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Business Environment

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Submitted By sany1994
Words 5480
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Task 1
An organization is an entity that exists to achieve a purpose through collective efforts of the people who work in for it. Organizations can be described as systems which are affected by their environment, have a structure that has both formal and informal elements. (Armstrong, 2012)
An organization is formally defined as a collection of people working together in a division of labour to achieve a common purpose. This describes a variety of clubs, voluntary, organizations and religions besides as well as entities such as small and large businesses, labour unions, schools, hospitals and government agencies. (G.Hunt et al, 2003)
An organization is an arrangement of people pursuing common goals and achieving results following the standard and rules of the business. There are various levels of management and division of responsibility inside an organization each working through their own tasks.

Private Limited Company- This is a company which is owned and controlled by shareholders who know each other, they can be friends and relatives. There is no minimum capital required to start up this type of business and their shares are not sold on the stock exchange market.
Benefits of being a Private Limited Company (PVT LTD) * In this type of organization the shares are sold to large number of individuals. This leads to large sum of capital which will result in expansion. * All shareholders have limited liability- It means if there is a loss in the business the owners do not have to compensate by selling their personal property. * The organization can enjoy its benefits of being big. * The people who start the business are able to retain control over it. * The business can still continue running in the event of the death of a shareholder.

Costs associated with being a Private Limited Company (PVT LTD) * Company requires a lot of legal formalities to establish the business. * The shares of the business cannot be sold without the agreement of all the shareholders, hence it becomes difficult to sell them. * The accounts of this type of company cannot be kept secret as end of the year * the accounts are sent to the Companies House for inspection over their financial matters. * The company cannot sell its shares to the general public to raise capital.

Example of a Private Limited Company

Figure 1- Airblue Logo
Source: www.google.com

Airblue Limited is a private airline with its head office on the 12th floor of the Islamabad Stock Exchange (ISE) Towers in Islamabad, Pakistan. It is Pakistan's second largest airline with a growing share of the domestic market. Airblue.com, 2014

Mission statement
“Airblue will be recognized as the most progressive enterprise in the transportation business. We will offer our customers cost effective transportation service within geographical areas and market segments that can benefit from our services and will insure a return on investment and growth rate consistent with current management guidelines.”(alihan15, 2011)
Vision statement
“Our vision is to make Airblue the most admired airline in the world.
* Ensuring safety comes first
* Providing Service Straight From the Heart
* Encouraging product leadership
* Delivering superior financial returns
* Providing rewarding career opportunities”(alihan15, 2011)

Airblue is a cost effective airline their mission is to cater to individuals with moderate prices of tickets to travel to their various destinations. They want to establish and ensure a return on their investment and growth while following their principles.
Their vision is to become a leader in the airline services following all the moral codes like safety and security of their passengers, giving them value for their money by being hospitable. Airblue also wants to encourage employment opportunities to deserving candidates

Public Limited Company- This is a large business and most common form of organization which can be called Public Limited. It is not owned by the government but by the shareholders who are the general public. A public limited company has all the advantages of a private limited company plus the right to sell your shares on the stock exchange market.
Benefits of being a Public Limited Company (PLC) * This form of organization offers limited liability to its shareholders. * It has a separate legal identity. * The business can still continue running in the event of the death of a shareholder. * There is no limit to the number of shareholders a public limited company can have so it can raise large capital to invest further in the business. * There is no restriction to the buying and selling or transfer of shares. * A company trading as a Public Limited Company usually has a high status.
Cost associated with being a Public Limited Company (PLC) * The legal formalities of forming such are quite complicated and time consuming. * There are many regulations and controls over PLC in order to protect the interest of its shareholders. Some PLC grow so large that they become difficult to control or manage. * Selling shares to the public is quite expensive. The director will often ask a specialist bank to help them and the bank will charge high commission for their services. * If there is a real danger it is that the original owners might become rich by selling their shares but they may lose control over their business when it goes public the risk of being taken over due to the availability of shares on the stock exchange.

Example of a Public Limited Company

Figure 2- FedEx Logo
Source: www.google.com

FedEx Corporation is an American global courier delivery services company headquartered in Memphis.

Mission statement
“FedEx Corporation will produce superior financial returns for its shareowners by providing high value-added logistics, transportation and related business services through focused operating companies. Customer requirements will be met in the highest quality manner appropriate to each market segment served. FedEx will strive to develop mutually rewarding relationships with its employees, partners and suppliers. Safety will be the first consideration in all operations. Corporate activities will be conducted to the highest ethical and professional standards.”(Fedex.com. 2014)
Vision statement
“A world where goods and information move quickly throughout the world. They view it to be a world where businesses get raw materials and parts globally, and then move them quickly between across time zones and between continents. They see it as a world where global transportation and information networks can shrink distance and time, which creates a competitive advantage for customers worldwide.” (UK Essays, 2014)
Their mission statement speaks about keeping their shareholders satisfied with high returns on their investment through the performance of their business. It also tells us about the importance to FedEx of providing quality services to their customers of each segment. Their statement ends with telling us how they want to develop a rewarding relationship with almost all their stakeholders like the employees, partners and suppliers. Security is vital for FedEx.
Their vision concentrates on providing their services globally and to make the world a better place when it comes to delivering raw materials and components of a business safely at the right place on the right time. Their focus is to reduce any transporting issues worldwide.

Non-governmental organizations (NGOs)- These are non- governmental non- profitable organization that are created by individuals independently. Their purpose is to help people in need, basically provide humanitarian services.
Benefits of being a Non-governmental organizations (NGOs) * This type of organization is able to employ skilled and highly focused staff with less restrictions than the government. * They are able to establish communication with everyone from high positions in the government to any people living in a neighborhood. * They get along with individuals of a society and can help the people in need with their services as they can identify who is in need of their assistance. * NGO’s have the capability of experimenting freely with innovative ways to take risk.
Costs associated with being a Non-governmental organizations (NGOs) * There can be a low level of participation in their projects as they follow a paternalistic style of leadership. * Sometimes these organisations become so powerful that they start interfering in the matters of the government. * Ngo’s have limited ways of handling an issue in a problem area.

Example of a Non-Government Organisation

Figure 3- GreenPeace Logo
Source: www.google.com

Greenpeace is a non- governmental organization with offices in over forty countries and with an international coordinating body in Amsterdam, the Netherlands. Greenpeace states its goal is to "ensure the ability of the Earth to nurture life in all its diversity.

Mission and Vision statement
“Greenpeace is an independent, nonprofit, global campaigning organization that uses non-violent, creative confrontation to expose global environmental problems and their causes.
Greenpeace’s goal is to ensure the ability of Earth to nurture life in all its diversity.
Greenpeace stands for positive change through action to defend the natural world and promote peace. We investigate, expose and confront environmental abuse by governments and corporations around the world. We champion environmentally responsible and socially just solutions, including scientific and technological innovation.
Our goals * Protect biodiversity in all its forms. * Prevent pollution and abuse of our oceans, land, air and water. * End nuclear threats. * Promote peace and global disarmament” (Greenpeace East Asia, 2014)

Greenpeace is a non- profit organization striving to bring global peace. It’s mission is to fight for various causes like air, water and land pollution so that the life on earth will have a clean environment in which the damages to an area can be eliminated. They expose all the harms that are caused by the government or a business in a country.
Greenpeace’s aim is to promote peace and reduce pollution and improper use of the natural resources land and oceans, to also end nuclear dangers.

Task 2
Organisations exist because of their ability to create value and acceptable outcomes for various groups of stakeholders, people who have an interest, claim, or stake in an organization, in what it does, in how well it performs. In general stakeholders are motivated to participate in an organization if they receive inducements that exceed the value of the contributions they are required to make. (R.Jones, 2013)
Stakeholders are group of people who have direct interest in the financial matters, performance and activities of a business as they are affected by them in different ways. Each of the many stakeholders have their own different reason for their interest.
The internal stakeholders are- 1. Managers- They are themselves employees of a business but they control the work of other workers and staff. The important decisions are taken by them in an organization. Managers interest is for the business to grow further so that they can control a larger and a better known business which will give them further power, status and high salary. 2. Owners- Their interest is to get a percentage share of the profits that the business will make from the capital they invest in a business for the start up or for expansion purposes. They also would want growth in a business so that value of the money they invested increases. 3. Employees- This group also has financial interest in the company as their pay levels depend on their performance and the profitability of a business. They would want to have job security and be interested in the performance and growth of the business so it becomes a value to them when they move from one organization to other or for salary increment.
The external stakeholders are- 1. Customers- They are a vital part of any business, since they are the ones that buy a particular good or service that the business is producing, hence they control if the business will make profit or loses as they can eliminate buying a product if its not upto their satisfaction level. Their interest would be to have safe and environmental friendly products and would want value for money. 2. Government- They pass laws to protect the right of workers and consumers in a country. The government would want the business to succeed in their country which will create more jobs for its citizens and increase the country’s output . 3. Suppliers- They provide raw materials to businesses for their production, it is essential for a business to have good relationships with their suppliers which will result into the raw materials being delivered even at a short notice. The suppliers themselves would want to have a good relationship with their customers which will result into regular orders and their payment being made on time. 4. Local Community- Their interest is again, jobs for the working population, safe products for the community, less pollution and value of money. They can report the harmful activities the business is doing to the pressure groups. 5. Pressure Groups- These are groups formed by the people who have a common interest to protect the environment or reduce pollution created by a business. They can spread bad publicity which can result into consumers boycotting their product from the market. 6. Creditors- They would want the businesses to pay their loan on time and receive full interest on the amount due, if they are unable to pay their debt, it will result into closure and they may sell the assets of the business to receive their payment. 7. Media- Their power and interest is to spread good or bad publicity about a business and keeping the world updated on their affairs.
Conflicts of Interest
When there are so many different stakeholders interested in the performance and affairs of a business it becomes difficult to prevent all of them from having different objectives from each other which can result into disagreement between them. Below are four stakeholders with their conflicts- 1. The community and the business- As mentioned in the external stakeholders a community can suffer through the negative activities of the business like noise, air pollution, dumping of waste into the rivers, chemical factories setting up near residential areas with a lot of greenery . If the local people of the community and pressure groups come together the business can face powerful protest which can force them to move to another area resulting in unemployment and reduced investment in that particular area.

2. Customers and the business- Customers expect value of money for the goods or services they purchase with it. They are unlikely to remain loyal or purchase more than one time from a business if the product is not of quality with a low value for money. Customers are always ready to complain about the standard quality of the product and their services offered after sale, the business has to make certain strategies which are specifically offered to customers who are dissatisfied and recuperate on any loses that they might have faced financially and influence further more customers to remain loyal to their business.

3. Suppliers and the business- Suppliers expect their payment to be paid on time for the raw materials they deliver to an organization and thay may even abrogate to supply components on credit or even cancel all their transactions with a business if they do not pay regularly. On the contrary many businesses complain about late deliveries by their suppliers and doubting the quality of the raw materials, this puts a strain between the relationship of a supplier and the business.

4. Managers and workers- Managers aim for the magnification and establishment of the organization in a remuneratively lucrative way, this may lead to a conflict if workers demand for high wages customarily. If they feel like they are not fairly treated and they do not feel safe in their jobs, then there can be certain consequences which can damage the interest of the business for example poor production, absenteeism etc
`
Figure 4- Power and Interest Grid of Stakeholders Source: Created by Student No. 014103, 2014
The chart above shows the seven different stakeholders based on the power and interest which they have in an organization. The reasons why each of them have their own level of power depends on their interest and position when it comes to relating yourself to the business. * The group with high power and high interest should be managed closely , as an organization you must plenarily motivate and commit yourselves into satisfying this group as they can highly effect on the activities and publicity of your business. A government would be keen if whether your organization is following all the legal legislation by them as well as not promoting any unethical activities which would harm the interest of the citizens of the country. * The group with low power and high interest should be apprised, the people in this group are important to an organization as well, hence they should be updated perpetually on the organisation’s performance or news and have regular communication with them in order to tackle any major issues that would arise. This group is helpful when it comes to discussing the details of a company’s project or product related queries, their feedback can be of great value as it will contribute to the decision making process. * The group with low power and low interest should be monitored with minimum effort, as the suppliers supply the raw materials for the production process and the local community who can take action against them if they find out of any unethical business activities. * The group with high power and less interest- Customers are a vital part of any business activities as they are the ones who buy the final product hence they should be satisfied with what they are purchasing.

The government and the media are an essential part of any organisation as they have a direct impact on the business affairs and activities hence an organization might trade off the interest of certain stakeholders in order to be supportive by these groups. For example- In order to increase their profitability and savings the owners of an organization might want to cut down their costs by reducing the number of workers, but if the government of an economy objects to this decision of a business as they do not want to generate unemployment then the organization would have to trade off their interest in order to be on good terms with the government of an economy and in turn get positive publicity.

Task 3
Corporate Social Responsibility
Every organization has their own duty towards their stakeholders for the decisions or activities done when it is related to their organization. Corporate Social Responsibility (CSR) is an approach which is made of conceptions that a business has to act upon in order to be steady in terms of their growth resulting into taking the responsibility of the social and environmental progress in the areas they operate in. An organization following the concept of CSR or puts in more effort into following all the ethical, legal, environmental and economical responsibilities will have a positive impression on the society.

Workers- They are directly related to an organization as they are working there, it becomes the duty of the organization to take care of their workers. They can do this by- * Providing them with proper safety equipments and clothing * Paying their wages promptly according to their responsibility and task * Providing them with hygienic conditions at workplace and not emphassing on extremely long work hours and giving them their breaks on time. * Avoiding unfair dismissal.

Customers- By taking responsibility of providing them with high levels of service and value of money for the goods they purchase and producing environmentally friendly product without causing any damage to the community. It is therefore vital for any organization to satisfy the needs of their customers and manufacture products according to the customer satisfaction level. * Once the goods and services have been bought by the customers it is important to provide them with after sale service in order to keep the customer happy and loyal to their business * Reliable Quality of the product * By providing authentic information about the product use, it should contain details on the packaging of any side effects of using the product. * The product is designed and packaged in such a way which makes it easy to use. * By not promoting any false advertising of their product and misleading the consumers.

Shareholders- They are the people who have invested in the capital of the business and the shareholders should be frequently updated on the performance of their business. The aim of every shareholder is to get benefit from their investment and it becomes the responsibility of the managers in an organization for the business to perform efficiently so that the status and profitability of the organization increases with more benefits for its shareholders.

Suppliers and Creditors- By paying them regularly for their deliveries, loans, interests on loans and establishing a good relationship with them.

The government- Business has to pay variety of taxes to the government on their profits or sales so that they can generate income for providing local services. They have to follow all the laws that are for the protection of consumers, employees and the environment of that country and avoid any illegal activities that might result into damaging the reputation of the business.

The Community- Their interest will be more jobs in that area for the local people, the business engagement in charity work which will result into contributing to their living standard as well as reliable product quality and the development of their areas.

Competitors- They are the people who are producing the same type of product as your organization or the substitute of it. The social responsibility of a business towards their competitors are- * There should be a fair competition, an organization should not put other competitors company down just to highlight their product in the market * By not offering any sort of bribes to the competitors suppliers so that they favor them.

Task 4

Figure 5- Credit Valley Logo
Source: www.google.com
The Credit Valley Hospital is a public hospital located in Mississauga, Canada.“It is a professional, caring, health care organization that promotes life, health and innovation. Credit Valley is known for its innovative, can-do approach to providing quality patient care to the people of Mississauga and the surrounding region (approximately one million people).”
Mission Statement
“To deliver safe, quality and patient centered hospital care, directly and through partnerships.” (Cvh.on.ca, 2014)
Vision Statement
“Together We Create Better Health Care’’ (Cvh.on.ca, 2014)

Figure 5- Med Care Logo
Souce: www.google.com

MedCare is a private hospital located in Dubai, United Arab Emirates. ‘’The Hospital has a full-fledged Emergency Department, 25 Outpatient consultation rooms, ICU, NICU, Delivery suites, Endoscopy Room and Day Surgery unit.’’ (medcarehospital.com, 2014)

Mission Statement 1. ‘’To bring highest quality primary, secondary and tertiary health care to the door steps of the population we serve, customizing it to local needs and cultures. 2. To be a community partner in the pursuit to maintain state of wellness through medical awareness campaigns and health check-up, keeping in mind that prevention is better than cure. 3. Be in the forefront of the battle to conquer illness wherever humanly possible, with the involvement of the best available healthcare professionals in the world, equipped with cutting edge medical technology . 4. To produce paradigm shift in the traditional health care delivery of prevention and cure by paying attention to the emotional aspects of illness, by understanding and touching the concerns and of the patient and family with empathy and compassion helping to usher in the experience of Total Health Care. 5. To address areas of Medical Education and Research to continuously upgrade the knowledge base of medical professionals to widen their horizons for better patient care. 6. To assure, monitor and upgrade quality management of services focusing on patient safety and satisfaction with a firm belief that there is no finishing line in the journey for excellence in health care. 7. To go beyond the expectations of all our stake holders with the philosophy of Health First…. everything else follows’’ (medcarehospital.com, 2014)

Vision Statement
“Medcare Hospital will strive to deliver highest quality comprehensive health care of international standard to the people we serve through the synergy of highly qualified medical professionals and state- of the-art medical technology”. (medcarehospital.com, 2014) Evaluation
The public and private hospitals both have their own purpose of existing with their own different mission and vision statements describing of what they’re aim is now and in the foreseen future.
The Credit Valley hospital aim is to provide affordable health services to the citizens of Canada their mission statement is simple stating that their hospital wants to provide safe care for their patients centered through different partnerships financing them in order to deliver quality healthcare to the local citizens of the country. Their purpose is not to be the best internationally but to provide reliable efficient and low cost services to people who cannot afford going to a private hospital, the vision of an organization normally describes about where they see themselves or where they want to be in the near future, Credit Valley’s vision concentrates on delivering a better healthcare with their organization’s oneness.
MedCare hospital has a variety of various different missions in United Arab Emirates, they not only provide health care facilities to all the different sectors but they customize it according to the local cultural aspects of the country ensuring that their hospital’s standards are met for their customers. They believe that by carrying out regular medical awareness campaigns they can educate the local community about different diseases and health problems. With the help of their latest technology and educated medical professionals, the hospital wants to be able to fight every disease known to mankind.
Their vision speaks about following the international standard of healthcare for their patients providing the highest standard with high qualified professional doctors.

A private and public hospital might not have the same objectives as each other. A private hospital is owned by an individual or a group of people who manage their own finance and resources to provide services for people who are socially well off, their hospitals are equipped with all the latest technology, every other thing in it is of good reliable quality which makes them more costly, they might even aim to be recognized internationally. Private hospitals do provide quality services because people are paying that extra for it but at the same time these services are not just for everyone but the wealthy individuals. On the contrary, a public hospital is owned by the government which means that they are responsible for all the expenses and building of the hospital for consumers who can’t afford all the luxurious health facilities hence they are funded for these fundamental facilities which they ought to have by the government in the form of public hospitals, but these services that are offered by the government are not that effective as it is with private hospitals, people are sometimes afraid to go to the public hospitals because of their caliber of efficiency despite the fact that these services are either funded or provided for free there should be a level of quality standard followed with it as it is one of the basic necessities of life for the consumers who do not earn so much that they can support the expensive healthcare provided in private hospitals.

Task 5

Figure 4- Subway Logo
Source: www.google.com

“Subway (stylized as SUBWAY) is an American fast food franchise restaurant that primarily sells submarine sandwiches (subs) and salads. It is owned and operated by Doctor's Associates, Inc. Subway is one of the fastest growing franchises in the world, with 40,855 restaurants in 105 countries and territories.” (SUBWAY - Eat Fresh, 2014)

Mission statement

“The SUBWAY® system is committed to providing a variety of great tasting, nutritious food choices while reducing our environmental footprint and creating a positive influence in the communities we serve around the world.” (SUBWAY - Eat Fresh, 2014)

Corporate Social Responsibility initiatives taken by Subway 1. Nutritional Leadership- Providing fresh sandwiches with low calibers of sodium for adults and children as well as calcium and Vitamin D which has contributed towards the health factor. Their sandwiches are between 300-500 calories depending on the size. They have consummately abstracted the option of trans adipose meat from their menus around the world. They have been transforming themselves in different ways from 1997 to the year 2010, with committing themselves more and more to their nutritional quality of the product, Subway has its very own calorie counter available on its website.

2. Environmental Leadership- Subway was founded on the basis of improving the health of the society with their health oriented fresh sandwiches and salads. The fundamental issue worldwide is that resources are scarce, this organization has taken the responsibility of utilizing their resources wisely by using methods that generate less energy and water. Their packaging in North America is made of recycled content and they are trying to implement this method of packaging worldwide. Subway has contributed to the environmental leadership is different ways such as- a) Eco Restaurants- They have about 14 branches of eco- friendly restaurants in North America. In Kokomo, Indiana the restaurant outlet was built with a type of stone which is 100% recyclable, their eco- friendly restaurants contains characteristics such as auto sensor lights in the washroom, furniture’s that do not contain ozone depleting ingredients. b) Waste Reduction- By utilizing film pouches for their tuna sauce which requires less energy and is easily transported which in turn has resulted into reducing 6 million pounds of waste yearly. c) Packaging- By using environmentally friendly material for packaging which that can easily be recycled such as their catering trays are made with 25% recycled content and on the other hand their brown paper bags given out for take away are 100% recyclable. They don’t use polystyrene in packaging.

3. Sustainable Sourcing- Subway doesn’t compromise for the quality of their products starting from their supply chain management which passes through all the elongates of sustainable sourcing from the farm till their product, providing high quality and safe food is . They own a franchise of Independent Purchasing Corporative whose obligation is to look out and get the best quality of delicious ingredients and reliable supplies which are utilized in the restaurant.

4. Our People- Subway concentrates in building strong relationships with its customers just like we do with our families.
Subway strives to create opportunities for their franchises, staff and the communities in which they serve, they have succeeded to meet their goals through the determination of their teamwork.
Diversity- The employees or the people who work for them are their greatest asset, they treat their staff like family and with respect. There is no discrimination during the recruitment and selection process on basis of sex, race and religion. For example- Subway encourages jobs for senior citizens in some franchises 10% of their staff are above 62years old, 98% of their franchises employs women in their restaurant.
They believe in conducting regular trainings for their employess and providing them with opportunities for career growth.

Bibliography
Books
Armstrong. M (2012). Armstong’s handbook of Human Resource Management. 12th Ed. UK: Kogan Page
Hunt G.J, SchermerHorn. R.J, Richard. Jr and Osborn. N(2003) .Organizational Behavior 8th ed: John Wiley & sons, United States Of America
Jones. R.G (2013). Organisational theory, design and change. 7th ed. U.S. : Pearson

Websites
About FedEx. 2014. Mission, Strategy, Values. [online] Available at: http://about.van.fedex.com/mission-strategy-values [Accessed: 31 Jan 2014].
Airblue.com. 2014. About Us. [online] Available at: https://www.airblue.com/corp/about [Accessed: 01 Feb 2014].
Cvh.on.ca. 2014. Credit Valley - Hospital A Brief Introduction to The Credit Valley Hospital. [online] Available at: http://www.cvh.on.ca/admin/about_Credit_Valley.php [Accessed: 05 Feb 2014].
Greenpeace East Asia. 2014. Mission & Values. [online] Available at: http://www.greenpeace.org/eastasia/about/mission/ [Accessed: 02 Feb 2014].
Medcarehospital.com. 2014. Medcare | Medcare | Profile. [online] Available at: http://www.medcarehospital.com/about/profile [Accessed: 18 Feb 2014].
Pakistan, A. 2014. Airblue Pakistan - Essay - Alihan15. [online] Available at: http://www.studymode.com/essays/Airblue-Pakistan-724315.html [Accessed: 01 Feb 2014].
Scribd.com. 2014. Corporate Social Responsibility Assignment. [online] Available at: http://www.scribd.com/doc/40466951/Corporate-Social-Responsibility-Assignment [Accessed: 18 Feb 2014].
Slideshare.net. 2014. Stakeholder Theory, Ethics 209. [online] Available at: http://www.slideshare.net/ravi.iitd/stakeholder-theory-ethics-209#btnPrevious [Accessed: 30 Jan 2014].
SUBWAY - Eat Fresh. 2014. SUBWAY - Eat Fresh. [online] Available at: http://www.subway.co.uk/aboutus/our-commitment.aspx [Accessed: 18 Feb 2014].
Subway.com. 2014. Social Responsibility. [online] Available at: http://www.subway.com/subwayroot/about_us/Social_Responsibility/default.aspx [Accessed: 18 Feb 2014].
UK Essays, A. A. 2014. Global transportation and logistics industry. [online] Available at: http://www.ukessays.com/dissertations/transportation/global-transportation-and-logistics-industry.php
[Accessed: 25 Feb 2014].

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...Contents 1. Introduction 2 2. Objectives 2 3. Business Environment 2 3.1. Demographic environment 2 3.2. Economic environment 2 3.3. Geographical and ecological environment 3 3.4. Legal environment 3 3.5. Technological environment 3 3.6. Social environment 3 3.7. Educational and cultural environment 3 3.8. Political environment 3 4. About Mahindra & Mahindra 4 5. Task 1. 5 6. Task 2. 6 6.1. Market Penetration 6 6.2. Market Development 7 6.3. Product development 7 7. Conclusion 7 8. Recommendation 8 9. References 8 1. Introduction The term business is understood and explained in different ways by different people. For some, business is an activity, for some it is a method of transacting, for sonic others, it is a method of money making and some people argue that business is an organized activity to achieve certain predetermined goals and objectives. Based on all these meaning of justness, we may define business as gainful activity through which various elements of society conduct exchanges of the desirable things. 2. Objectives  To understand what the business environment is and why this is important for a company  Management student to understand its fundamental concept on business activity  To develop a right perspective about business environment 3. Business Environment Business involves activities, which links an organization with outside world. Within an organization, a business is governed by the behavior of its employees, management...

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...The Business Environment Many new businesses get started with the best intentions in mind, yet they fail to change with the fast moving business environment which causes them to not be in business very long. This paper examines the business environment and its impact on the economy. First, this paper describes the role of business in the economy. It compares and contrasts the roles of for-profit and non-profit organizations in the economy and discusses the impact of current fiscal and monetary policies on the economy. Also, it outlines a strategy to access global markets. Finally, it discusses the impact of a company’s level of social responsibility on a stakeholder. The Role of Business Businesses are the engine of the economy. Businesses rely on the factors of production, which include four fundamental resources; natural resources, capital, human resources, and entrepreneurship (Kelly & McGowen, 2010). There are five key dimensions that will help determine if the economy will worsen or prosper. These five dimensions include the following environment: technological, competitive, global, social, and economical. For Profit and Non-Profit Organizations Comparison There are many similarities of for profit and non-profit organizations. Both types of organizations provide products or perform services, employ staff, and receive revenue. These organizations also contribute the region’s economic growth and stability (Kelly & McGowen, 2010). Contrast There...

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...Lela Jones Business Environment Task 1 1.1 Identify the purposes of different types of organisations. A business organisation is a collection of people, collaborating in a coordinated, structured and managed way to meet shared aims and goals. Organisations will come in all shapes and sizes, but will all have a common factor of goal orientation. “A system that coordinates people, jobs and technology and management practices to achieve a goal” Umstot (1998). A business will always be owned by someone whether it’s an individual or hundreds, with different types of ownership and objectives. Although profit may not always be the main objective, as those of charities or government run enterprises, some profit will need to be made for them to continue in business long term. The majority of organisations will aim to make a profit however small or large. There are many types of business organisations, including sole traders, partnerships, public limited companies, private limited companies, franchises and those in the public sector e.g. local authority and N.H.S. Sole Traders This is a business owned by one person, and the most common according to BIS (Department for business innovation and skills statistical release 2013), its estimated 62.6% of UK businesses are sole traders, but as there is no central register for them it is hard to establish exact numbers, a sole trader will employ one or more people, and can easily be set up compared to other types of organisations,...

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...The Business Environment Monica Thompson Prof Marilyn Fitzpatrick BUS 100 May 6, 2013 Author Note This report is written and submitted as an assignment for BUS100 (Intro to Business) class by Professor Marilyn Fitzpatrick in the spring semester of 2013 Abstract Business is any activity that provides goods and services in an effort to earn a profit. This paper will discuss the role business and the different affects business has on society today. The roles of for-profit and nonprofit organizations will be compared and contrasted. This paper examines the impact of the current fiscal and monetary policies on the economy. A selected product or service will have a strategy for accessing global markets outlined. In the world of business, there are certain constants that exist throughout. One the most important factors being the overall environment itself. The term Business Environment is pretty self-explanatory, and means exactly what it sounds like. The Business Environment is simply a set of different conditions and variable that dictates the nature of the current business environment. The role of business becomes an important factor in determining the flow of this current environment. Business, whether it is large or small scale, is the heartbeat of any economy. Companies that primarily focus on profit margins and financial rewards differ from those that business models consist of mission statements usually geared toward promoting the “greater good”. For-profit...

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... Surname Carty____________________________ Intake one First Name _Clive__________________________ Programme HND Buisness Management_____________________________ Module Code Unit One_________________________ Submission Date19/05/2013 _______________________________________ Module Name_ Individual Assignment ___________________________________________________________________________ Assignment Title Business Environment ..................................................................................................................................................... ................................................................................................................................................................................. NOTE 1 THIS ASSIGNMENT COVER SHEET NEEDS TO BE COMPLETED AND RETURNED WITH YOUR ASSIGNMENT. FAILURE TO SUBMIT A COMPLETED COVER SHEET WILL RESULT IN YOUR WORK NOT BEING GRADED DECLARATION I have read and understood the London School of Business and Finance (LSBF) Regulations and Policies relating to academic misconduct. I declare that: This submission is entirely my own original piece of work. It has not been submitted for a previous assessment in LSBF or any other institution. Wherever published, unpublished, printed, electronic or other information sources have been used as a contribution or component of this work, these are explicitly, clearly...

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...The Business Environment I believe businesses have a huge role in today’s economy. The most important role I believe is providing jobs, which is a necessary part that business plays in any and all economies. The economy of the country is dependent upon the employment provided by big and small businesses and production of goods and services that we rely on in our day to day lives. Without businesses, you are unable to have any sort of a free market economy. Businesses also tend to provide the innovations and or an idea that makes the markets grow. Small businesses employ large numbers of people. They are necessary to molding a sense of independence, risk-taking, self-reliance, and personal achievement The comparisons and differences of Non Profit and For-Profit organizations and similar but yet still not the same you have to understand the meaning of profit. In business, profit is a word used to describe earnings. A nonprofit organization has a mission that benefits the community, society, or the world at times. It doesn’t any pay taxes, but it also cannot use its funds for anything other than the mission for which it was formed. Nonprofit organizations can and do make a profit, but it must be used only for the operation of the organization. The strength of a nonprofit is its efficiency in meeting consumer demands at minimal cost. Non-Profits meet these demands through work performed by volunteers, tax deductible contributions by taxpayers and direct government assistance ...

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...Assignment 1: The Business Environment Lisa Oliver May 7, 2013 The cornerstone and prosperity of any society depends on business. Through business, companies create resources that enable social development and welfare. Because we have a capitalistic economy, business is the main component of it. Business is in every corner of every sector of the market. Most everything you can possible think of that relates to the economy is business. Retail, services, agriculture, manufacturing, health care, even political campaigning all involves business. Even when civilizations were based on an agricultural type of economy, business transactions occurred. Businesses provide goods and services that our daily lives depend on and also create employment. It is through business that the government is paid taxes from, to make it function. Business helps to develop, produce and supply goods and services to people (customers) who need it. This is done with a view of creating profit. Business helps people to fend for themselves by focusing on producing product or by expertise. Business also helps society to create jobs for customers, distributors and suppliers. It helps to develop new goods and services and to supply goods and services that customers may not produce. For-profit organizations are those organizations established mainly for profit purposes. These organizations are important in the economy for they involve research and development. This leads to better and dynamic efficiency...

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...The Business Environment 1. Describe the role of business in the economy. Have you ever wondered why there are so many businesses in the world? Or why do we need them all? Business is what keeps the economy moving forward. If you think about it the more business there are out in the world the more people that have the opportunity to gain employment. Employment levels influence a range of other standard-of-living metrics, such as disposable income, home foreclosure rates and new small business startups. When business are doing well the economy benefits. For example banks are more willing to lend consumers money. Interests rates are lower some businesses even given back to the community. 2. Compare and contrast the roles of for-profit and nonprofit organizations in the economy. You would think that all business is out to make money. However that is not the case. There is such a thing as non-profit organizations. A business is an organization or economic system where goods and services are exchanged for one another or for money. Non-profit Organizations commonly known as NPO are associations, charities, cooperatives, and other voluntary organizations formed to further cultural, educational, religious, professional, or public service objectives. Their startup funding is provided by their members, trustees, or others who do not expect repayment, and who do not share in the organization's profits or losses which are retained or absorbed. Businesses pay a significant portion...

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...THE BUSINESS ENVIRONMENT STUDENT TEACHER BUSINESS 100 28 APRIL, 2012 ABSTRACT This paper is going to describe the business environment in the world today explaining the role of business in the economy, for-profit and non-profit organizations, fiscal and monetary policies, accessing the global market, and social responsibility to a stakeholder group. Although there are many different types of businesses in the world today, they all hold the same functions in the economy; to use the factors or production in the best possible way to reach a certain market supplying goods and services to an economy in search of profit. I used the Business 100 book along with credited sources to get information for this paper. My methods for finding information came from chapters one through four in the Business 100 book and searching key words on the internet. I concluded that the role of business in the economy is very important to how an economy progresses or declines. Business does this by operating by fiscal and monetary policy in the country and accessing global markets in search of new outlets worldwide all while pleasing the stakeholders in every category. Inside every economy there are factors that participate in how that economy succeeds or fails. Business is one factor that plays a major role in any economy. Without business there essentially is no economy. Whether it is for profit or non-profit, business can contribute to an economy’s development with the factors of production...

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...The Business Environment Describe the role of business in the economy. A business is any activity that provides goods and services in an effort to earn a profit (Kelly / McGowan). The economy of the country depends upon the employment provided by big and small businesses and produces the goods and provides the services upon which we rely on in our daily lives. Businesses pay taxes to the government and allow the government to function on the tax collected from them. Hence business is the pivotal part of economy. “It is now a widely held view that a new era has dawned in which businesses must adopt a new conception of their mission, purpose and conduct, by endorsing and implementing corporate social responsibility. In The Role of Business in the Modern World, Professor David Henderson argues that now, as in the past, the primary role of business is to act as a vehicle for economic progress. This role depends upon business enterprises operating within the framework of a competitive market economy (David Henderson, “The Role of Business in the modern world, The Enterprise Institute).” Compare and contrast the roles of for profit and nonprofit organizations in the economy. Nonprofit business, like establishments that employ people and produce goods and services with the fundamental goal of contributing to the community rather than generating financial gain (Kelly / McGowan). Nonprofit organizations have to be present in the economy to create services and goods that are...

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