Assignment 1 Business Operations -Engineering Company Operations
Task 1 (P1)
1a) Identify and explain the different business sectors in which engineering companies
operate.
There are a few different types of business sectors in which different engineering companies
fall under which are the following -
Primary: These are having the raw materials. For example, metals and coal which need to be
mined, oil which can be drilled from the ground, foods that are farmed. Primary sectors are
sometimes known as extractive production.
Secondary: Secondary business sectors are companies which are in manufacture and
assembly process. This mainly involves turning raw materials into actual components for
example; making plastics from oil. This sector is also part of the assembling process (building
of roads, houses etc).
Tertiary: A tertiary business sector is slightly different to the above as it refers to the
commercial side of a business supporting the production and distribution processes. The
most common example of these are; insurance, transport and advertising. These can also
offer teaching services.
b) For each business sector identify a company operating in that sector.
Primary: BP
Secondary: Knorr-Bremse
Tertiary: Giorgio Armani
c) For each company explain the core business activity that it carries out in that sector.
BP – The core business activity that BP carries out in its sector which is primary is to drill for
oil and extract it.
Knorr-Bremse – The core business activity for Knorr-Bremse which sector is Secondary is the
manufacturing of raw materials and to assemble.
Giorgio Armani – Retailing of clothing products
Task 2 (P2)
For each of the companies below explain the type of business ownership and describe the
key features of that ownership type.
(i) Morgan Cars – Morgan cars are privately owned (private limited company) as
it’s a family business. The key features of a private limited company (LTD)
are; it is run by a select few individuals, shareholders are not able to trade
publicly. An investor will only lose the initial stake if the company goes bust.
Task 1 (P1)
1a) Identify and explain the different business sectors in which engineering companies
operate.
There are a few different types of business sectors in which different engineering companies
fall under which are the following -
Primary: These are having the raw materials. For example, metals and coal which need to be
mined, oil which can be drilled from the ground, foods that are farmed. Primary sectors are
sometimes known as extractive production.
Secondary: Secondary business sectors are companies which are in manufacture and
assembly process. This mainly involves turning raw materials into actual components for
example; making plastics from oil. This sector is also part of the assembling process (building
of roads, houses etc).
Tertiary: A tertiary business sector is slightly different to the above as it refers to the
commercial side of a business supporting the production and distribution processes. The
most common example of these are; insurance, transport and advertising. These can also
offer teaching services.
b) For each business sector identify a company operating in that sector.
Primary: BP
Secondary: Knorr-Bremse
Tertiary: Giorgio Armani
c) For each company explain the core business activity that it carries out in that sector.
BP – The core business activity that BP carries out in its sector which is primary is to drill for
oil and extract it.
Knorr-Bremse – The core business activity for Knorr-Bremse which sector is Secondary is the
manufacturing of raw materials and to assemble.
Giorgio Armani – Retailing of clothing products
Task 2 (P2)
For each of the companies below explain the type of business ownership and describe the
key features of that ownership type.
(i) Morgan Cars – Morgan cars are privately owned (private limited company) as
it’s a family business. The key features of a private limited company (LTD)
are; it is run by a select few individuals, shareholders are not able to trade
publicly. An investor will only lose the initial stake if the company goes bust.
