...Business environment Introduction Business environment is the combination of two factors internal and external. These two factors influence a company’s operating situation. In other words business environment is the sum of living person, location and natural resources. In business environment internal factors include five M’s such as, man, material, money, machine and management. These internal factors change the function of business. External factor are those factors which are beyond the control of business enterprise. These external factors are government factors, legal factors, physical factors and demographical factors. External environment or factors are also two types, micro environment and macro environment. Micro environment consist of suppliers, customers, market intermediaries, competitors and public. Micro environment is also known as operating environment. Another external environment or factors macro environment consists of non-economic environment, political environment, technological environment and socio-cultural environment etc. Business environment has some typical characteristics. It is a constantly changing system. Both short term and long term impact works on business environment. One of the most important characteristics of business environment is uncertainty. Task1 1(a) Identify the purposes of different types of organization There are many different types of organization in our socio-economic life. One organization is different from another organization...
Words: 2647 - Pages: 11
... 1. Introduction page 2 2. The external environment page 3 3. Three models of relations between the company and the external environment page 7 4. Analysis of internal environment page 8 5. Conclusion page 9 6. References page 9 1. INTRODUCTION From the characteristics of the company as a technological and open economic system, it follows that the relations with the surroundings are basis of its operation and development. Just like the company that is subject to changes, so is the environment, which leads to changes of mutual and dependent direct and indirect relationships. The environment is a factor in the survival and effectiveness of the function and effectiveness of enterprise development. Creating a proper business and social environment in which firms operate normally, grow and develop is the permanent task of any government if it wants to ensure economic growth and prosperity of the country. It is beyond any doubt that the developed market environment is the starting point for the construction of the market system. You need to know that the institutional arrangements and economic and systemic mechanisms in successful economies of most developed countries (Japan, USA, Germany ...) essentially differ with each other. Thus, we conclude that there is no universal model of the economy that can be applied to any other country. Immediate environment consists of internal and external stakeholders. Internal...
Words: 1921 - Pages: 8
...BTEC Level 5Higher National Diploma (HND) in Business Unit 1 : Business Environment Unit Code : Y/601/0546 Assignment No : 1 Assignment Title : Assessment of Business Environment for an organization of your Choice Date Set : 10/10/2014 Due Date : 25/12/2014 Learning Outcome Covered: 1. Understand the organisational purposes of businesses 2. Understand the nature of the national environment in which businesses operate 3. Understand the behaviour of organisations in their market environment 4. Be able to assess the significance of the global factors that shape national business activities Grading Opportunities Available: Outcomes/Grade Descriptors | P 1.1 | P1.2 | P 1.3 | P 2.1 | P 2.2 | P 2.3 | P 3.1 | | | | | | | | | Outcomes/Grade Descriptors | P 3.2 | P 3.3 | P 4.1 | P 4.2 | P 4.3 | M 1 | M 2 | | | | | | | | | Outcomes/Grade Descriptors | M 3 | D 1 | D 2 | D 3 | | | | | | COMMENTS: P (PASS) – Learner should able to demonstrate the ability to explain each outcome as per to the Assessment information page of this assignment. M (MERIT) - Expected Qualities of the Learner’s work at Merit level will be accordingly to the merit descriptions of this assessment information page. D (DISTINCTION) – Expected Qualities of the Learner’s work at Distinction level will be accordingly to the distinction descriptions of this assessment information page. Assessor: Afzal Munna...
Words: 1426 - Pages: 6
...The Business Environment GUILLAUME, ORIS Queena Swanson BUS 100 2/4/2013 The public sector and private sector are terms used to describe the two main types of business industries within an economy. The largest distinction between them is that the public sector is owned and operated by the government, while the private sector is dominated by private business owners. The easiest way to tell the different between the two organizations is to look at who is in charge. In a public sector, employees, supervisors, and managers all work for the government. The company or organization is not owned by a corporation or a private owner, but the government of the region. Private sector organizations are operated by private citizens and many answer to a board of directors, owning partnership, or single owner. Employees in private sectors jobs are employed by the organization. The organizations are also divided by their aims. Public sector groups have a duty to serve the public, and not usually in direct competition with other groups to meet the same demand. They are not profit oriented, and tend to provide services rather than goods. Private companies, usually aim for profit and try to outperform competitive business to meet the same demands. While private companies may have some humanitarian goals, their bottom line is typically the profitability of the business, not necessarily serving the public. There are many private businesses that may be considered part of the private...
Words: 879 - Pages: 4
...decisions of businesses 7 5.1 Identify the four types of market structures 8 5.2 Analyze which market structure The Body Shop belongs to 9 5.3 Summary 10 6.Illustrate the way in which market forces shape organizational responses using examples 10 6.1 Identify the five forces and explain how they impact on competition 11 6.2 Illustrate the relationship between market forces and The Body Shop's responses 12 6.3 Summary 12 7.Judge how the business and cultural environments affects organisation 12 7.1Give an understanding of how "business" and "cultural" affects The Body Shop 13 7.2Show why "business" and "cultural" environments are important to The Body Shop 14 7.3 Summary 15 8.Conclusion 16 9.Reference 17 1.Introduction This assignment mainly requires me to identity the purpose of an organization and investigate the behaviors of organisations and the market environment. It asks me to use 6 outcome points to discuss The Body Shop, let me know more about The Body Shop’s culture and business, improve my...
Words: 4176 - Pages: 17
...Business Environment Student Name Student ID Purpose of Submission Submission Date Introduction 3 1.1 Identify the purposes of different types of organization. 4 1.2 Describe the extent to which an organization meets the objectives of different stakeholders 5 1.3 Explain the responsibilities of an organization and strategies employed to meet them. 6 2.1 Explain how economic systems attempt to allocate resources effectively. 7 2.2 Assess the impact of fiscal and monetary policy on business organizations and their activities 8 2.3 Evaluate the impact of competition policy and other regulatory mechanisms on the activities of a selected organization. 9 3.1 Explain how market structures determine the pricing and output decisions of businesses. 10 3.2 Illustrate the way in which market forces shape organizational responses using a range of examples. 10 3.3 Judge how the business and cultural environments shape the behavior of a selected organization 11 4.1 Discuss the significance of international trade to UK business organizations. 11 4.2 Analyze the impact of global factors on UK business organizations. 12 4.3 Evaluate the impact of policies of the European Union on UK business organizations. 12 Conclusion 13 References: 14 Introduction Every field regarding inquiry goes by using a life cycle; a fresh idea emerges, it develops into a growing body regarding literature along with either will keep for you to grow as well...
Words: 4001 - Pages: 17
...The Business environment The Business Environment 1. Role of Business in the economy The economy favors the existence of businesses, without one the other cannot exist. As they cover all sectors of industry and all walks of society, businesses have come to define the way modern free market or capitalistic economies are setup. The framework and design of various businesses transcends different settings and purposes. The common denominator is for the achievement of set goals, whether it is for profit or not for profit. These settings may be in many industries, such as agriculture, banking, healthcare and manufacturing as well as in the grand scheme of things the national economy itself can be viewed as a business. In earlier in the history of mankind certain activities have been born due to the necessity of running businesses, banking for the funds raised by profits, manufacturing for products to be sold and consumed to complete the retail chain; humanity and business have become synonymous. Throughout history times have been changing meanwhile, business has been changing with them. Economic specialists describe resources manpower, capital, land and entrepreneurship put into the mix to result in the basic business model. As a result civilizations have made commercial activities that come with business their mainstay and this is a prominent role that business plays the modern economy. It drives production, with the trade of the goods and services for value. This...
Words: 1241 - Pages: 5
...Assignment front Sheet |Qualification |Unit number and title | | | | |Business |01. Business Environment ( Assignment 1) | |Student name |Assessor name | | |Abroo Asad | |Date issued |Completion date |Submitted on | |16th March 2014 |5th May 2014 | | |Assignment Title |Fury at Motorway scheme | |Learning |Learning |Assessment |In this assessment you will have the |Task |Evidence | |Outcome |Outcome |Criteria |opportunity to present evidence that |No. |(Page no.) | | ...
Words: 944 - Pages: 4
...HNC Business Student Name: Claire Broughton Student Number: 30272054 Unit Title: Business Environment (Unit 1) Unit Leader: Nigel Groser Understanding the Business Environment Date of Submission: 15/11/2015 Word Count: 4342 Introduction The purpose of this report is to demonstrate an understanding of the business environment. Research into the John Lewis Partnership PLC will be utilised to show an understanding of the organisational purposes of businesses and the nature of the national environment in which businesses operate. The report will also address the behaviour of organisations in their market environment as well showing the significance of the global factors that shape national business activities. Section 1 1.1 Types of Organisation The John Lewis Partnership was founded in 1929 by John Spedan Lewis; the eldest of two sons whose father, John Lewis, had opened the first John Lewis store in 1864 in Oxford. Spedan Lewis has a unique approach to business in that the happiness of the employees was at the centre of his mind. He began to set up new practices such as a third weeks paid holiday, shorter working days, a staff committee and an in-house magazine, the Gazette, which is still published today. By 1914, these rather dramatic and forward-thinking adjustments to the staff working conditions were causing conflict between Spedan Lewis and his father, who was alarmed at such changes. This conflict resulted in Spedan Lewis withdrawing his active involvement with...
Words: 5393 - Pages: 22
...|Unit Number and Name: |Unit 1 The Business Environment | |Unit Code: |D/502/5409 |Credit Value: |10 | |QCF Level: |BTEC National |Guided Learning Hours: |60 | |Assessor: | | Unit 1 The Business Environment |Assignment Deadlines | |Assignment Deadline Date: |Hand out date: |Submission date: | | |Task 1 (P1 P2 M2 D1) | | | |Assignment Hand in Dates | | | | | |Task 2 (P3 M1) | | | | |Task 3 (P4) | ...
Words: 584 - Pages: 3
...The Business Environment BUS 100 – Intro to Business The Business Environment The role of business in the economy A business is an economic system that provides goods and services with the aim of generating revenue. The notion of a possibility of being able to earn a profit itself offers incentive for starting ones own businesses. For growth and development to be achieved in any given economy, the government must strive to ensure that the environment is conducive which induces investments and while at the same time attracting international investments. Business offers an alternative source of employment in the economy (Asli, Inessa & Vojislav, 2006, p. 2969). This reduces the level of unemployment thereby reducing the rate of dependence on the working class of the economy. Additionally, this reduces social crimes like robbery as it provides most people with the means of livelihood. Business enables a country earns foreign exchange from the export of its products in forms of goods and services to other countries in the global market. Foreign exchange is extremely valuable to any country. It is a means of payment for payment of the countries imports and helps to maintain a healthy balance of payment of a countries account. Foreign exchange also helps to make the individual businesses more profitable in the international market thus in the process strengthening the economy...
Words: 990 - Pages: 4
...Regular Assignment 1 Module: The Business Environment Tutor: Steve Tidball Submission Date: 19th September 2013 Confidentiality: I have read, understand and adhere to the KOL Confidentiality Policy. Click here to access the KOL Confidentiality Policy. Academic Integrity Statement: I have read and understood the Academic Integrity guidelines for Kaplan Open Learning and the University Of Essex, and declare that this assignment conforms to all of the rules and regulations contained therein. Please note: the guidelines can be found in the Student Handbook (see section 6.4). Regular assignment one Introduction In this assignment, the explanation of the macroeconomic and microeconomic environment will be happen with the aid of examples. Once this has been completed, a critical analysis of how the economic environment in recent years has affected Hampshire fire and rescue service will be made. Main Body The Macroeconomic environment The Macroeconomic environment is an examination of the economy. The macroeconomic environment is an important one because the analysis compiled enables a business to investigate an economy and see what trends are occurring. For instance, if the economy has grown since the last analysis or shrunk. The difference between the increase and decrease of the economy is important because the retailer has no control over how the economy grows or shrinks. There are also certain influences which will affect the macroeconomics; these are...
Words: 1877 - Pages: 8
...What Is Business Environment? Meaning: - The term Business Environment is composed of two words ‘Business’ and ‘Environment’. In simple terms, the state in which a person remains busy is known as Business. The word Business in its economic sense means human activities like production, extraction or purchase or sales of goods that are performed for earning profits. On the other hand, the word ‘Environment’ refers to the aspects of surroundings. Therefore, Business Environment may be defined as a set of conditions – Social, Legal, Economical, Political or Institutional that are uncontrollable in nature and affects the functioning of organization. Business Environment has two components: 1. Internal Environment 2. External Environment Internal Environment: It includes 5 Ms i.e. man, material, money, machinery and management, usually within the control of business. Business can make changes in these factors according to the change in the functioning of enterprise. External Environment: Those factors which are beyond the control of business enterprise are included in external environment. These factors are: Government and Legal factors, Geo-Physical Factors, Political Factors, Socio-Cultural Factors, Demo-Graphical factors etc. It is of two Types: 1. Micro/Operating Environment 2. Macro/General Environment Micro/Operating Environment: The environment which is close to business and affects its capacity to work is known as Micro or Operating Environment. It consists of Suppliers...
Words: 2497 - Pages: 10
...Executive Officer of ABC Company From: The Executive Assistant Date: May 7, 2011 Subject: Summary of the book “fall: America, free markets, and the sinking of the world’s economy by Joseph E. Stiglitz”, findings, and recommendations/ conclusions. Introduction This memo aims at giving an overview of the book written by Joseph E. Stiglitz that talk about the America, free markets, and how the world’s economy is sinking. In addition, alongside the review the purpose of this memo is to provide the findings about the various changes that have resulted in the current economic situation. This is because the main area of focus will be on emerging changes in the financial or regulatory environment. Towards the end, of the memo, conclusion and various recommendations concerning the business will be highlighted. The author of the book is one of the world leading scholar and an expert on market failure. His latest book about the freefall is comprehensive and up to date as it is made up of both the theories and facts. This is one of the most compulsory books for everyone who aims at understanding the financial crisis experienced. In his book, the author has tried to analyze the various economic reasons for the fall of banks. In addition, he goes ahead to expound on the misled faith of the entire nation concerning the ability of the free market to regulate themselves and guarantee wealth to others. In his work, the author has tried as much as possible to criticize those individuals...
Words: 1631 - Pages: 7
...Unit Title: The Business Environment Guided Learning Hours: 160 Level: Level 5 Number of Credits: 18 Learning Outcome 1 The learner will: Understand the significance of the environment on business activity. Assessment Criteria The learner can: Indicative Content 1.1 Explain the features of business activity. 1.1.1 Explain the business organisation as a transformation process. 1.1.2 Describe the different ways in which a business may structure its activities. 1.2 Discuss the complex interactions that operate between a business and its environment. 1.2.1 Discuss the complexity, volatility and uniqueness of an organisation's environment. 1.2.2 Explain the influence of shareholders on the internal environment of an organisation. 1.2.3 Outline the nature of the external environment (PEST). 1.3 Explain the need for change and its management within an individual business. 1.3.1 Discuss the need to monitor changes in the external environment. 1.3.2 Discuss the implications of environmental change for a business, its stakeholders and society. 1.3.3 Explain reasons for resistance to change by firms, managers and employees. 1.3.4 Describe ways in which resistance to change may be overcome. Learning Outcome 2 The learner will: Understand the structure and organisation of business. Assessment Criteria The learner can: Indicative Content 2.1 Discuss the impact of industrial and legal structure and size on organisational behaviour. 2.1.1 Classify...
Words: 1141 - Pages: 5
