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Business and Business Environment Assignment Sample

Introduction - Business Environment Assignment

This report plans to find out about business, and its condition in different organisations, it particle, its business will give a short presentation about the organisation, its business condition, its size, scope, reason, nature, its inward and outside perspectives, swot investigation, pestle examination, it will give the detailed portrayal of the positive and negative effect of macroscale and microenvironment in the organisation, it will give a concise conversation of connection between various organisation structure, its favourable circumstances, and inconveniences, and so on the organisation is where a gathering of people groups attempts to accomplish the future goals. This will give a nitty-gritty depiction and appropriate legitimisation of the considerable number of focuses secured. Thus all the focuses will be secured under the reference of PREMIER INN Company. It is a British hotel chain having 72000 rooms in 8000 hotels around the globe. 

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LO1 and LO2

P1. Explain different types and purposes of organisations; public, private and voluntary sectors and legal structures.

Various sorts of organisation are:-

  • The public organisation is an organisation or enterprise where responsibility for the organisation is disseminated among open investors. In this, it is an open market for the open where the general population can purchase the offers, at first, all the open organisations were private however now as organisations satisfy government rules and guidelines and meet necessities thus later it set up as an open organisation (Pinto, 2018). The legitimate structure for open is that it is possessed by the government and serves open as opposed to concentrating on benefit.
  • The private organisation is an organisation, partnership or affiliation that isn't built up by benefit or run by the administration. It is predominantly settled for bringing about more benefit and which have no administration obstruction. The lawful structure for private is that it is claimed by the gathering of investors (Hamiltonand Webster, 2018). For instance, the PREMIER INN Company, its primary design is to cause more benefit and help people groups monetarily.
  • Voluntary segment it is a type of a gathering of people where basic intrigue people groups meet and consent to an arrangement to accomplish wanted objectives and targets. The lawful structure for willful is that it is possessed by the gathering of individuals with government intercessions (Hamiltonand Webster, 2018). 

P2. Explain the size and scope of a range of different types of organisations.

Size and extent of various organisation

There is variety of business organisations exists around in an economy. They are differentiated on the basis of their scale of operation, they are named as the small scale, medium scale and the large scale enterprises. The market share of the small enterprise is very minute. Their capital investment is also low and they operates in a low competition segment. However, they have higher degree of failure, if a new large and medium scale organisation enters their segment. This is because of the economy of scale of operations, which suggests that as the production size increases the marginal cost for the additional unit declines. Therefore, due to this fact they are vulnerable to the new entrants in their segment (Hamilton and Webster, 2018).

The middle scale enterprises have a greater degree of competition, assets and operations that the small scale enterprises. They operates with a higher market chunk than the small scale and lower than the large scale enterprises. Their technology is also advance than the small scale industries. They also have a greater scope of being included in the large scale, as they have growth potential.They can confront the competition due to their assets chance because of the competing forces which are stated as large scale organisations. The risks as well as the assets of the large scale organization is also high.  The large scale firms have large amount of capital and they operates on the economies of scale (Surin, et al., 2016).

Franchise: the francising permits the user to utilize the technology, brand name and other facilities of the franchiser through the contract in which the both parties agrees to share the profits by charging some lump-sum fees. This grants the other party the rights to use the resources to produce the goods and the services by maintaining the standards. 

Joint Venture: it is a form of business partnership in which the two compaies or parties agrees to share the technology and the resources to produce the better quality products and services. The companies enters into these forms when the both parties have higher desires but they are constrained to accomplish them on their own.

Licensing: it alludes to a course of action among licensor and licensee where last gathering would secure the option to utilize items and merchandise where the proprietorship stays with the licensor though Franchising alludes to a game plan among franchiser and franchisee where the last will appreciate the responsibility for business for the benefit of the franchiser in lieu of a charge where the procedures are firmly constrained by franchisor along these lines it is by and large observed that permitting is for items and products while the diversifying model is utilized more in administration giving industry (Quinlan, et al., 2019).

Structure of the various organisation

Each organisation’s structure, size, and extension is diverse as put against each other. As a Business Development Analyst of Premier Inn, it is of utmost importance to access the size, arrangement and the opportunity of the different sorts of companies. These are the three important aspects to make an organisation to achieve its targets and thrive in the industry.

Privately owned business is run and possessed by gathering of people groups. The size of the organisation is roughly 4-5 individuals, and its degree is predominantly concentrating on benefit. Henceforth privately owned business follow the top to down structure where to convey the higher needs to follow the chain of command.

NGO’s are controlled by regular intrigue gathering of people groups; its size is subject to a gathering of people groups; it predominantly centres around manageability of the environment. It follows the network organisation structure. 

M1. Analyse how the structure, size and scope of different organisations link to the business objectives and product and services offered by the organisation.

The different types of organisations exist to serve a different purpose in society; they have different scope and structure as well. 

  • Public organisation: they are the organisations which are open to the investment form the general public and institutions as well. They have to be registered at the stock exchanges where their shares trade. The structure of these organisations consists of the directors where some are independent (Yang and Gabrielsson, 2017). The head is the CEO of the organisations, which in some case is the director also. The general purpose of these types of organisations is to provide their investors with adequate returns during the normal course of business. 
  • Private organisation: these types of organisations have to size range from two individuals to a maximum of 50 in the United Kingdom. They are not registered with any stock exchange where their shares can be traded. They are mainly the organisation which can be termed as the small or medium (Hitchcockand Willard, 2017). The members liabilities are to the extent of their share in the business and there is no lower limit on the amount to incorporate the business.
  • NGO: they are the organisations which are set up to serve some special purpose mainly, for the welfare of the society in general. The general-purpose, like the other forms of business organisations, is not to earn a profit, even if generated, it is utilised to serve the purpose ahead. The factor which differentiates these organisations form the others is that they are exempted from the taxes (Hitchcockand Willard, 2017). They are not limited by the size; sometimes, there are persons appointed by the government to serve a particular cause. 

P3.Explain the Relationship between different Organisational Functions and how they Link to Organisational Objectives and Structure.

The markets are high on competition; consequently, the organisation ought to adjust to showcase request and be responsive. Organisations with poor structure won't endure. A very much characterised structure enables the organisation to understand its latent capacity and bolster its destinations. The organisational structure is also dependent upon the size of the organisation and their objectives:

Simple Structure

It is a straightforward structure for the organisations where the functions a least complex, that's why it is popular among the sole proprietory organisations (Buckleyand Carter, 2016).

Utilitarian (Centralised) Organizational Structure

is the most usually utilised hierarchical structure. Here, the organisation includes different offices, every office has individuals with comparative abilities: deals division, promoting office, account office, to give some examples (Geissdoerfer, et.al, 2018).

Framework Organisational Structure

it is a half breed of a solid and anticipated hierarchical structure. Here you have two order structures: vertical and level. A worker may have a place with a useful gathering, yet can likewise take a shot at a venture; this structure utilises the best of the two universes.

Bureaucratic Structure

This structure is appropriate for large organisations with complex tasks, and that need smooth organisation. They have a standard methodology and procedures.

Post-Administrative Arrangement

These types of organisations are created and have different principles and methodology. These organisations have a headquarters, including a few individuals. It energises worker investment, trust, individual treatment, and duty. 

These are the following benefits when the organisational structure is effective:

A hierarchical structure has an all-around characterised detailing structure. It diminishes grinding among representatives by explaining jobs and duties. Having a legitimate authoritative arrangement can carry enormous advantages to any organisation (Hitchcockand Willard, 2017). A couple of these advantages are:

  • It permits an organisation to develop.
  • Spotlights consideration on your vital objectives, rather than every office concentrating on its motivation.
  • Joins a gathering of individuals and focuses them towards a shared purpose.
  • Urges representatives to upgrade their abilities.
  • It settles on the dynamic procedure proficient, smoother, and quicker.

The modern-day organisations are complex machinery, where there are several functions such as advertising, human resource management, research and development along with the management of operations and the productions. The other functions are as the accounting, financing and customer relationship. The objectives are the main source on which the organisational functions depend upon. And also, the organisational structure also defines the functions of the organisation. Premier Inn Hotels has objectives to take the experiences of the clients to the highest levels of their satiation point. To accomplish this objective with others, the management of the organisation defines the functions which aid them to achieve their desired results.  For provide consistency in the experience among the variety of customers, the management ceaselessly monitors the efforts of their personnel. The agglomeration of the objectives of the organisation and their functions together provides the organisation with the enhanced quality of the services offered at the Premier Inn Hotels. The coordination among the different departments helps in the movement towards the converged goals of the organisation. The functions are also defined by keeping in mind the organisational structure as at the time of assigning the tasks to the employees the organisational structure matters to achieve the desired results. 

M2.Analyse the advantages and disadvantages of interrelationships between organisational functions and the impact that can have upon organisational structure.


  • The interconnections among the personnel from the different departments in an organisation can help to enhance the productivity of an organisation by coordinating each other (Hitchcockand Willard, 2017).
  • This also creates the family-like behaviour at the organisational level as employees have a better relationship with each other, makes them content and motivates them towards the accomplishment of the common target, which is always better for the business.


  • The more than sufficient interconnection among the departments can also lead to delay in the tasks, as employees would waste time trying to interconnect with the other departments (Hitchcockand Willard, 2017).
  • Sometimes some information is confined to a specific department, due to a higher degree of interrelations the information could leak to the other department and create the hurdles for the management.

D1.Provide a critical analysis of the complexities of different types of business structures and the interrelationships of the different organisational functions.

Business structures are the routes through which various kinds of organisations are framed. Different capacities are led in each sort of firm with various structures. However, the nature of those structures and their interrelations are not the same as each other which makesdistinction between the operations and the purpose different (Yangand Gabrielsson, 2017). NGO’s are there to serve the special purpose basically, the welfare, while the motives of the private and the public enterprises is to genrerate the profits. In this way, interrelations are among the few elements of the businesses that are more straightforward and basic in nature which disentangles the plan of action and by and large activities and execution.


In this part of the report, the macro factors of a business environment assignment help of the firms are discussed and their impact on the business and its operations. There is also a section in which there will be an analysis of the internal and external factors of the business environment. The section will also try to find the relationship of macro environment and the weaknesses and strengths of an organisation.

P4.Identify the positive and negative impacts the macro environment hasupon business operations, supported by specific examples.

The macro-environment is the classification of the factors that affect the business as a whole, not particular to the business or segment.

Political: The political framework and belief system of the ideological groups apply a great deal of impact in deciding the strategy which the business undertakings may receive. In each nation independent of the idea of the monetary framework, the administration assumes a functioning job as an organiser, controller, and advertiser of financial movement. Just the degree and nature of these jobs differ from framework to framework. In an entrepreneur monetary framework business corporates are exceptionally incredible, yet they need to work inside the parameters which are controlled by the board arrangements of the legislature. The belief system of the administration additionally shapes the world of politics of the nation. For instance, if there is political instability in a country would affect the business of Premier Inn Hotels. And if the government provides special assistance for the companies to concrete their feet on the business section like the cheap electricity, etc. (Bilic, et al., 2018).

Economic: these condition essentially comprises of the monetary conditions, for example, the nature of the economy, financial assets, level of salary, dispersion of pay, phase of financial turn of events, and so forth, and the monetary framework and approaches that the nation follows. For instance, when the economic situation of the country is going north the Premier Inn Hotels business would thrive. When the interest rates are high due to the inflation the hotel chains would not be willing to expand as they would not get the funds cheap (Ajayi, 2016).

Social:  the social factors are the factors which are due to the culture and the norms of the particular region. Around the globe, the culture changes even in the same country whether its language, clothing, perspective, etc. For a business organization to enter into a region or the marketplace consideration of the social factors is very useful and be cautious about the social sensitivities of the general public included. The positive impact of it can be that if the society, in general, considers the tourism a part of life the business of the Premier Inn hotels would go north. And if the company enters into the business, like the market in the middle east, they can have the language barriers in operating there (Hamilton and Webster, 2018).

Legal: The enactment which the administration edges, or revises from time to time, target executing different monetary arrangements figured by the legislature, for example, strategies identifying with permitting, restraining infrastructures, outside venture, conveyance and estimating, control of natural contamination, improvement of in reverse zones, import and fare, open division, little scope businesses, and so on. On occasion, the business likewise attempts to impact the legislature through campaigning or making open mindfulness or by compelling parliamentary discussions to make a positive arrangement system to support a business network. If the government passes law to not to serve alcohol at hotels, the Premier Inn Hotels' business will hit hard, and they have to abide by the law. The positive impact can be if the government allows FDI, then the hotel chain would get the fundings for its expansion form the investors in another country (Prajogo, 2016).

Technological: No nation, and so far as that is concerned, no business firm can bear to endure with the obsolete innovation. The general situation of business tasks has experienced a colossal change everywhere throughout the world because of quick track advancements in data innovation, PC innovation, and the correspondence segment. On account of these turns of events, the entire world has now shrivelled and is viewed as an agglomeration. For the positive impact, now customers can converse with anybody anyplace on the planet with a tick on the phone, making the business easy for the Premier Inn hotels. And on the negative front, this has made the competition a stiff one for the Premier Inn (Will and Mueller, 2019). 

Environment: Business is additionally influenced by the nature of indigenous habitat in a specific nation. There are a few organisations which can be built up just at a source where crude material is accessible. For instance, if the hotel is situated in an area which has beaches, might help to create a positive scenario for the organisation. Put differently, if the hotel is situated in an area where the connectivity is not good, it would harm the business (Surin, et al., 2016).

M3. Apply appropriately the PESTLE model to support adetailed analysis of the macro environment within an organization.

PESTLE analysis of the Premier Inn Hotels:

  • Political: the main portion of cash inflows for the hospitality industry comes from tourism. Therefore, government rules and regulations play a part in their business. As in the case of the Premier Inn Hotels, due to the COVID-19 pandemic, the shut-down by the government of tourists can be mentioned as under the premise of the government rules and regulations.
  • Economic: the economic factors are also crucial for the hospitality industry as it is one of the luxury industry, so recessions lead to hotels like Premier Inn lose out the business due to constrained spending by the customers (Hitchcock and Willard, 2017).
  • Social: the society and culture have a huge impact on the businesses as if there is a social norm of society to spend on tourism, the companies like the Premier Inn would thrive.
  • Technological: the technology plays a big role in attracting the customers and enhances their experience of staying in Premier Inn, as the company provides the WiFi services to the clients and CCTV secured system security.
  • Legal: as the world has become more interconnected in the recent decades, the tourism has become the main source of income for some countries, for hotels like Premier Inn, they can enter some market, where they are being provided with the tax benefits by the legal system (Fderica, et al., 2019).
  • Environment: in the regions where the climate is friendly throughout the year to have been the hotspot for the tourism industry to thrive, for the Premier Inn hotel chain, the company would not enter in a market where the weather is not suitable for the tourists (Quinlan, et al., 2019). 

P5.Conduct internal and external analysis of specific organisations in order to identify strengths and weaknesses.

The macro environment for the Premier Inn hotels is very dynamic, opportunities and the threats can arise from any front, to take up the matter with seriousness the managers of the hotel need to deal these factors with their diligent efforts towards it. The company need to rise up to the scenario and adapt accordingly, other way round is not possible, the company can go out of business. The macro level environment for the company under consideration consists of the political, economical, social, technological, environmental and legal issues (Quinlan, et al., 2019).

The augmentation of the technology can give distinctive business opportunities to the Premier Inn Hotels, in the event that they can take it. Innovation opens the door for the customers to get the instant reviews of the hotels and the hotels also allow the online platform to the customers which is also beneficial to both the customers and the business of the hotels. Nonetheless, the technological progress in the industry has made the competition very stiff as the customers can get to know the experiments of the clients who have used the hospitality services of the hotel earlier (Buckley and Carter, 2016).

Premier Inn Hotels need to be the first mover any technological progression in the industry, otherwise they cannot be able to tap the early benefits and make their hold of their place as the leaders. The policies of the government and the law of the land can also have the negative and the positive impact on the business of the Premier Inn Hotels. If the government provides special assistance like the subsidised land, tax rebate will help the organisation in a positive manner. Conversely, if the government put stiff rules and regulations on the industry, it would impact the company in a negative manner (Geissdoerfer, et al., 2018).

P6.Explain how strengths and weaknesses interrelate with external macro factors.

The Premier Inn Hotels' advantages and the disadvantages have straight forward link with the business. As the macro factors are the major factors that affect the normal course of the business. Consider a case where the legislation of the country does not allow the foreign companies to operate in the U.K., this would be proved to be a strength for the Premier Inn hotels, as they are given protection form any foreign competition. The micro level factors just have the impact on the native territory of the company, whereas the macro level factors have the impact form all dimensions. If a company has difficulties surviving in the native domain, it would not be probably effective for it to go global. The analysis and the mentality to assess the macro environment form the micro should be different (Geissdoerfer, et al., 2018).

Premier Inn Hotels after the proper analysis of their PESTLE factors or the macro environment can find out their advantage or the disadvantage and make the forward steps in accordance to their assessment. Suppose if the economy has been thriving for some time, this macro factor would turn into strength for the company as the better paycheck and the greater purchasing power or the ability to pay would enhance the business of the company towards the north direction. In this way, the advantages are interrelated to the macro environment for the Premier Inn hotels (Allen and Kraakman, 2016).

M4.Apply appropriately SWOT/TOWS analysis and justify how they influence decision-making.

SWOT examination of Premier Inn Hotels:










·         Greater base of customers

·         Leader in the industry

·         Wide area coverage around the globe

·         Higher profit margins











·         Low levels of liquidity in the recent years

·         Recent acquisitions have put burden on the profits of the company

·         Lower employee retention ratio(Pinto, 2018).








·         Company have acquired some of the best properties which can generate huge returns in future

·         They also have invested in improving the online portal to expand their business operations

·         Enter into the mid-price section of the industry(Martinez, et al., 2019).






·         Heavy dependency on high-end clients

·         Undiversified business

·         Brexit situation

·         The entry of new MNC's into the industry as they are also allowed due to the changed policy to operate in the UK (Gao, et al., 2017).



D2.Critically evaluate the impacts that both macro P4 and micro factors have upon business objectives and decision-making.

The macro and the micro factors affect the business objectives and the decision making of the manager at the Premier Inn Hotels. Accessing the micro factor such as the customers, the company has a fair amount of loyal customer base, and the objectives are mostly in regard to making the experience of the customer best in class to retain them as long as possible. On the front of the macro factor, the economic slowdown also has an impact on the objectives and decision making of the managers as the slowdown has caused the revenues of the company going south (Perera, 2017).


To wind up the report it can be concluded that the assessment of the business environment is an essential aspect for the businesses. The structure and the objectives play a big role in on the functions of the Premier Inn Hotel. The macro factors should also be scrutinized while going ahead with any business plan. These include PESTLE and SWOT as these analyses could provide the managers important information about the external and internal business factors that can be very crucial for business strategy formulation.


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