Download Learning Objective and Content Know how political, legal

BTEC Level 3 National Business
Unit 1 Assignment Brief
Unit 1
The Business Environment
Name:
1
BTEC Level 3 National Business
Unit 1 Assignment Brief
Unit Information
Unit Number/Title:
QCF Level 3:
Credit value:
Guided learning hours:
Author
Assessor(s)
1 The Business Environment
BTEC National
10
60
S. Curtin
S. Blunt
Aim
The aim of this unit is to give learners the fundamental knowledge of a range of
business organisations, and the many factors that shape the nature of organisations
operating in an increasingly complex business world.
Assessment Information
Before starting each task, you MUST be sure that you fully understand ALL of the
relevant content associated with that task.
You MUST also be clear about the nature of the evidence you need to produce for
each task.
All tasks MUST be handed in by the deadlines set.
Make sure that your name,
task number, page numbers
and bibliography are
included.
2
BTEC Level 3 National Business
Unit 1 Assignment Brief
Grading Criteria
Task
1
1
1
1
2
2
3
3
4
4
4
Grading criteria
Describe the type of business, purpose and
ownership of two contrasting businesses
Describe the different stakeholders who
influence the purpose of two contrasting
businesses
Explain the points of view of different
stakeholders seeking to influence the aims and
objectives of two contrasting organisations
Evaluate the influence different stakeholders
exert in one organisation
Describe how two businesses are organised
Explain how their style of organisation helps
them to fulfil their purposes
Describe the influence of two contrasting
economic environments on business activities
within a selected organisation
Compare the challenges to selected business
activities within a selected organisation, in two
different economic environments
Describe how political, legal and social factors
are impacting upon the business activities of
the selected organisations and their
stakeholders
Analyse how political, legal and social factors
have impacted on the two contrasting
organisations
Evaluate how future changes in economic
political, legal and social factors, may impact
on the strategy of a specified organisation
Deadline
P1
P2
M1
D1
P3
P4
P5
M2
P6
M3
D2
3
BTEC Level 3 National Business
Unit 1 Assignment Brief
Task 1 – The Range of Different Businesses
Vocational Context
You have left school and are investigating setting up your own business. Having
been told that a business is defined as “any organisation that provides a good or a
service”, you are keen to decide what you want your business to do. You have
decided to write a report explaining the different characteristics of businesses and
have chosen two contrasting businesses to compare.
Learning Objective and Content
Know the range of different businesses and their Ownership
 Range of different businesses: local; national; international; global; public;
private; not-for-profit/voluntary; sectors of business activity (primary,
secondary and tertiary)
 Business purposes: supply of products or services; difference between profit
and not-for profit organisations
 Ownership: public, private and voluntary sectors; types of ownership (sole
trader, partnerships, private and public limited companies, government
departments, government agencies, worker cooperatives, charitable trusts);
main implications of different types of ownership on businesses (extent of
liability, limitations to operation for public and charitable organisations)
 Key stakeholders: customers; employees; suppliers; owners; trade unions;
employer associations; local and national communities; governments;
influence of stakeholders on organisations
Design an eye catching brochure (on word or publisher) that covers the answers to
following questions:
PART 1
 What is meant by the term business and why do businesses exist?
 What is meant by the following terms and give an example of a business in
each category:
o Local business
o National business
o International business
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BTEC Level 3 National Business
Unit 1 Assignment Brief
o
o
o
o
o
o
o
Global business
Public sector business
Private sector business
Not-for-profit business
Primary sector business
Secondary sector business
Tertiary sector business
 What is meant by the following types of ownership and give an example of
each:
o Sole trader
o Partnerships
o Private limited companies
o Public limited companies
o Government departments
o Government agencies
o Worker cooperatives
o Charitable trusts
 Discuss the main implications of different types of ownership on businesses
(extent of liability, limitations to operation for public and charitable
organisations)
 For both your businesses explain the following:
o Range (local, national, multinational, global)
o Activity Sector (primary, secondary, tertiary)
o Business Sector (public, private, not for profit/voluntary)
o Ownership (see list above)
o Implications of that type of ownership
o Business aims
Part 2
 What is meant by the term stakeholder?
 Describe the different stakeholder groups for both your businesses. Make
sure you cover all the groups below between the two businesses (P2)
o Customers
o Employees
o Suppliers
o Owners
o Trade unions
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BTEC Level 3 National Business
Unit 1 Assignment Brief
o Employer associations
o Local and national communities
o Governments
 Explain the points of view of 4 different stakeholders groups seeking to
influence the aims and objectives of both businesses.
o Explain their point of view (what do they want from the business)
o Explain how their point of view links with the aims and objectives of the
business.
 Evaluate the influence different stakeholders exert on both businesses.
o Make a judgement on how much influence you think each stakeholder
group has and explain why.
o You must include a evidence from a variety of sources to support your
judgements and assess the validity of the sources
Completion of this task will provide evidence that you have met the following
grading criteria:
P1 Describe the type of business, purpose and ownership of two contrasting
Businesses
P2 Describe the different stakeholders who influence the purpose of two
contrasting businesses
M1 Explain the points of view of different stakeholders seeking to influence the
aims and objectives of two contrasting organisations
D1 Evaluate the influence different stakeholders exert in one organisation
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BTEC Level 3 National Business
Unit 1 Assignment Brief
Task 2 – How Do Businesses Organise Themselves?
Vocational Context
You are now keen to understand the different structures businesses have, and the
way that large and small businesses organise themselves.
Learning Objective and Content
Understand how businesses are organised to achieve their
purposes
 Organisational structures: purpose (division of work, lines of control and
communication); types of structure (functional, geographic, product, type of
customer); diagrammatic representation of structure (organisation charts);
span of control
 Functional areas: finance; marketing; production; customer service; sales;
human resources.
 Strategic planning: mission and values; development of strategic aims and
objectives; cascading of objectives throughout the organisation; strategic
planning process; use of SMART (specific, measurable, achievable, resourced,
time-bound) objectives
 Influencing factors: stakeholders; business environment; business type and
ownership.
 Different aims: private sector aims (break-even, survival, profit maximisation,
growth); public sector aims (service provision, cost limitation, value for money,
meeting government standards, growth of range of provision)
You need create a presentation that covers the answers to following questions:
Part 1
 Why is it important for businesses to have clear organisational structures?
This should include a paragraph explaining division of work, lines of control
and communication. Give examples were appropriate.
 What are the different types of structure (functional, geographic, product,
type of customer)?
 Draw/Insert a diagrammatic representation of structure (organisation chart)
of your two businesses and explain the type of structure they each have.
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BTEC Level 3 National Business
Unit 1 Assignment Brief
 What is meant by the terms span of control and chain of command? Give an
example of each for both of your businesses.
 What are the roles of the following functional areas in both of your
businesses?
o Finance
o Marketing
o Production
o Customer service
o Sales
o Human resources
Part 2
 What is meant by mission and values?
 How are strategic aims and objectives developed?
 How objectives are spread throughout the organisation?
 What is meant by SMART (specific, measurable, achievable, resourced, timebound) objectives
 What are the influencing factors businesses have to consider when
strategically planning? (stakeholders, business environment, business type
and ownership)
 What are the main private sector aims (break-even, survival, profit
maximisation, growth)?
 What are the main public sector aims (service provision, cost limitation, value
for money, meeting government standards, growth of range of provision)
 State the aims and objectives of both your businesses.
Completion of this task will provide evidence that you have met the following
grading criteria:
P3 Describe how two businesses are organised
P4 Explain how their style of organisation helps them to fulfil their purposes
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BTEC Level 3 National Business
Unit 1 Assignment Brief
Task 3 – The Economic Environment
Vocational Context
During your research you have become interested in the impact of the economic
environment on the activities of one of your businesses and have decided to
investigate how such a business deals with the different economic environments in
which it operates.
Learning Objective and Content
Know the impact of the economic environment on
businesses
 Economic: importance of stability; impact on business of changes in the
economic environment (growth, recession, ripple effect); levels of inflation;
availability and cost of credit; labour; changes in government policy (legal,
fiscal, monetary)
 Demand: influenced by affordability; competition; availability of substitutes;
level of Gross Domestic Product (GDP); needs and aspirations of consumers
 Supply: Influenced by availability of raw materials and labour; logistics; ability
to produce profitably; competition for raw materials; government support
 Changes in supply and demand: supply and demand curves; elasticity of
demand; price sensitivity; influence of branding on price sensitivity
 Global Interaction: levels and types of interdependence (supply chains,
ownership of businesses, movement of capital and business operations,
reducing ability of national governments to regulate global businesses)
For this task, you need to think about how the economic environment affects your
business and create a report which includes the following:
 What is meant by each of the following terms:
o Employment
o Inflation
o Economic growth
o International trade
o Interest rates
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BTEC Level 3 National Business
Unit 1 Assignment Brief
 Explain what happens to business activity (recruitment, promotion,
transportation, product design etc.) in your business during:
o Recession
o Economic growth
(Use the terms above in your explanation)
 Explain the importance of economic stability on your business’s strategic
planning
 Explain how changes in government policy (legal, fiscal, monetary) could
impact your business
 Describe the factors that can influence the level of demand for a business’s
products:
o affordability
o competition
o availability of substitutes
o level of Gross Domestic Product (GDP)
o needs and aspirations of consumers
 Describe the factors that can influence the level of supply of a business’s
products:
o availability of raw materials and labour
o logistics
o ability to produce profitably
o competition for raw materials
o government support
 Explain what is meant by the following:
o supply and demand curves
o elasticity of demand
o price sensitivity
o influence of branding on price sensitivity
 Describe the levels and types of interdependence (supply chains, ownership
of businesses, movement of capital and business operations, reducing ability
of national governments to regulate global businesses) in the global economy
 Present, either in the form of a table, or as charts, the changes seen in the
economic factors discussed above for both the United Kingdom and for one
other contrasting country in which your business operates
Part 2
In a new Word document, discuss:
 The impact the changes identified in part 1 will have had on the business
activities (recruitment, promotion, transportation, product design etc.) of
your business in each of the two countries it operates in.
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BTEC Level 3 National Business
Unit 1 Assignment Brief
 The challenges these changes presented, and how your business reacted to
these changes. Within this you should discuss the similarities and the
differences in how your business reacted in each economy.
Completion of this task will provide evidence that you have met the following
grading criteria:
P5 Describe the influence of two contrasting economic environments on
business activities within a selected organisation
M2 Compare the challenges to selected business activities within a selected
organisation, in two different economic environments
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BTEC Level 3 National Business
Unit 1 Assignment Brief
Task 4 – Political, Legal and Social Factors
Vocational Context
You presented your economic presentation to the bank as part of the progress you
are going through in order to secure a bank loan. Because you did so well, they have
asked you to write an article for their Banking Weekly magazine explaining the other
3 factors (political, legal and social) that impact on businesses.
Learning Objective and Content
Know how political, legal and social factors impact on businesses
 Political: political stability; government support for different types of
organisations e.g. private, voluntary, public; fiscal e.g. levels and types of
taxation; direct support e.g. grants, loans; providing infrastructure e.g.
transport; internet; enhancing skills of the working population e.g. education,
training, research; organisations to support businesses e.g. Business Link;
membership of international trading communities e.g. European Union
 Legal: providing framework for business e.g. company law; protecting
consumers and employees e.g. contract law, employment law, consumer
protection; ensuring fair and honest trading e.g. competition law.
 Social: demographic issues e.g. population growth or decline; changes in
structure e.g. ageing; households and families; education; attitude to work;
religions; attitudes to male and female roles; ethics
Write an article for Banking Weekly explaining how each of the following factors
could impact on the operations (recruitment, promotion, transportation, product
design etc.) of your two businesses how each business has reacted to changes in
these factors:
POLITICAL
 political stability
 levels and types of taxation
 direct support e.g. grants, loans
 providing infrastructure
 enhancing skills of the working population e.g. education, training, research;
 organisations to support businesses e.g. Business Link
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BTEC Level 3 National Business
Unit 1 Assignment Brief
 membership of international trading communities e.g. European Union
For a Merit (M3) - Write a summary paragraph stating how much impact political
factors have on your two businesses and then compare the impact.
LEGAL
 company law
 contract law
 employment law
 consumer protection law
 competition law
Write a summary paragraph stating how much impact legal factors have on your
two businesses and then compare the impact.
SOCIAL
 population growth or decline
 changes in the structure of the population
 households and families
 education
 attitudes to work
 ethics
Write a summary paragraph stating how much impact social factors have on your
two businesses and then compare the impact.
Evaluate how future changes in economic political, legal and social factors, may
impact on the strategy of one of your businesses.
Completion of this task will provide evidence that you have met the following
grading criteria:
P6 Describe how political, legal and social factors are impacting upon the
business activities of the selected organisations and their stakeholders
M3 Analyse how political, legal and social factors have impacted on the two
contrasting organisations
D2 Evaluate how future changes in economic political, legal and social factors,
may impact on the strategy of a specified organisation
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