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ASSIGNMENT COVER SHEET

STUDENT DETAILS

Student ID 6242 Reg No. PE52146

Family Name sanjok karki Given Name sanjok karki

Enrolment Year 2021 Section A

Semester I Email sanjok@ismt.edu.np

UNIT DETAILS

Unit Title Business and BUsiness Unit Code L/508/0485

environment

Assessor Name Gita Bhandari Issued Date

Assignment Title Understanding business and business environment

Assignment No 1/1 Submission Date 30 June 2022

Qualification BTECH HND IN BUSINESS Campus CCRC

STUDENT ASSESSMENT SUBMISSION AND

DECLARATION
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When submitting evidence for assessment, each student must sign a declaration confirming
that the work is their own.

Student Name Sanjok karki Assessor Name Gita Bhandari

Issue Date 3 June 2021 Submission Date 1 July 2022

Programme BBA

Unit Name Business and Business environment

Assignment Title Understanding Business and Business environment

Plagiarism

Plagiarism is a particular form of cheating. Plagiarism must be avoided at all costs and
students who break the rules, however innocently, may be penalized. It is your
responsibility to ensure that you understand correct referencing practices. As a university
level student, you are expected to use appropriate references throughout and keep carefully
detailed notes of all your sources of materials for material you have used in your work,
including any material downloaded from the Internet. Please consult the relevant unit
lecturer or your course tutor if you need any further advice.

Student Declaration

I certify that the assignment submission is entirely my own work and I fully understand
the consequences of plagiarism. I understand that making a false declaration is a form of
malpractice.

Student signature:sanjok@ismt.edu.np Date: 30 June 2022

Pearson Education 2018

Higher Education Qualifications
Table of contents
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Introduction……………………………………………………………………….3

Explain different types and purposes of organisations public, private and voluntary

sectors and legal structures………………………………………………………3-5

Explain the size and scope of a range of different types of organizations….5-6

Explain the relationship between different organizational functions and how they link to

organizational objectives and structure…………………………………………….6

Identify the positive and negative impacts the macro environment has upon business

operations, supported by specific examples…………………………………………6-7

Conduct internal and external analysis of specific organizations in order to identify

strengths and weaknesses……………………………………………………………..8

Explain how strengths and weaknesses interrelate with external macro factors….8-9

Conclusion………………………………………………………………………………….10

References…………………………………………………………………………………..11

Introduction
The purpose of this report is to get in-depth knowledge and comprehension of the
selected business and the roles that are played in larger business contexts. The
numerous sorts of organizations, their sizes and scopes, and the methods used to run
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them have all received attention. This has made it easier to investigate the many
opportunities and connections between companies, as well as the influence and effects
of the external environment.
Business environment refers to the internal and external elements that affect the
enterprise. The paper has focused on the various types, sizes, and scopes of
organizations, as well as how distinct organizational roles relate to one another and to
their business structures. By doing analysis, more attention is paid to the positive and
negative influences that have an impact on a certain business's macroenvironment.
(P1)

Public Private Voluntary

Definition They involve They consist of for- They consist of

publicly owned, profit businesses groups that conduct
nonprofit that are both owned social activities,
businesses that by the government particularly those
only offer services and other private that particular
for social good. entities, such as nongovernmental,
people and not for profit
organizations. organizations.

Purpose Public sector They are a crucial Since they are

businesses are component of the made up of different
those controlled by nation's profit- groups, their main
the government that making economic objective is to
work to provide system, which is benefit and
societal benefits controlled by advance society as
such as military, private persons and a whole without
police, and other organizations. They expecting a
public services as are also a key payment in return.
well as public driver of the They also
commodities and nation's expansion, contribute to the
infrastructure. development, and creation of social
production of per wealth and the
capita income, advancement of
which increases the civilization.
GDP (Hillary,
2017).

Relation to chosen Focus has been Consider the British By using Cancer
organization placed on the international retail Research UK as an
strategy that seeks business TESCO example,
to give a good as an example. In information about
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value to the clients order to gain a their social services

while also competitive edge, has helped the
producing a TESCO has placed organization
beneficial a strong focus on conduct research
contribution creating a wide and launch public
towards society, range of sales and awareness
using Virgin Money net income. campaigns aimed
as an example, one at avoiding cancer
of the top UK in society. As
challenger banks. volunteers, they try
to raise awareness
about the need to
eradicate the illness
at all levels.

Legal structures of Virgin money: As a top challenger bank in the UK, they have
concentrated on residential mortgages, savings, and credit cards before offering a
variety of supplementary financial products including investments and insurance. This
has not only enabled them to make a constructive contribution to society but also to
foster a strong bond with their business associates, resulting in long-term gains for their
stockholders.
Legal structures of TESCO:The corporation has broadened its geographic and retail
reach by concentrating on the major supermarkets, hypermarkets, superstores, and
convenience stores, offering a huge variety of goods as a result. As a result, they have
been able to serve their own needs domestically by opening a total of 6,553 outlets.
Legal structures of cancer Research UK:The firm has achieved its goals by pursuing
the condition and enlisting the aid of medical professionals, social activists, and nurses
to support their success and infrastructure. They have also been able to fund their
internal structure, which consists of 9 clinical trial units, 17 Experimental cancer
Medicine Centers, 7 Graduate training programs, and other things, thanks to their
successful entrepreneurship.
(P2)

Micro enterprises: Small enterprises: Medium and large

enterprises:

Size They include the small business They are operated They mostly include
sectors, where there is a low by a small group of the international
level of employment and little employees who organizations that
capital invested. are owned by have the potential to
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separate develop quickly and

organizations and include both workers
who want to grow who work and
their company volunteer
over the long term memberships.
by boosting sales.

Scope This form of business is quite They are business They consist of the
prevalent in poor nations where partnerships multinational
microentrepreneurs are between corporations that profit
required to provide for all individuals who greatly from their
needs.This raises the are sole owners employment in the
economy's worth, which and have the government sector. By
expands the potential for option to change in setting away the
greater employment prospects, terms of size and generated funds for
economic expansion, and a revenue stream future growth goals,
reduction in operating (Bryman and Bell, the corporation aims
expenses. Among these, 2015). A good to further enhance its
Cancer Research UK is a good example of this internal operations.
illustration. kind is TESCO. Virgin Money is a
good illustration of this
kind.

Focus has been placed on each of their size and scope, using the three types of
organizational structures as an example. In addition to being numerous, the micro
sectors also attempt to improve the revenue and economic prospects for emerging
nations. Being a volunteer-based organization, cancer research has modest financial
requirements but strives to work toward a larger organizational objective of curing
cancer internationally through advancing social causes everywhere. Their greatest
asset was the ability to meet staff and consumer demands, which assisted them in
growing (Rostamkalaei and Freel, 2016).The competition and associated financial risks
are a major hindrance to their ability to develop, which is where the disadvantage
resides. Companies like TESCO, who operate in the retail sector and want to expand
their clientele, are examples of small businesses. To accomplish this goal, TESCO
partners with other businesses or people. They benefit from gaining control over
management and ownership, which allows them to swiftly adjust to suit client
requirements. The restricted availability of financial resources is one of the drawbacks
(Charles,2017).Examples of medium and big businesses include Virgin Money, a
government bank with headquarters in the UK, which uses its channels to assist
consumers by offering loans and advances and so works for the good of all. Their
flexibility and intimate relationships with clients provide them an edge, but maintaining
customer loyalty and financial challenges are two areas where they fall short.
(P3)
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In order to assist businesses retain a good position for themselves in the face of
growing competition and hazards, several departmental positions have emerged inside
the organizations.
Marketing:They are one of the most crucial elements of how a business operates and
aid in the development of strong ties and interactions with clients and other companies.
Additionally, they are accountable for delivering a strong brand image for the specified
firm by engaging in proactive publicity activities and consumer engagement with the use
of efficient tools and techniques (Storey, 2016).
Finance: They are a crucial department that manages the company's complete
investment process in order to sustain profits. They do this by controlling the company's
numerous expenditures and other legal requirements.
HR:They manage their internal work processes in an effective and strategic way,
making optimal use of all available resources. They also put a lot of effort into
conducting a successful hiring process to secure the top candidates who will benefit the
business and boost output.
Operation:They work to manage the whole manufacturing process in order to provide a
seamless and effective service that fully satisfies the demands and expectations of the
clients.
(P4)

PESTEL Analysis

Political Being an internationally renowned bank, they have

been operating in the UK, Australia, South Africa,
and other countries under a variety of laws,
regulations, and policies. As a result, the company
must recognize these laws and adopt them in
order to function successfully and effectively in
their financial system. They have also been given
a number of protection strategies against
governmental restrictions and limitations to
safeguard their position.

Economic In terms of the stability of the economy, different

foreign currency rates, and stock markets on a
worldwide level, Virgin Money has seen a
significant increase (Crane and Matten, 2016). As
a result, their chairman has praised the firm for
making the required economic improvements to
expand its growth and operations. This has further
aided them in surviving the financial crisis of 2008.
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Social They have tried a number of things to please their

clients in order to succeed in business. This has
made it possible for them to concentrate on the
shifting societal trends and shifting client wants.

Technological Virgin Money has developed a number of

technological enhancements to ward off
cyberattacks. Additionally, they have taken action
to safeguard client data, meaning that numerous
technological management teams must enhance
their functioning.

Environmental They have developed methods to enhance their

technology, add to a sustainable engagement, and
collaborate with the supply chain in order to
achieve their aim of reducing carbon emissions.

Legal Being subject to several rules and regulations, the

corporation has placed a strong focus on
implementing payment protection insurances in
order to prevent any negative publicity from
developing in the future. They have expanded
their activities by adopting the FCA legislation in
order to manage their PPI claims (Besley, 2015).

(P5)

Strength weakness Opportunities Threats

● They have ● They have ● They provide ● Existence of

mastered the developed traditional international
art of into a services in new rivalry.
increasing monopolistic ways, which
brand value. business, furthers their ● Financial
and their innovation and criminality
● They provide expansion expands their has
customers has now put chances for increased.
with a lot of them in a development.
options. precarious ● By using
situation. efficient tactics,
● They are they were able
made up of a to lower their
thin board operational
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and few expenses.

management
layers.

(P6)
The interaction between components for Virgin Money has been shown using a TOWS
matrix approach.
Threats:
● Due to the existence of other global corporations like HSBC, there is intense
rivalry within the UK banking sector.
● Pawn shops have grown more rapidly, which has sparked an increase in loan
growth.
● Investment transactions include a significant risk of failure, which might have an
impact on how the firm develops and makes decisions in order to achieve its
long-term objectives.

Opportunities:

● The business has been gradually opening up new operations in emerging nations
like South Africa.
● They have used high-end promotions to draw in more clients and boost the
number of people using their online banking, helping them to reach the goals
they had set (Bendell, 2017).

weakness:

● The business continues to fall behind in acquiring the most cutting-edge

technology, which results in a workforce that is underproductive and a lack of
online investment.
● They also have low interest rates, which restricts their capacity for expansion.

Strengths:
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● They have a great management structure that works well for them and enables
them to make good judgments internally.
● They have the necessary level of dependability and openness, which helps them
build strong bonds with their customers (Rostamkalaei and Freel, 2016).

Conclusion
By claiming that it has a thorough awareness of the different business operations and
the surrounding environment with an emphasis on Virgin Money in the UK context, the
report implies as much. The many sorts of organizations, their sizes and scopes, and
the ways they aim to run them have all received attention. The vast range of scope and
scale of the many business kinds has been further explored, allowing for effective
analysis of the company's micro and macro elements.
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Reference
Bendell, J., (2017). Terms for endearment: Business, NGOs and sustainable
development. Routledge.

Besley, T., (2015). Law, regulation, and the business climate: The nature and influence
of the World Bank Doing Business project. Journal of Economic Perspectives.

Bryman, A. and Bell, E., (2015). Business research methods. Oxford University Press,
UK.

Charles Jr, O.H., Schmidheiny, S. and Watts, P., (2017). Walking the talk: The business
case for sustainable development. Routledge.
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Crane, A. and Matten, D., (2016). Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.

Hillary, R. ed., (2017). Small and medium-sized enterprises and the environment:
business imperatives. Routledge.

Rostamkalaei, A. and Freel, M., (2016). The cost of growth: small firms and the pricing
of bank loans. Small Business Economics.

Storey, D.J., (2016). Understanding the small business sector. Routledge.