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    Business Environment of Public, Private and Voluntary Organisation


    • Unit No: 1
    • Level: Undergraduate/College
    • Pages: 16 / Words 3986
    • Paper Type: Assignment
    • Course Code: BCO202
    • Downloads: 378
    Question :

    This assessment will provide some of the questions which are like - 

    1. What is the type, size and scope of Next?
    2. Elaborate the interrelationship in relation to the functioning of the organisation and also the effective organisational structure.
    3. Give the macro and the other environmental operations and working in Next.
    4. Give all the specific details and the internal strength, weakness if the particular business areas.
    Answer :


    Business environment is the sum or collection of the all kinds of internal and external factors which directly contributes in organisational development and enhancement such as employees, customer needs and expectation, innovation in technology and many more. Respective factors directly affect the functions of an organisation in order to gain optimum outcomes. This report is based on the Next Plc which is an British multinational clothing, footwear and home products retailer in the whole world. It has around 700 stores in the UK marketplace which is the private organisation. As per the brief the public sector organisation NHS and voluntary organisation is Oxfam. This assignment is based on the Types and various purposes of the organisation such as public, private and voluntary organisation with their legal structure and their size and scope. Further it elaborates the different organisational functions and their relationship with the organisational objectives and structures. In order to evaluate factors of environment it is very much essential to evaluate the internal and external with micro and macro factors in order to identify the various factors with their correlation with one another. 

    TASK 1

    P1 Explain different types and purposes of organisations; public, private and voluntary sectors and legal structures.

    There are majorly three kinds of business organisation existed that serves the various purposes or goals in order to remain always competitive in marketplace that are as follows:

    Private organisation:

    Private organisation is any kind of partnership, cooperative and agency which not controlled or coordinated with the help of public sector or government organisation (Quinlan  and et.al ., 2019.). Respective assignment cover as private organisation Next Plc that are very much important organisation in serving needs and wants of consumers that are as follows:


    Mission and vision:

    There mission is to meet the consumer experiences by providing one of most innovative, beautifully designed with excellent quality of products by creating the environment that helps to attract, retain and inspire the right people at work place. 


    The primary financial objective of Next Plc is to deliver long term returns to the shareholders by using sustainable growth strategies in order to remain competitive in marketplace. 

    Legal structure:

    Private organisation follows the structured kind of legal structure in order to gain optimum kinds of objectives that are as follows:

    Sole trader:

    Sole trader is a one person business that commonly found in trade that only required small amount of money or finance (Trad  and Kalpić,  2019.). The examples of such kind of legal structure organisation are hairdressers, news agents, market traders and many more. 

    Public limited company:

    Respective kind of legal structure which is much larger then other organisational structure they are kind of joint stock company (Somers,  2019.). A public limited company is incorporated business which is operated by board of directors on behalf of stakeholders. In context of Next Plc which work under public limited company legal structure by sharing role and responsibilities to one another.  

    Public organisation:

    Public organisation which is controlled or coordinated by the government and their primary motive is to serve the citizens in best manner (Boone  And et.al ., 2019). The public sector organisation that is chosen in respective report is NHS that provides services of health and social care in market of Northern Ireland. 


    Mission of NHS is to focus on improve health and well being of patients and experiences of people in positive manner. They value the excellence and professionalism as it founds anywhere to make the life of people better. 

    Vision of NHS:

    The vision of NHS is to build network to reach at large no. of people and organisation by creating a positive environment that helps to bring changes and innovation for well being of people. 


    The major objective of NHS is to improve the quality of services by eliminating errors from the whole processes. They by support and value to their staff members enables to give one of best services by taking funds from public that solely devoted to NHS patients. 

    Legal structure:

    Local government:

    Local government is one of most important authority that determine or execute measure in a restricted area inside the whole state. The variant of local government is significant in context of freedom of locality to decide and act.

    State government:

    A state government is the type of government of a country by subdivided federal form of government that shares the political power with the federal or national government (Crane and et.al ., 2019). The state government has some level of political autonomy that direct control over the federal government. The NHS come under the state government as all activities and proceedings are coordinated by state government. 

    Voluntary organisation:

    Voluntary organisation which rely on the occasional or on basis of regular volunteers to conduct their operations and not have paid staff. The volunteer organisation characterized by autonomy from state, non for profit orientation and many more (Maunder,  2019. ). The chosen organisation is Oxfam which focus on elimination of voluntary from the whole world.


    The mission of respective organisation is to adopt the ways or methods to eliminate the poverty from the whole world. They are the symbol of change at global level by empowering people for their bright future to gain potential outcomes.


    Their vision is to build world out of destitution and build a place where all people treated in equal manner. 


    The major objective of respective organisation is to build world out of poverty by approaching their world in right manner. 

    Legal structure of Voluntary organisation:

    In organisational structure of voluntary organisation are as follows:

    A trust:

    Trust are majorly set or existed to serve the problems or concerns of people by coordinating the money or funds (Dwyer  and Hopwood, 2019). They by creating the positive relationship in between the donors, trustees and beneficiaries to attain optimum results.  Oxfam which is well known trust that works to eliminate poverty from whole world in positive manner. 

    Limited corporation:

    A limited organisation structure of organisation is very much popular in between the people now a days as it is most appropriate to manage the workings of staff. 

    P2 Explain the size and scope of a range of different types of organisations.

    The size and scope of business plays very crucial role that are as follows:

    Next Plc:

    The size of Next Plc store is 3500 square feet and they have some kind of small stores that are 500 square feed by following the large departmental store concept (Next Plc- Company profile, information, business description, History, Background information on Next Plc, 2019). They divided into the tow complementary activities such as retail stores and catalogue sales through out the England and Ireland. 


    The major scope of Next Plc is to enlarge business in positive manner by directing and controlling the activities to the ultimate consumer base (Ansoff  And et.al ., 2019.). As they already operated in the market of UK so they aimed to bring new products and services into clothing and homeward products that are well made and safe also in regards of consumers in positive manner. 



    In size of NHS includes the no. of staff members as they have 106430 doctors, 285893 nurses and health visitors and they are specialised in various services areas such as transportation by including the accidents and emergency, mental health services, dentist and optician many more (NHS statistics, facts and figures, 2019). 


    Respective organisation well known for their best service in the whole UK in field of health and social care to masses in positive manner. They always aimed to provide services under the one roof in order to gain large market share in positive manner. 



    In recent year Oxfam spends more then 1.27 billion dollar to reach more than the 22.2 million people by giving their best services to raise living standard of people in positive manner ( (Top 10 things you need to know about Oxfam, 2019). 


    Oxfam established or existed in marketplace with the aim to eliminate poverty at larger extent by putting vulnerable efforts in order to bring equality in life of individuals. They majorly work on justice, fair trade, providing education, debt services and gender equality in order to give best living standard to people in positive manner.          

    TASK 2

    P3 Explain the relationship between different organisational functions and how they link to organisational objectives and structure.

    In an organisation there are various departments existed that work for different purposes or goals by giving one of their best efforts in order to achieve organisational goals and objectives in proper manner that are as follows:

    Relationship in between Marketing and HR:

    In an organisation there are various departments existed that work collaboratively in order to attain organisational goals and objectives in positive manner. With the help of marketing department that helps to create brand value of organisation that ultimately helps to attract and retain one of most potential candidates within the organisation (Kwilinski  and et.al ., 2019.).  As in today's scenario people always work with the organisation that are well known and recognized for their work culture. So with the help of marketing department enables to select and retain one of most competitive staff members in positive manner.  It directly link with the organisational structure in context of Next Plc as they follow the hierarchical organisational structure in which roles and responsibilities passes through the definite path in order to attain desirable goals and objectives. 

    Marketing department with finance:

    Both marketing and finance functional activities and departments are very much important for an organisation as they share the roles and responsibilities to each other to obtain desirable goals and objectives (Das, 2019. ).  Finance department majorly concerned for the budgeting, planning and resource allocation and on other hand marketing department by using various tools and techniques tried to aware people about their products and services in positive manner. So finance department approves the budget as per the activities that required for Next Plc to reach at large no. of consumers to gain competitive advantage.  There are close relationship in both the departments and in it their organisational structure contributes to share potential knowledge and information.

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    TASK 3

    P4 Identify the positive and negative impacts the macro environment has upon business operations, supported by specific examples.

    Macro environmental factor  that directly influence the business works and activities for that organisation have to build plans and strategies in order to remain always competitive in marketplace that are as follows:

    Political factors:

    Political factors refers to the activities related to politics in context of Next plc as they operates in various nations so the changes in political climate affect on their business decision making. With the commencement of Brexit the prices of products rises that impact on their profitability in negative way (Kasemsap, 2019.). 


    The positive aspect of Brexit that Next Plc can be able to gain more profitability by adjust their business activities as per the climate. 


    The negative impact of political changes that Brexit reduces the disposable income of consumers that negatively impact profitability of business.

    Economic factors:

    Economic factors related with the tax regimes, interest rates and pay structure in order to gain potential outcomes in context of business. In context of Next Plc they with the advent of inflation which simultaneously enhance price of products that affect on organisational activities. 

    Positive impact:

    The positive impact of economic changes as organisation can gain higher profitability and sustainability in order to mould products as per the consumer choice and preferences (Harmon,  2019).

    Negative impact:

    Due to increase of price of products that it decrease the purchasing capabilities of individuals that negatively impact on business. 

    Social factor:

    In social factors of business related with change in taste and preferences of consumers that affect on the business works and activities in both positive and negative manner (Kretovics,  and Eckert,  2019).  In context of Next plc they bring regular changes in their products after analysing consumers needs.

    Positive impact:

    The positive impact of change in consumers taste and preferences that organisation with it become more competent and carry out necessary changes in their products to gain sustainability in marketplace.

    Negative impact:

    When changes occurs in social taste and preferences then organisation sometimes fail to adopt changes rapidly that occurs too much cost and time.

    Technological factors:

    In technological factors consist of the commencement of advance tools and techniques in order to create or bring efficiency in results.

    Positive impact:

    In context of Next Plc technological advancement helps to improve consumer experiences in positive manner and enhance level of productivity.

    Negative impact:

    It is very crucial for an organisation to adopt advance tools and techniques but on other hand it occurs too much cost to give training to employees. 

    Legal factors:

    In legal factors consist of the laws, legislations and regulations that affect to the business works and procedures in order to attain desirable outcomes ('Birt  and et.al ., 2019).  In context of Next Plc they take important measures related to the consumer protection, health and tax regimes in order to treat positively with consumers.

    Positive impact:

    Legal factors proved very much beneficial for organisation as they able to properly coordinate and comply with changes in positive manner.

    Negative factors:

    While various regulations applied in organisation sometimes they failed to comply with them in positive manner that create chaos in firm. 

    Environmental factors:

    In environmental factors consist of the various regulations, CSR activities and ecological conditions that impact on the business works and activities. In context of Next Plc they focus on reduction in wastage (You  and et.al ., 2019).

    Positive impact:

    Environmental factors that bring loyalty in consumers as it helps in create sense of belongingness towards organisation. 

    Negative impact:

    To occupy the environmental factors sometimes impact negatively on the organisational works and activities negatively as it occurs too much cost.       

    TASK 4

    P5 Conduct internal and external analysis of specific organisations in order to identify strengths and weaknesses.

    SWOT Analysis of Next Plc-


    The company has a large presence in the market with outlets in almost every state with a strong network of distribution which ensures that products are available to the customers easily. The company has seen five consecutive successful years with profit reserves that can be used in the future. It has a strong active presence on social media with millions of followers on each platform.


    One of the major weaknesses of Next Plc is that a major part of the property owned by the company is rented for which high amount of rents are to be paid. With customer needs evolving over time, it becomes necessary for the brand to conduct surveys to find out the latest trends in the market to be able to manufacture products that are up to the expectation levels of the customers. Decision making in the company consumes a lot of time leading to reduced innovation within the company. 

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    There are opportunities of expanding online for the brand in the market with Internet taking over the traditional ways. With the population growing at an increasing rate, Next Plc has an opportunity to target an increased number of potential customers and increase in new customers with the growth in tourism. Identifying new niche markets and selling products in them can pose as fresh opportunities. Manufacturing products beneficial to customers' health can be of advantage to Next Plc.


    With the number of suppliers getting reduced, their bargaining power has increased over time. An unstable financial and economic environment is created due to fluctuation in interest rates. Companies feel a pressure towards manufacturing products that match consumer preference as customer tastes have changed over a period of time. There is threat of consumption of current products decreasing with substitute products being introduced in the market.

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    SWOT Analysis of NHS- 


    Although not alone in the market, NHS has no competitor with the accident and emergency service distinctive to it. The staff at NHS is highly skilled and properly trained with a spirit of commitment and increasing patient confidence.


    The company is unable to cope up with the demand due to continuous increase in population and the nurses aren't available often enough to attend the patients.


    A volunteer committee should be set up that is ready to plan and arrange events.


    They provide work and related activities on the contract basis that hinders the self interest of it in order to achieve desirable objectives.  

    P6 Explain how strengths and weaknesses interrelate with external macro factors.

    Political factors

    Strength: Political factor enables to an organisation to build one of best strategies and tactics in order to gain potential outcomes.

    Weaknesses: sometimes in an organisation the political conditions create chaos and various tax regimes hinders the self interest of organisation.

    Economic factors

    Strength: with the advent of Brexit organisation can be able to gain potential advantages as it enhance the boundaries of business.

    Weaknesses: Due to the Brexit the organisation can not reap important outcomes as prices of products gradually rises. 

    Social factors

    Strength: With change in taste and preferences of consumers organisation have to bring new and advance tools and techniques that enhance their competency in business.

    Weaknesses: On other hand sometimes due to changes in taste organisation sometimes not be able to cope up with them. 

    Technological factors

    Strength: Due to adaptation of advance tools and techniques organisation should be able to give effective and desirable outcomes to consumers.

    Weaknesses: In order to sometimes organisation not able to handle new kind of machinery in positive manner. 

    Legal factors

    Strength: The major strength that organisation can enhance their legal regulations I positive manner.

    Negative: sometimes legal factors affect on the working of organisation as they not cope up with changes.



    From the above report it has been concluded that organisation and its environment plays very much crucial role to remain always competitive in business. There are various kinds of organisation exist in the world to serve their own goals and purposes by different size and scope.  In order to gain potential outcomes organisation have to evaluate the internal and external environment with help of PESTEL and SWOT analysis to gain optimum outcomes.

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    • Quinlan, C. and et.al ., 2019. Business research methods. South Western Cengage.
    • Somers, F., 2019. European Business Environment: Doing Business in Europe. Routledge.
    • Boone, L.E. And et.al ., 2019. Contemporary business. John Wiley & Sons.
    • Crane, A. and et.al ., 2019. Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford University Press.
    • Maunder, W.J., 2019. The uncertainty business: risks and opportunities in weather and climate. Routledge.
    • Dwyer, J. and Hopwood, N., 2019. The business communication handbook. Cengage AU.
    • Ansoff, H.I. And et.al ., 2019. Societal strategy for the business firm. In Implanting Strategic Management (pp. 285-310). Palgrave Macmillan, Cham.
    • Das, A., 2019. Corporate governance in India. Routledge.
    • Harmon, P., 2019. Business process change: a business process management guide for managers and process professionals. Morgan Kaufmann.
    • Kretovics, M.A. and Eckert, E., 2019. Business practices in higher education: A guide for today's administrators. Routledge.
    • You, K. and et.al ., 2019. Bridging technology divide to improve business environment: Insights from African nations. Journal of Business Research.  97.  pp.268-280. 

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