Unit 1: The Business Environment M1 D1
M1 D1
Unit - 1 (The Business
Environment)
BTEC National Diploma In Business Level 3
The Date
Author: Your Name
Your Teacher
1
,Unit 1: The Business Environment M1 D1
Unit 1 – Business Environment
On completion of this unit I should:
1) Know the rage of different businesses and their ownership
2) Understand how businesses are organised to achieve their purposes
3) Know the impact of the economic environment on businesses
4) Know how political, legal and social factors impact on business
Task 3:
a) Explain the points of view of different stakeholders seeking to influence the aims and
objectives of two contrasting organisations.
b) Evaluate the influence different stakeholders exert in one organisation.
2
, Unit 1: The Business Environment M1 D1
Stakeholders in business
Stakeholder – is a person, group or organization that has interest or concern in an organization.
All organisations are influenced by a wide range of individuals from both within and outside of the
business. Also any businesses have different types of internal and external stakeholders, with
different interests and priorities. It is important to identify what is influencing business activity in the
area.
Internal stakeholders are groups within a business, e.g. owners and workers.
External stakeholders are groups outside a business, e.g. the community.
External
Internal
Stakeholders
Stakeholders
Government
Owners Customers
Shareholders Suppliers
Employees Trade Unions
Local community
Competitors
In planning any business project, one of the first steps is identifying all possible stakeholders. If
this is not done thoroughly, there is a risk of project delays and, potentially, cancellation. In
identifying stakeholders, consider the societal consequences of the project with respect to differing
views of the concepts of justice, equity and social rights. These are broadly influential aspects of a
project and can be in direct opposition to the financial and functional stakeholders who expect to
draw benefit from the project.
In handling its stakeholders, a business also has to accept that it will have to make choices. It is
rare that “win-win” solutions can be found for key business decisions. Almost certainly the business
cannot meet the needs of every stakeholder group and most decisions will end up being “win-lose”:
Thus, supporting one stakeholder’s views means another misses out.
3
M1 D1
Unit - 1 (The Business
Environment)
BTEC National Diploma In Business Level 3
The Date
Author: Your Name
Your Teacher
1
,Unit 1: The Business Environment M1 D1
Unit 1 – Business Environment
On completion of this unit I should:
1) Know the rage of different businesses and their ownership
2) Understand how businesses are organised to achieve their purposes
3) Know the impact of the economic environment on businesses
4) Know how political, legal and social factors impact on business
Task 3:
a) Explain the points of view of different stakeholders seeking to influence the aims and
objectives of two contrasting organisations.
b) Evaluate the influence different stakeholders exert in one organisation.
2
, Unit 1: The Business Environment M1 D1
Stakeholders in business
Stakeholder – is a person, group or organization that has interest or concern in an organization.
All organisations are influenced by a wide range of individuals from both within and outside of the
business. Also any businesses have different types of internal and external stakeholders, with
different interests and priorities. It is important to identify what is influencing business activity in the
area.
Internal stakeholders are groups within a business, e.g. owners and workers.
External stakeholders are groups outside a business, e.g. the community.
External
Internal
Stakeholders
Stakeholders
Government
Owners Customers
Shareholders Suppliers
Employees Trade Unions
Local community
Competitors
In planning any business project, one of the first steps is identifying all possible stakeholders. If
this is not done thoroughly, there is a risk of project delays and, potentially, cancellation. In
identifying stakeholders, consider the societal consequences of the project with respect to differing
views of the concepts of justice, equity and social rights. These are broadly influential aspects of a
project and can be in direct opposition to the financial and functional stakeholders who expect to
draw benefit from the project.
In handling its stakeholders, a business also has to accept that it will have to make choices. It is
rare that “win-win” solutions can be found for key business decisions. Almost certainly the business
cannot meet the needs of every stakeholder group and most decisions will end up being “win-lose”:
Thus, supporting one stakeholder’s views means another misses out.
3
