Types of organisation and legal structures

P1-explain different types and purposes of organisations;public,private and voluntary sectors are legal structures
 
In the world of business are 4 most common types of organisations,which are:
1.the sole trader
2.the partnership
3.companies
4. Franchising
5.Charity organisations
The sole trader
One of the most common forms of the business is the sole trader and is including in a wide range of activities (e.g.mobile fitters,mechanical work,plumbing,electrician work’ ). A very big percent of sole traders operate in the construction industry and in retailing, some of them in finance, and in catering.
To set up a sole trader business no complicated paper work is required.Every decisions can be made quickly. Close contact can be kept with customers and employees. Very good point of the sole trader is that all of profit go to the sole trader, who also has the satisfaction of building up his or her own business.
There are also some disadvantages.If you are sole trader you have to make all the decisions on your own, and you may have to work harder and longer (what do you do if you are sick or want a day off?) Like a sole trader you do not have limited liability, and you have to provide all the finance yourself. As a sole trader you need to be a jack-of-all-trades, and just because you are a good electrician does not necessarily mean you have a head for business strategy.

Read more: http://businesscasestudies.co.uk/business-theory/strategy/types-of-business-organisations.html#ixzz4S3XY0aeN
The partnership
The partnership can contain between two and twenty partners. However, the Partnership Act of 2002 has made it legal for some forms of partnership e.g. big accountancy firms to have more partners who also enjoy limited liability. People in business partnerships can share skills and the workload, and it may be easier to raise the capital needed. For example, a group of doctors are able to pool knowledge about different diseases, and two or three doctors working together may be able to operate a 24 hour service. When one of the doctors is ill or goes on holiday, the business can cope. Partnerships are usually set up by writing out a deed of partnership which is witnessed by a solicitor and sets out the important details such as how the profits and losses will be shared. Partnerships are particularly common in professional services e.g. accountants, solicitors, vets.

Read more: http://businesscasestudies.co.uk/business-theory/strategy/types-of-business-organisations.html#ixzz4S3d11YSi
Companies
The company should be owned by shareholders where the Directors give the direction of the business. The major decisions are made by the Chief Executive AND Specialist managers will be appointed to run the company on behalf of the Board.
The company is a legal body in its own right with an existence that is separate in law from its owners.
The Shareholders put funds into the company by buying shares. New shares are often sold in face values of ”1 per share but this does can be different for every one organization.
Limited liability is a form of business protection for company shareholders (and some limited partners). For these individuals the maximums sum they can lose from a business venture which they have contributed going bust is the sum of money that they have invested in the company – this is the limit of their liability.
Every company should be registered with the Company House, and should have an official address. The limited companies have Ltd after their name. The Ltd is smaller than public companies, some like Twix and Mars are very large. Shares in a private company can only be bought and sold with permission of the Board of Directors. Shareholders have limited liability.
Read more: http://businesscasestudies.co.uk/business-theory/strategy/types-of-business-organisations.html#ixzz4S3exvdKR
Franchising
Very big part of the retail sales today are made from organisations which operating under the franchise s like Subway’s which has a brand franchise. The franchising is becoming more and more popular in todays business world.
Franchising actually is using of already popular brand names. A franchise grants permission to sell a product and trade under a popular name in a particular area. The person taking out the franchise puts down a sum of money as capital and is issued with equipment by the franchising company. The company selling the franchise is called the franchisor and a person paying for the franchise is called the franchisee
The benefits for franchisee from trading under a well-known name and enjoys a local monopoly. Training is usually arranged by the franchisor. The franchisee is his or her own boss and takes most of the profits.

Read more: http://businesscasestudies.co.uk/business-theory/strategy/types-of-business-organisations.html#ixzz4S3kDNNgZ
Charity organisatioins
The charity organisations is a non profit organistion,which can be run publicly or privately. Some charities may be centered around religious, educational or other public interest activities that are philanthropic in nature. Depending upon the location of the charity, the legal definition of what constitutes a charitable organization may vary according to its country of origin. Therefore, the tax implications for a charity will also depend upon the region or country in which the charitable organization operates
Ref: http://smallbusiness.chron.com/charitable-organization-796.html

ref: http://www.google.co.uk/search?q=different+types+of+organisations&espv=2&biw=1366&bih=662&source=lnms&tbm=isch&sa=X&ved=0ahUKEwjsmLDdt9_QAhVKDsAKHTuhCyoQ_AUIBigB&dpr=1#imgrc=-HmLb8I8cETAbM%3A

p2:Explain the size and scope of a range of different types of organisations
Sole trader
The sole trader business is a small business which is made to create a self employment The sole trader business helps people to create work for them. This the way person not to looking for job outside, just to start I own small business. The sole trader can provide services to private individuals and to a bigger firms aswell. In this form of business, due to simple structure of organization, entrepreneur brings his own capital. He is organizer, operator, controller, decision maker, financier, and above all, responsible for all the success and failures of business.
Partnership
A partnership is a business owned by two or more people. In most forms of partnerships, each partner has unlimited liability for the debts incurred by the business. The three most prevalent types of for-profit partnerships are general partnerships, limited partnerships, and limited liability partnerships.
In this form , partners decide among themselves to which partner can be suitable for take part in affairs of business. As the partnership business is running on small size, the business organization structure is very simple.
Companies
The company is a organization which can contain between 2-200 shareholders. In the company every shareholders invest funds.How big the company is depends from that how many shareholders the company have and how big their investments are.The company can be very small like a’Nurat Ltd’which is a small distribution company,can be medium size like a ‘Kingsmill’ and can be world popular like ‘Coca-Cola’
Franchising
Franchises: A franchise is a system where entrepreneurs purchase the rights to open and run a business from a larger company.[6] Franchising in the United states is widespread and is a major economic powerhouse. One out of twelve retail businesses in the United States are franchised and 8 million people are employed in a franchised business.[7]
Ref: http://en.wikipedia.org/wiki/Business
Charity
A charitable organization is a type of non-profit organization (NPO). It differs from other types of NPOs in that it centers on philanthropic goals as well as social well-being (e.g. charitable, educational, religious, or other activities serving the public interest or common good). Charitable organizations often depend partly on donations from for-profit-organizations. Such donations to charitable organizations represent a major form of corporate philanthropy.
Ref: http://en.wikipedia.org/wiki/Charitable_organization
P3:Explain the relationship between different organizational functions and how they link to organizational objectives and structures
Every organization have to undertake 6 key functions in order to produce and sell their product or services. The key functions are:
1.Desigh and Productions
2.Finance
3.Human Resources
4.Sales and Marketings
5.Administration
6.Research and Development

Everyone of this functions have to work together,because every organization have the same aims and objectives.All of these functions have to work together with a communications between them and like that they become a key activity. A starting point for this type of communication is the creation of a clear set of company objectives which each function is aware of. These objectives then need to be further broken down into specific objectives for each function. Regular reviews of firstly how each function is performing against it’s objectives and secondly how the company is performing against it’s overall objective should ensure that the whole company is pulling in the same direction.For example to create a nice headturner desigh every organization have to do a proper research to see what is the model which is paid with maximum attention.Also to do a proper model of service or product every organization should consider that with the finance development.Human resources should consider the employment with the finance department of the organization and with administration.Sales and Marketing department should consider the new product future with the Research and Development department to create a competitive capable product.

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

Before to talk for negative and positive impacts,we should know what the macro environment means.There is one acronym-PESTEL,which perfectly describe the components of the business macro-environment.

Ref: http://www.google.co.uk/search?q=PESTLE&espv=2&biw=1366&bih=662&source=lnms&tbm=isch&sa=X&ved=0ahUKEwiX4p_jqeDQAhWkJsAKHY7dByEQ_AUIBigB#imgrc=Mlx8Mn1fFX8nTM%3A
Political; here we can consider political, but not legislative,problems.Its not question about only for local and foreign governmental activity here, but also the activities of organisations (such as NGO’s) and special-interest groups and the pressure they bring to bear on government policy. We should also consider the government’s general policies, plans and attitudes towards economic development in the country over the medium to long-term. Also, consider the possibility of elections and the possible outcome, whether peaceful and whether a political transition may take place.

Economic; This environment, perhaps more than any of the others, is the one that most influences business decisions, especially in developing economies that are prone to sudden and significant economic shocks from external sources. Businesses can be affected directly by some economic changes (e.g. interest rate changes on a business that borrows significant amounts) or indirectly (e.g. interest rate changes affecting the disposable income of the consumer).

Social; In this environment we consider the business’ broader market, i.e. its customers and their changing attitudes and values and the general trends that affect the way the market buys products and services.

Technology; The way in which technology has become more influential in all our lives is well known. However, how has it influenced the way in which businesses connect with their customers? Obviously, the rise of the Internet has changed the way many businesses deliver their products to the end-user and, indeed, there are many businesses that only now exist because of the presence of a suitable technology like the Internet. In this environment we should consider the impact that the possible changes in technology will have directly on the business ‘ perhaps in the way it manufactures its products, in the level of competition that it might encounter from businesses that were not in the same market place in the recent past, or, as mentioned above, in the way in which it delivers its products or services to the customer.

Ecological; There are two aspects to this environment. Firstly, the ecological issues have to be considered and, of course, not all businesses are affected by these concerns. In this part of the analysis we should consider the ecological impact of the business’ operations, remembering that negative public perceptions can have a significant impact on a business’ reputation and, ultimately, its level of sales. Secondly, there are some issues regarding the way in which the business treats its physical environment ‘ not in an ecological sense ‘ but in the way in which, for example, it plans its operations so that disturbance and noise are minimised.

Legal; This environment is similar to the political environment which we discussed earlier but analysis is restricted to only legislative issues, especially focusing on the effect that up-coming legislation may have on the business. This would include both changes to existing legislation and completely new legislation. Mostly, changes in this environment would have a direct impact on the business.
Ref: http://www.linkedin.com/pulse/understanding-impact-macro-environment-factors-essential-geoff-burton

In fixed political enviroinment the business growing up normally,make investments and the growing up becomes thanks the economical laws,which is the positive impact for the business environment.
In uncertain political environment the business making carefully investments.like that we can see a lower temps of growing of the business,the final business results a lower than in fixed political environment.
The political situation always affect hardly at every financial organization-markets and banks.They are the key point for the investment processes.

The business is very dependent from the economical situation.For example if the interest rate is changed.If the interest rate is small that makes the business to make big investments with the many which can take like a loan.That means less unemployed people,more taxes will be paid from the business and from the employment and less people will be staying on benefits.If the interest rate is high no further investment will be made and that means nothing will get better with business environment.

In the social environment everything depends of the customer prioritets.Depends of that how much the customer would like to spend and how much he prefer to save,buying new product or services.As much as the social individual like a customer is open minded for new ideas as better for the business.Also as mutch contacts and information regarding the business the producer have,the results will be higher and better.

Technology-one of the most important environment regarding the business in today modern world.Like we can see the technology becoming in to our world with day to day increase.Thanks to the technologys the business gets benefits with less need of people for them productions.Like we can see now in ‘Barclays’ for example the simple operations are not longer making from people.The new technology can do so many thinks for itselfs.This is a brilliant for the business because like that the business saving a huge amounts of salarys.At the other side this a very bad for the employment because this new technology taking place instead of the people which can do this kind of job.

Ref: http://www.google.co.uk/search?q=PESTLE&espv=2&biw=1366&bih=662&source=lnms&tbm=isch&sa=X&ved=0ahUKEwiX4p_jqeDQAhWkJsAKHY7dByEQ_AUIBigB#q=bank+smart+machine&tbm=isch&tbs=rimg:CY9OiWh2hMUSIjgN1rhml4pNR0gtLCXyIzo6yJlprwEk6qrFrCB_1uGnsr9_1Pn4BWQRXSppxy2M3nEULx6G8KSgBr7yoSCQ3WuGaXik1HEdDAhaCSx6iVKhIJSC0sJfIjOjoRPQCLlYsqxvwqEgnImWmvASTqqhGq0lTskjJZ0ioSCcWsIH-4aeyvEVbczXsxPOL2KhIJ38-fgFZBFdIRvQHbUzei9RgqEgmmnHLYzecRQhHldPw6KNCWwioSCfHobwpKAGvvEbxd5482dG2U&imgrc=hm4SztPCkNrWuM%3A

Ecological;firstly lets consider that not all business is affected by these concerns.Since starting the business activity and at all the time is good point our business to be ecological friendly.Like that we saving the nature,we didn’t get into confrontation with the environmentalists,we have respect from the people working for us,we making a lovely image of the business.
If we are not ecological friendly we creating pressure with the people and organisations,creating pressure in our employes and we have to work under pressure too.The bad image and the pressure are bad for the business environment.

Legal; This environment is similar to the political environment which we discussed earlier but analysis is restricted to only legislative issues, especially focusing on the effect that up-coming legislation may have on the business. This would include both changes to existing legislation and completely new legislation. Mostly, changes in this environment would have a direct impact on the business.
Ref: http://www.linkedin.com/pulse/understanding-impact-macro-environment-factors-essential-geoff-burton

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

EXPORING THE WORK OF SIMILAR BUSINESSES AND APPLY IN OUR WORK THEIR sucses experience.from our business learn from good history and did not apply the bad practices again.In ONE WORD taking the good opportunities thanks to the research and apply them to our business.

P6:explain how strengths and weaknesses interilate with external macro factors

If one organization is feeling like it need to improve something in to their activities they have to make threats with the organisations with success in the similar occupation.For example Nissan can improve their sales considering how the Mercedes is more successful in the uk market and improve themselves to the level of Mercedes.they have to get the opportunities from the success model.

Source: Essay UK - http://lecloschateldon.com/essays/law/types-of-organisation-and-legal-structures/


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