BTEC Level 4 Higher National Certificate in Business Unit 1 Business & the Business Environment
Aims & Objectives of the Assignment
The aim of this unit is to introduce learners to a range of business activities besides extending the knowledge and understanding of different functions of an organization and the influence of stakeholders on the business. What strategies are used to organize the organization effectively through strategic planning and organizational structures and satisfying all the stakeholders?
The learners will also explore the external and internal environmental factors and how the organizations adjust themselves to avoid the negative impacts of these factors and how these factors are used to enhance the competitive advantage of the organizations, which extend edge over competitors.
The course will also cover the internal strengths and weaknesses of the organizations and these are linked to the external environmental factors. The students will also gain an understanding through different case studies and apply the theory into practice.
The knowledge, understanding, and skillset gained in this unit will help students to choose their own preferred areas of specialism in future studies and in their professional careers.
Unit 1 BBE CECOS College London
Learning Outcome:
By the end of this unit, a student will be able to:
- Explain the different types, sizes, and scopes of organizations.
- Demonstrate the interrelationship of the various functions within an organization and how they link to organizational structure.
- Use contemporary examples to demonstrate both the positive and negative influence/impact the macro environment has on business operations.
- Determine the internal strengths and weaknesses of specific businesses and explain their interrelationship with external macro factors.
| Essential Unit Contents |
LO1: EXPLAIN THE DIFFERENT TYPES, SIZE, AND SCOPE OF ORGANISATIONS
Different types of organizations:
- Differences between for-profit and not-for-profit and non-government organizations (NGOs).
- Micro, small, medium-sized enterprises (SMEs). Different business purposes, objectives, and supply of goods and services.
- The range of legal structures associated with different forms of business: sole traders, partnerships, and private limited companies.
Unit 1 BBE CECOS College London
Size and scope of organizations:
- Differences between large, medium-sized, and small organizations including objectives and goals, market share, profit share, growth, and sustainability.
- Global growth and developments of transnational, international, and global organizations.
- Differences between franchising, joint ventures, and licensing.
- Industrial structures and competitive analysis.
- Market forces and economic operations e.g. scarcity and choice, supply and demand, income elasticity.
- Stakeholders and responsibilities of organizations to meet different stakeholder interests and expectations.
Unit 1 BBE CECOS College London
LO2: DEMONSTRATE THE INTERRELATIONSHIP OF THE VARIOUS FUNCTIONS WITHIN AN ORGANISATION AND HOW THEY LINK TO ORGANISATIONAL STRUCTURE
The various functions within an organization:
- The role of marketing, finance, human resource management, and operations within an organizational context and the interrelationships.
- How functions relate to the overall organization’s mission and objectives.
Organizational structure:
- Different structures depending upon the size and scope of the organization, including bureaucratic and post-bureaucratic, parent, strategic business units (SBUs), matrix, and functional levels.
- Organization structures and complexities of transnational, international, and global organizations.
| Essential Unit Contents |
LO3: USE CONTEMPORARY EXAMPLES TO DEMONSTRATE BOTH THE POSITIVE AND NEGATIVE INFLUENCE/Unit 1 BBE CECOS College IMPACT THE MACRO ENVIRONMENT HAS ON BUSINESS OPERATIONS
The context of the macro-environment:
- The application of the PESTLE framework and how organizations need to monitor and forecast external influences.
- How the macro environment influences/impacts upon business activities: the impact of the digital revolution on production and consumption; the impact of social technologies; cyberspace security; emerging BRICS markets, the global shift in economic and social power, and ethical and sustainable growth.
- How organizations go through the transformation process and overcome resistance to change in response to the changing market environment.
LO4: Determine the internal strengths and weaknesses of specific businesses and explain their interrelationship with external macro factors
Frameworks for analysis:
- Introduction to SWOT and/or TOWS analysis and how they can assist in the decision-making process within organizations.
- Key external macro factors including the competitive environment and government intervention that influence organizations and business.
Learning outcomes
In order to pass this unit, the assignment (that you present for assessment) needs to demonstrate that you can meet all the learning outcomes listed below.
| (LO) | Learning Outcomes |
| LO1 | Explain the different types, size, and scope of organizations |
| LO2 | Demonstrate the interrelationship of the various functions within an organization and how they link to organizational structure |
| LO3 | Use contemporary examples to demonstrate both the positive and negative influence/impact the macro environment has on business operations |
| LO4 | Determine the internal strengths and weaknesses of specific businesses and explain their interrelationship with external macro factors |
Business Case / Scenario Covering
You work as a Trainee Business Analyst for the North London Chamber of Commerce and Enterprise (NLCCE). Unit 1 BBE CECOS College The Chamber of Commerce and Enterprise, through practical on-the-ground support, helps individuals to set up businesses and firms to trade locally, nationally, and globally, including specific support for international trade and the impact of the business environment on businesses.
The chamber is planning to bring out a research report as part of the support for business owners and prospective business owners. This report will have two distinct parts:
Part 1: Organisational functions and their link to organizational structure
Part 2: The impact of the macro environment and external macro factors on business operations and the interrelationship with the internal strengths and weaknesses
PART 1 (Covering LO1 and LO2):
The team leader for this publication has tasked you to research the different types and sizes of businesses in their jurisdiction. You are responsible to develop a research report about different types of organizations. In your report, you must include organizations such as sole trader, partnerships, private, public or voluntary. You must highlight advantages and disadvantages along with some differences such as the size, scope, legal structure, and objectives of these organizations. You can also discuss if these organizations operate in the primary, secondary or tertiary sector.
Further, you also need to provide an analysis of different types of organization structures that your chosen organization is working with or it may be a competitor to that organization. In your answer, you must discuss the relationship between the different organizational functions/departments and how they link to organizational objectives and structure. You must use an actual organizational chart to help your discussion in your answer.
PART 2 (Covering LO3 & LO4)
Unit 1 BBE CECOS College Part B is about the understanding of the macro business environment and factors in which businesses operate. You are to identify the positive and negative impacts the macro environment has upon business operations, supported by specific examples. Using two of your chosen organizations in the first event, you are to conduct an internal and external analysis of the organizations in order to identify strengths and weaknesses and explain how the strengths and weaknesses identified interrelate with external macro factors.
You also need to apply appropriately the PESTLE model to support a detailed analysis Unit 1 BBE CECOS College of the macro-environment within one of your chosen organizations and a SWOT/TOWS analysis on any of your chosen organizations, justifying how they influence decision-making. Finally, critically evaluate the impacts that both macro and micro factors have upon business objectives and decision-making.
Submission Format
Your findings should be presented in a Formal Report Format to the Team Leader of the event and should include an overview of different types of organizations and the growth of the international business environment. Your report should be referenced using the Harvard referencing system. Please also provide a bibliography using the Harvard referencing system. The recommended word limit is 3,000 (+ /- 10%) words, although you will not be penalized for exceeding the total word limit.
Grading Criteria
This table outlines requirements for each grade (i.e. Pass, Merit, or Distinction).
| Pass | Merit | Distinction |
| LO1 Explain the different types, sizes, and scopes of organizations. | LO1 and 2 D1 Provide a critical analysis of the complexities of different types of business structures and the interrelationships of the different organizational functions. | |
| P1 Explain different types and purposes of organizations; public, private and voluntary sectors, and legal structures. | M1 Analyse how the structure, size, and scope of different organizations link to the business objectives and product and services offered by the organization. | |
| P2 Explain the size and scope of a range of different types of organizations. | ||
| LO2 Demonstrate the interrelationship of the various functions within an organization and how they link to organizational structure. | ||
| P3 Explain the relationship between different organizational functions and how they link to organizational objectives and structure. | M2 Analyse the advantages and disadvantages of interrelationships between organizational functions and the impact that can have upon organizational structure. | |
| LO3 Use contemporary examples to demonstrate both the positive and negative influence/impact the macro environment has on business operations. | LO3 and 4 D2 Critically evaluate the impacts that both macro and micro factors have upon business objectives and decision-making. | |
| P4: Identify the positive and negative impacts the macro environment has upon business operations, supported by specific examples. | M3: Apply appropriately the PESTLE model to support a detailed analysis of the macro-environment within an organization. | |
| LO4: Determine the internal strengths and weaknesses of specific businesses and explain their interrelationship with external macro factors. | ||
| P5 Conduct internal and external analysis of specific organizations in order to identify strengths and weaknesses. | M4 Apply appropriately SWOT/TOWS analysis and justify how they influence decision-making. | |
| P6 Explain how strengths and weaknesses interrelate with external macro factors. |
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