Exploring Company Types: BMP3002 Business in Practice Exam 2021/22

This assignment provides a comprehensive overview of different business types and structures, including sole traders, partnerships, private and public limited liability businesses, and cooperatives. It discusses the main criteria for classifying businesses, explains the characteristics of micro, small, medium, and large-sized businesses with examples, and details the features of various business entities. The analysis covers aspects such as ownership, liability, decision-making processes, and operational scales. Desklib offers this document and many other solved assignments for students' reference.

BSC (Hons) BUSINESS MANAGEMENT WITH
FOUNDATION
SEMESTER 1, EXAMINATION 2021/22
BUSINESS IN PRACTICE
MODULE NO: BMP3002
Exam Paper Release Date & Time: Saturday 13 August 2022 at 10:00am
Submission Cut-off Date & Time: Monday 15 August 2022 at 10:00am
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ANSWER BOOKLET
All the pages of the answer booklet should be submitted including blank ones.
Please type your answers in the spaces provided.
Insert additional pages where required.
Student Name
ID Number
[Start writing you answer from this page. There are THREE questions. You are required to
answer any TWO questions. For each sub-questions, use heading such as “Answer to the
Question no. 1(a)” or “Answer to the Question no. 3(b)” etc]
1. You are to show an understanding of the different types of companies and
how they work. You are required to answer ALL five questions below:
(Total 50 Marks)
I. Discuss the main criteria used for classifying different kind of businesses?

Corporation of the business represents in which the method of the business are structured in
order to meet as well as accomplish the goals and objectives of the business (De-Arteaga,
Feuerriegel, and Saar-Tsechansky, 2022). In addition to this these are formed in order to
concentrate on enhancing the revenue of the organization which will also lead to their long term
sustainability and success in the market area.
II. Explain microbusiness with appropriate examples.
Micro business:
This type of commercial business involves around less than 10 employees in its operation
and this is basically a crucial element of the United Kingdom’s economy as well. This basically
promotes like a train map of developing nation as well as of the economic machine and this type of
the entity of the business provides the opportunity of jobs and increase the buying power of the
consumer and minimise the cost of manufacturing and other expenses. The illustrations of such sort
of association are Beauty Boulevard, Boss Brewing and various more.
Characteristics -
 In this type of the organization average number of the employees that are functioning are
below or equal to 10.
 In this only order or the upper level individual is the decision maker for the
business.
III. Explain small business with appropriate examples.
Small business:
Small businesses means to the business entity that are maintained as well as owned by an
individual with having more than 40 to 50 workers that are functioning in the organization and it
also is the low annual revenue business entity. In addition to this such type of the commercial
business did not have adequate capital or funds in order to set up machinery and plant for its
production (Ge, 2022). For instance owner of flower shop, milk booth, plumber and various other
small businesses which function in the market area in an effective as well as efficient way.
Characteristics -
 These businesses are very open as well as flexible for any type of alteration and dynamic
change in the operation.
 In this kind of the commercial business the decision maker is only the owner
and the another name of this type of business entity is Sole proprietorship.
IV. Explain medium size business with appropriate examples.
Medium size business:
The business entity in which the workers that are functioning in the company around 250 is
known to be the medium size business and these businesses are obliged for monitoring all the
practices of the organization. Few example of this type of the entity of the business are land Bay,
spirit health group and various more.
Characteristics -
 These organization are more of labour intensive And it does not required heavy as well as
costly plant and machinery in its business operations which can be done in an effective as
well as effectual manner in the market area.
 This type of the commercial business our function in the domestic area and
function there for a long period of time that provide assistance to the business
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in order to maintain optimistic linkage among the consumers with the
managemen (Gilbert, and Tropin, 2022).
V. Explain large size business with appropriate examples.
Large size business:
These are known to be the above average size of the business that are having large functions and
operations as well as enhanced rate of economy of scale as well. In addition to this management of
these industries hire in recruit large amount of the employees and start in order to make them
perform to achieve their long term goals and objective which we lead to the success and stability of
the organization for the long period of time. This type of the entity of the business functions various
manufacturing and production facilities and it is entirely based on the latest techniques as well as
advance technologies. Structure workers focus on the Reporting to the upper level management
through there managers or leaders.
Characteristics -
 Possessing the adequate investment and resources in order to provide assistance in
expansion and having the edge over the competitors in the market area.
 This type of the commercial business target the market area in the wild way
and it can either be the international market area or it can also be the domestic
market in which the organization can sell their services and products to the
consumer based from the global market.
2. To explain the different companies from sole traders to Cooperatives and
Limited Liability Partnerships. You are required to answer ALL five
questions below: (Total 50 Marks)
I. Define sole trader business with appropriate examples. Briefly explain
three main characteristics of a sole trader business?
Sole trader business:
Sole trader business involves single owner details of list for managing all the resources and
liabilities of the organization.
Characteristics -
 Ownership is taken by a single individual that focus on contributing the requirement of
capital and the owner is responsible for taking all the crucial decisions.
 The business owners in sole trader business have poses unlimited liability but if
the resources of the business are not added get enough then entrepreneur
require to pay all the liabilities from its own property (Olofin, 2022).
II. Define partnership with appropriate examples. Briefly explain three main
characteristics of a partnership business?
Partnership:
It involves 2 or more than 2 people that are having the agreement with the assistance of the contract
in order to share all the loss and profit and function together because of this has the advantages of
more assets and resources in the business.
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Characteristics -
 This is maintained with the assistance of the contract among 2 or more than 2 people that
focus on carrying out the practices of the organization
 Minimum 2 individual is required in order to form a partnership organization.
III. Define private limited liability business with appropriate examples. Briefly
explain three main characteristics of a private limited liability business?
Limited liability business:
This is known to be a systematic business entity that focus on facilitating several benefits to
its member and this is particularly type of the private limited business (Sun, Yang, and Yan,
2022).
Characteristics -
 This functions the business in the legal way and tapping into the contract and agreement
wait the name of the organization itself
 This is one kind of different entity that is there in several different states.
IV. Define public limited liability business with appropriate examples. Briefly
explain three main characteristics of a public limited liability business?
Public limited liability business:
This is one of the kind of the commercial business that focus on promoting and providing the share
of the organization to the normal citizens and individuals and the buyer of these shares possess the
liability in the restricted number and for example of these type of commercial business are
Burberry, shell and various more.
Characteristics -
 It offers shares to the normal citizen in order to generate and gain more capital for the
operations of the business in the effective and efficient way.
 These organization detect the members of the organization and shareholders a
as well.
V. Define cooperative with appropriate examples. Briefly explain three main
characteristics of a cooperative.
Cooperative:
This basically refers to the self-governing organization of the people that are united together
voluntary in order to accomplish their cultural, social as well as economic empowerment with the
assistance of jointly owned organization. For instance several different non-profit organization
belong to this category.
Characteristics -
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 Membership of the organization is entirely open to everyone regardless of their gender, cast
as well as colour
 These businesses is commonly maintained by the society or committee that is
chosen through the members at the time of journal meeting yearly (Trumbach,
Payne, and Walsh, 2022).
From the above evaluation this has been concluded that there are several sort of organization and all
the business is functioning for spreading few of the values to the society. They had moved to
describe several kinds of the commercial business and how they are functioning some of their
attributes add features.
Reference List (if Any)
De-Arteaga, M., Feuerriegel, S. and Saar-Tsechansky, M., 2022. Algorithmic fairness in
business analytics: Directions for research and practice. arXiv preprint
arXiv:2207.10991.
Ge, R., 2022. Tubawan and the Play of Authorial Slippage: The Sani Yi people’s Practice
of Hospitality Business and the Making of Indigenous Foodscape. Making Food in
Local and Global Contexts: Anthropological Perspectives, p.137.
Gilbert, I. and Tropin, H.S., 2022. LexisNexis Practice Guide: Florida Business Torts.
LexisNexis.
Olofin, E., 2022. Conceptual Model of Responsible Business Management in Yorubaland.
In Responsible Management in Africa, Volume 1: Traditions of Principled
Entrepreneurship (pp. 93-118). Emerald Publishing Limited.
Sun, S., Yang, D. and Yan, X., 2022. Mapping the collaborative platform economy
business practice: A typological study. In Handbook of Research on the Platform
Economy and the Evolution of E-Commerce (pp. 52-80). IGI Global.
Trumbach, C.C., Payne, D.M. and Walsh, K., 2022. Cybersecurity in business education:
The ‘how to’in incorporating education into practice. Industry and Higher Education,
p.09504222221099389.
The End
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