BITE College Unit 1 Business Environment
Here in this BITE College Business Environment Assignment we discuss Sainsbury PLC..The global factors, the policies of the European Union pay a significant role in deciding the behaviour of the organization in Europe and outside world. All these will be discussed in this paper.
Task 1: Understand the organization purpose of businesses
P 1.1 Explain briefly the following types of organisations and their purposes:
There are various types of organizations which are available in the market or which are possible but there are mainly 4 of them which is very popular and which is followed by most of businesses. These 4 types of business organization will be Sole proprietorship, partnerships, corporations, and Limited Liability Companies (LLC). These 4 types of organizations are completely different from each other in their structure and in the way they own the ownership of the organization. To start with Sole proprietorship, as the name suggests it is having a single owner who owns all the responsibility of the organization activities. Then there are partnerships where the number of partners can vary from 2 to 20 (Börzel, 2003). The ownership for the business activities is decided between these partners. The profits of the business are divided among the partners according to their alignment.
Let us discuss the type of business the following organizations are and what their purposes are:
Virgin Group Ltd: Virgin Group is MNC organization which started by British. This is one of the most popular organizations which have space in many sectors like telecom, mobiles, health and wellness, finance, travel, music, holidays, leisure, etc. This company has a global presence and has to deal with the different policies of different countries while doing business. Virgin Group is an example of Sole proprietorship which is owned by a single owner named as Branson
Sainsbury plc: It is one of the most popular chains of super market in UK and stand in the third place in UK. The share of supermarket in UK which is captured by Sainsbury is 16.7 per cent approximately. This was started in the year 1869 by John James Sainsbury in London. In the year 1995 it was overtook by Tesco to become the market leader in this sector. It has a lot of shareholders and the maximum shares owned by the family for Sainsbury is Lord Sainsbury of Turville with 4.99%.
McDonald’s: McDonald’s Corporation is the world largest chain of hamburger fast food seller. It is based in US and has presence in all over the world. It is one of the most famous fast food centres in the world and serves in more than 119 countries. The model they follow is franchise model.
National Health services: This is the largest recruiter in UK and is a public sector company in the UK. The organizations runs on the funds provided by central taxation and their objective are to secure of the people in the country.
P1.2 Considering Sainsbury PLC, describe the extent to which it meets the objectives of its different stakeholders.
There are different stakeholders in the organization as we have discussed earlier and all of these stakeholders have their own interests to be linked with the business. It is responsibility of the organization to meet the objectives of these stakeholders to keep them happy and make them support the business in the way they do. Sainsbury PLC also does a lot of activities to make their stakeholders happy by meeting their objectives. Different stakeholders have different objectives and they have to be dealt accordingly. The main stakeholders whose objectives need to be satisfied are customers, employees, suppliers, investors, government, etc. (Cannon, 1978). The investors want to have a better rate of return on their investment. This is taken care by Sainsbury that they provide better rate of return to their investors and keep them happy. Other important stakeholders are the customers. Sainsbury also take good care of their employees by providing they want they want at the best rates and of good quality. Sainsbury also provide good customer service to keep their customer happy and meet their objectives properly. Employees are also the stakeholders of the company. Sainsbury take care of their employees and provide them all the facilities and better opportunities to grow. They also give awards and rewards to its employees for their contribution towards the better performance of the company. They also satisfy their lenders by keeping their confidence intact in the Sainsbury’s performance. Apart from them, government are also another stakeholder which is affected by the business activities. The organization Sainsbury keeps the government happy by giving their taxes at time and following all the business regulations that are laid by the government for Sainsbury.
P1.3 Considering Sainsbury PLC, explain its various responsibilities as an organisation and the strategies it employs to meet them.
Being such a big organization there are many responsibilities which are associated with such business houses. These responsibilities are towards the customers, government, society, etc. The business has to make sure that they fulfil all their responsibilities and perform their roles. Sainsbury also fulfil the responsibilities which it needs to fulfil. The responsibilities which Sainsbury fulfil are social responsibility, environmental responsibility, and employee responsibility to government responsibility, etc. Sainsbury fulfil the social responsibility by indulging in the corporate social responsibility activities (Helpman, 1989). There are many social activities which are adopted by the organization Sainsbury like protecting the environment and plantation activities. Sainsbury also use these activities to create a strong brand. They also promote to create a pollution free environment by decreasing the pollution and to use renewable sources of energy. They avoid releasing hazardous materials in the environment and encourage others also to do the same. This way they are playing their part in the environment and social responsibility to help keep the environment pollution free as far as possible.They have been avoiding the plastic usage and encourage people to avoid the use of plastic. They make sure that they do a lot for the society from where they make so much of money. They provide employment to the poor people. They also do the government responsibility by following the policies that are being made for the organization while doing their business activities. They also pay all their taxes in time and make sure that do their part as a responsible organization in the development of the region. Order Now