of renewable
resources energy for
production as well as working
towards section of reduction in
carbon footprints. This will
enable them to maximise
effectiveness of working as
well as better options could be
drawn and formulated.
Major weakness might but
consider as legal penalty
which enforce due to
utilisation of livestock. Need
to increase activities which
enable them in making users
aware that options are less
impacted to environment.
Legal: This related with
legislations and regulations
which crafted by legal bodies.
Aware about all legislation and
then deliver products and
services facilitate to gain better
results.
Frequent changes in
regulations restrict them to
work in an appropriate and
suitable manner.
P5 Internal and external analysis of specific organisation with its strength and weakness
Business decision making in respect with objectives and targets define and evaluated as
major thing which need to address properly (Hillary, 2017). All strength and weakness need to
merge with business options and objectives so that better associated results could be drawn in
order to maximise effectiveness and efficiency. John Lewis Partnership need to frame several
objectives which enable and align to strength and weakness properly so that effective judgement
taking process become easy. Following are the targets which corporate in context of growth and
development in further suggested area signify as follow:
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 To maximise sales by 5%
 To increase 10% customers at globalised market
 To open 100 more stores around the globe
All these objectives need to align with strength and weakness of a company so that better
associated results could be drawn (Kew and Stredwick, 2017). Although, strength and weakness
of a company will going to impacted decision making procedure.
STRENGTHS WEAKNESSES
John Lewis Partnership have one major
strength which reflected about appropriate
customer base so that delivery of products
and services become possible in frame.
Signify motivation factor or element properly
in which they provide rewards and awards to
each and every individual whom working
with efficiency and appropriateness so that
objectives get accomplish in better suited
manner.
Stakeholders whether they are internal or
external trust play an important
consideration. Business need to present
reports properly so that better working
operations become possible as well as more
and more contribution from them could be
assess.
Wide number of competitors at market place
disable them to manage and operate their
working properly. This need suitable and
effective strategy which create barrier in
achieving 10% customer milestone in further
future.
Most of the individuals and employees need
suitable and appropriate training as they depicts
about less concentrated working and facing
heavy work load as well.
Less involved in social consideration which also
create hurdle for business when operating in any
new environment of existing environment of
business.
OPPORTUNITIES THREATS
Wants to grow and develop business options
by entering into new market area as well as
enhancement of market share by 10% also
enable them to gain suitable market
opportunities.
Brexit define as major threat for a company
because once it lead to take place then heavy
economical crises will going to take place in UK.
This determine and evaluated as major weakness
for John Lewis Partnership which required
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