The Business Environment
P1- There is many types of business in the business world. For example there
are organisations that make profit, and there are some that are non-profitable
organisations. These can be such companies such as Tesco as a profitable
company. For non-profitable it could a charity such as Macmillan cancer
support.
Tesco: Tesco is a global retailing company which sell groceries and general
merchandise. Tesco can be found in many countries such as the U.K, China, U.S,
Japan, and many more. Tesco is a profitable business.
Tesco’s target customers are everyday people that need to shop whatever their
age, and whatever their wealth is. The purpose of this company is to provide
good service and provide good quality products for much better price. Its
purpose is also to maximise sales and to beat their competitors in sales, this is
so they make as much profit as possible.
So Tesco is a retailer therefore, Tesco fall down in the tertiary sector. This is as
they don’t make any of the products they sell and makes profit. Tertiary sector
because they provide services to consumers such as, whole sales, distribution
etc. They are secondary and primary as they have their own branded products
which they manufacture and sell themselves in store.
Ownership: Tesco is a public limited company (plc), which means it is owned by
a shareholder who has funded into the company. Tesco is owned by thousands
of people who have all funded into the business. As the business can have
shareholders, this suggests they could possibly be more than 1 or 2 owners.
Limited liability: If a business owner has "limited liability," it means that he or
she is not personally responsible for business debts and obligations of the
corporation. In other words, if the corporation is sued, only the assets of the
business are at risk, not the owners' (shareholders) personal assets, such as
their houses or cars. The corporation's owners must comply with certain
corporate formalities; keep up with paperwork requirements, and adequately
fund ("capitalize") their business to maintain this limited liability privilege.
P1- There is many types of business in the business world. For example there
are organisations that make profit, and there are some that are non-profitable
organisations. These can be such companies such as Tesco as a profitable
company. For non-profitable it could a charity such as Macmillan cancer
support.
Tesco: Tesco is a global retailing company which sell groceries and general
merchandise. Tesco can be found in many countries such as the U.K, China, U.S,
Japan, and many more. Tesco is a profitable business.
Tesco’s target customers are everyday people that need to shop whatever their
age, and whatever their wealth is. The purpose of this company is to provide
good service and provide good quality products for much better price. Its
purpose is also to maximise sales and to beat their competitors in sales, this is
so they make as much profit as possible.
So Tesco is a retailer therefore, Tesco fall down in the tertiary sector. This is as
they don’t make any of the products they sell and makes profit. Tertiary sector
because they provide services to consumers such as, whole sales, distribution
etc. They are secondary and primary as they have their own branded products
which they manufacture and sell themselves in store.
Ownership: Tesco is a public limited company (plc), which means it is owned by
a shareholder who has funded into the company. Tesco is owned by thousands
of people who have all funded into the business. As the business can have
shareholders, this suggests they could possibly be more than 1 or 2 owners.
Limited liability: If a business owner has "limited liability," it means that he or
she is not personally responsible for business debts and obligations of the
corporation. In other words, if the corporation is sued, only the assets of the
business are at risk, not the owners' (shareholders) personal assets, such as
their houses or cars. The corporation's owners must comply with certain
corporate formalities; keep up with paperwork requirements, and adequately
fund ("capitalize") their business to maintain this limited liability privilege.
