The assignment is based on knowledge about business & its operations, the activities operating in environment and influence by the external factors. The current study is related with Iceland Foods Ltd, a private British supermarket chain performing their operations in UK. Business should maintain relationship with its stakeholders for making decision useful for organization. It also focuses on internal strength and weakness, rules and regulations which are affecting business practices of Iceland Foods Ltd
Business environment is described as integral part for effectively managing business activities in composing of customers, employees, business policy etc. Business environment helps in determining type of operations that will be useful in the environment context, it focuses on business segment and product line. Plans and strategies are formulated by firm by which they can effectively perform business activity thus enhancing growth and profit index. The present study has been conducted on Iceland Foods Ltd which is a private British supermarket chain operating business in UK. The company has an approximate market share of 1.8% in UK food market. The entity conducts its business in competitive market place and it sells frozen foods including meals and vegetables. Thus, as per the research study, specific information about the market structure of Iceland Ltd has been discussed and along with the same, researcher has also stated several aspects that determine output decisions of the business entity. Furthermore, discussion has also been made on impact of competition policy and other regulatory mechanisms that affect the business practices. Stakeholders play crucial role in the organization; thus the ways through which Iceland manages stakeholder's interest are also discussed in the present research study. Lastly, the benefit of international trade to UK business organizations and to Iceland is also stated.
Understand the organizational purposes of businesses
1.1 Identify the various types and purposes of different business organizations
Different types of organizations exist and operate within an economy. The varied range of business units that operates within country are detailed underneath.
Sole proprietorship: The business unit that operates at small scale and is registered as sole proprietor is referred to as sole proprietorship. It is owned and controlled by single owner who takes entire responsibility of managing business operations.
Partnership: Partnership is best method of starting business unit as less amount of capital is invested because firm is owned and controlled by two or more partners. The partners mutually manage business activities and shares all profits and losses.
Voluntary Sector: These are classified as nonprofit organization and their main aim is welfare for the people of society for uplifting them and in turn growth of overall economy.
Publically listed company: This form of businesses is listed as a publically listed company and their operations are controlled by state, central and local government bodies. The business unit is managed by top management and owned by shareholders. It is listed as a company whose real owners are shareholders.
Virgin Group Ltd: This is one of the most important leading investment group which is having their global identity & good brand image. Richard Branson was the founder of Virgin group their product line range from travel, leisure, mobile, financial services etc. They are having their presence in 50 countries with more than 50,000 employees The main purpose of this group is to provide quality product to its customers along with profit margin, serving as brand at global scale.
Iceland supermarket: Iceland supermarket is a private retail entity and the business provides all type of food services to the consumers. In other words, it can be said that Iceland supermarket is large retail firm which is providing retail products to the general public. Iceland began business in 1969 and afterwards the establishment of business, numerous stores has been opened by the business entity. The business sells all food services and this helps the entity to operate the business with Spanish based retailer overseas (Yannelis, 2004). The main purpose of Iceland supermarket is to deliver prominent services to the clients so that they may not switch to another brand.
Mc Donald’s: This cooperation is an American based company having its operations across the globe, they are identified as largest chain offering fast food products at global scale, mainly recognized by selling hamburgers. The firm is having their presence in more than 119 countries having 3500 outlets across globe. Mc Donald have underway their journey from 1954 by Ray Kroc and they are presently serving more than 70 million people every day.
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Cancer research: Cancer Research UK is a cancer research and awareness charity in the UK and that works as a charitable organization. The main purpose of cancer research is to treat patients suffering cancer issues. It raises money through donation, legacies, events, retail and corporate partnership and community fund raising (Shaikh, 2010)