Assignment front sheet

Learner name Assessor name

Khin Lat Yar Daw Hlaing May Pwint Thu

Date issued Completion date Submitted on

Qualification Unit number and title

Edexcel BTEC Level 5 HND Diploma in
Business
Assignment Business and the Business Environment
title
In this assessment you will have opportunities to provide evidence against the following criteria.
Indicate the page numbers where the evidence can be found.

Criteria
To achieve the criteria the evidence must show that Task
referenc Evidence
the student is able to: no.
e

Explain different types and purposes of organizations; public,

P1
private and voluntary sectors and legal structure

Explain the size and scope of a range of different types of

P2
organizations

Explain the relationship between different functions and how they

P3
link to organizational objectives and structure

Identify the positive and negative impacts the macro environment

P4
has upon business operations, supported by specific examples

Conduct internal and external analysis of specific organizations in

P5
order to identify strengths and weaknesses

Explain how strengths and weaknesses interrelated with external

P6
macro factors

Introduction of L’Oréal Paris Company

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L’Oréal Paris’s currently CEO is Jean-Paul Agon and they are founded in July 30, 1909. Their mother company
in France and type of company is multinational company. They are mainly manufactured the cosmetics.
Micro Environment Factors
The micro-environment likes a process of internally organization. The internal process of organization is
principal running of management that are four stages such as planning, organizing, leading,
controlling[ CITATION Pie07 \l 1033 ]. Involving of the internal organization are employees and managers of
company, customers, competitors and suppliers.
Micro Environment Factors of L’Oréal Paris
Employees and Managers
In 2017 and 2019, L’Oréal Paris have 82,600and 88,000 the numbers of employees. Employees are skilful,
educated and good attitudes. Managers support and collaborate the non-managerial employees and they
manage the achieve of company goals and then they have fully quality decisions. So, managerial and non-
managerial are combined to work and their company arrives the global market.
Customers
L’Oréal Paris is mainly giving the queen of beauty. L’Oréal Paris’s products are made the whitening of the skin,
the hair strong and dark, their lipstick is giving the confidence. And then, they listen the voice of customers,
do the analysis of globally and they try to give the quality products, new innovative products to customers.
The company review the customer’s need and went and they produced the customer need. They make the
customers mindset foe confidence and freely feeling.
Competitors
L’Oréal Paris company have many competitors and mainly is Maybelline New York. Due to the large number of
competitors, their price, place, promotion, products, process are effective on the L’Oréal Paris. During the
pandemic, customers are buying on the online, so they can promote the selling rate of online market.
Suppliers
For L’Oréal Paris’s essential suppliers are organizations that raw materials, packing and manufacturing
machines accessories. They need to be high qualified, from the production to packaging. They have good
suppliers. The suppliers should be no corruption and between the company and suppliers must be signed for
the law and political.
Macro Environments Factors

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The macro environment is the external contacts. External impacts are political, economic, social,
technological, legal and environmental. The external forces are impacts on the company directly or
indirectly[ CITATION Fel08 \l 1033 ].
Political Factors
Positive Impacts for L’Oréal Paris
 According to anti-corruption law, between the managerial and non-managerial reduces the bribery in
the public sector[CITATION Cor20 \l 1033 ].
 Due to fairness of election, the arrange of position gets fully the personal power and avoiding the
discriminate between the subordinates[ CITATION VOA20 \l 1033 ].
Negative Impacts for L’Oréal Paris
 In 2014 and 2020, the corporate tax rates are 25% and 30%. So, the corporate tax rate increases and
the company’s profits are reducing [ CITATION KPM20 \l 1033 ].
 Online licensing fees of Myanmar Trade net 2.0 is raised that new amendment of service
fees[ CITATION Mya20 \l 1033 ]. During pandemic, customers are not buying the market place and
they will buy the online shopping of L’Oréal Paris Page.
Economic Factors
Positive Impacts for L’Oréal Paris
 In Myanmar, Workers’ basic salary is 4,800(US$3.61), which is less than the international basic
salary[ CITATION Mya201 \l 1033 ]. So, the labour costs are decreased and L’Oréal Paris Company
got the more the profits.
 According 2020 forecast, the inflation rate is currently decreased that is made to get the organization
income[ CITATION ADB20 \l 1033 ].
Negative Impacts for L’Oréal Paris
 During COVID-19, the country’s GDP growth rate is decreased from 6.8% (2019) to 1.8% (2020)
[ CITATION ADB20 \l 1033 ]. The GDP rates are lower that is found the delays production for the
L’Oréal Paris.
 The exchange rates are high that is also high the operational costs and low the purchasing rate of
customers[ CITATION Cen20 \l 1033 ].
Social Factors
Positive Impacts for L’Oréal Paris

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  Percentage of female population rate is more than male in Myanmar[ CITATION Tra20 \l 1033 ].
Cosmetics brand of L’Oréal Paris is especially purchasing the female customers.
 L’Oréal Paris produced the various types of products and they can use the arrange of age
group[ CITATION LOr19 \l 1033 ].

Negative Impacts for L’Oréal Paris

 According to the personal income level, the brand of L’Oréal Paris is not used the all of
classes[ CITATION Wor20 \l 1033 ].
 COVID-19 pandemic is changing the living conditions and consumers are reducing the use for
beauty[ CITATION Wor201 \l 1033 ]. So, the company’s demand is deceased.
Technological Factors
Positive Impacts for L’Oréal Paris
 In social media platform, Facebook user is more than other social media user[ CITATION Mya202 \l
1033 ]. L’Oréal Paris is doing the campaigns, many activities and announcements the seasonal
promotions to get the customer awareness by using the facebook application.
 The people can pay by using the money transactions and mobile banking[ CITATION Mya203 \l
1033 ]. Easy online cash is also boosting the online shops of L’Oréal Paris.
Negative Impacts for L’Oréal Paris
 The hacker can break the privacy and security of their company because of technical protection
requirements[ CITATION Mya203 \l 1033 ].
 Myanmar has restricted internet access in some states, the advertising of L’Oréal Paris cannot used on
the internet only[ CITATION Hum20 \l 1033 ].
Legal Factors
Positive Impacts for L’Oréal Paris
According to employment law, the minimum wage is 4,800MMK that made the profit of their company
[ CITATION The20 \l 1033 ].
Improving the cybersecurity law, the L’Oréal Paris company website has less broken privacy and to get more
safety of the company’s information[ CITATION Mya202 \l 1033 ].
Negative Impacts for L’Oréal Paris

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  Also gave the negative impact of employment law, L’Oréal Pairs company is stopped some workplace
but their organization gave the daily minimum wage of 4,800MMK that is reduced their
profits[ CITATION The20 \l 1033 ].
 According to the investment law, the exchange rates are high that is loss revenue for the multinational
company of L’Oréal Paris[ CITATION Cen20 \l 1033 ].
Environmental Factors
Positive Impacts for L’Oréal Paris
 Policy of national environmental is reduced the use of chemicals that policy is built the truth of
customer options on the L’Oréal Paris[CITATION UND19 \l 1033 ].
 Policy of national environmental is for the long-term sustainable future for Myanmar[CITATION
UND19 \l 1033 ]. So, the company has long-term benefits and holistic society impacts.
Negative Impacts for L’Oréal Paris
 Lower the GDP rates and higher the inflation rates, the multinational company of L’Oréal Paris is
decreased the shareholders rates[ CITATION ADB20 \l 1033 ].
 Myanmar country is the developing country, the staffs are not enough attitudes and not skilful for low
of the education [ CITATION Mya203 \l 1033 ].

References
ADB, 2020. Asian Development Bank. [Online]
Available at: http://www.adb.org.com
[Accessed 8 12 2020].
Alerts, K. M. T., 2020. Union Tax Law. [Online]
Available at: http://www.home.KPMG.com
[Accessed 7 12 2020].
CentralBankofMyanmar, 2020. Exchange Rate. [Online]
Available at: http://www.forex.cbm.gov.com
[Accessed 8 12 2020].
Myanmar, C. I., 2020. Myanmar Corruption Report and Profile. [Online]
Available at: http://www.business-anti-corruption.com
[Accessed 7 12 2020].

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MyanmarTimes, 2020. Facebook refuses to reveal number of users in Myanmar. [Online]
Available at: http://www.mmtimes.com
[Accessed 8 12 2020].
MyanmarTimes, 2020. Myanmar Times. [Online]
Available at: http://www.mmtimes.com
[Accessed 8 12 2020].
MyanmarTimes, 2020. Policy on cybersecurity needed to prevent internet fraud in Myanmar. [Online]
Available at: http://mmtimes.com
[Accessed 8 12 2020].
Myanmar, U., 2019. Thousands of Myanmar Workers Demand Higher Minimum Wage. [Online]
Available at: http://www.mm.undp.org.com
[Accessed 8 12 2020].
Organization, W. H., 2020. WHO Coronavirus Disease (COVID-19) Dashboard. [Online]
Available at: http://www.who.org.com
[Accessed 8 12 2020].
Paris, L., 2019. L'Oreal Paris. [Online]
Available at: http://www.lorealparis.com
[Accessed 8 12 2020].
Smit, P. J., 2007. Management Principles: A Comntemporary Edition For Africa. Fourth edition ed. Cape Town,
South Africa: Juta & Co.Ltd.
TheIrrawaddy, 2020. Thousands of Myanmar Workers Demand Higher Minimum Wage. [Online]
Available at: http://irrawaddy.com
[Accessed 8 12 2020].
Trade, M. N., 2020. Myanmar National Trade Protal. [Online]
Available at: http://www.myanmartradeportal.gov.mm.com
[Accessed 7 12 2020].
TradingEconomics, 2020. Myanmar Population. [Online]
Available at: http://www.tradingeconomics.com
[Accessed 8 12 2020].

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VOA, 2020. UN says Myanmar's Discriminatory Laws Cast Doubt on Faireness of Elections. [Online]
Available at: http://www.voanews.com
[Accessed 7 12 2020].
Watch, H. R., 2020. Myanmar: End Unlawful Internet Restrictions. [Online]
Available at: http://www.hrw.org.com
[Accessed 8 12 2020].
WorldBank, 2020. New World Bank country classifications by income level. [Online]
Available at: http://www.blogs.worldbank.org.com
[Accessed 8 12 2020].
Young, F. C. & Pagoso, C. M., 2008. Priciples of Marketing. First edition ed. Manila, Philippnes: REX Book Store.

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