Btec Level free essay sample

The voluntary sector must be either Oxfam or your college- WFC Range of different businesses and their ownership You work as a junior researcher for a business magazine and you have been asked to prepare background material for a reporter. The reporter wants you to carry out Investigation into 2 contrasting businesses- one in private sector and the one in public sector or in voluntary sector like charity. You need to write a report covering all your investigation. Note: The private sector company must be a large supermarket like TESCO, Sainsbury’s, ASDA or Morrison The public sector company could be BBC or NHS or TFL The voluntary sector must be either Oxfam or your college- WFC 1) Write a brief introduction ASDA showing how and why the business was set up, and their operational activity in UK and abroad. ASDA was set up by a well know international company named â€Å"Wal-Mart†. The purpose of setting up ASDA was to make profit, introducing a new brand name in the market and to expand the business in the whole UK. We will write a custom essay sample on Btec Level or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The major operational activity of this company is to sell their products. In UK, Ireland Scotland, these products include ASDA own branded items such as breads, eggs, drinks, juice, petrol etc. However â€Å"Wal-Mart† is responsible for any other activities operating in other parts of the World. Is it local or national or international or Global Company? ASDA, as its brand name has only National presence. The company is located just in the UK whereas Wal-Mart has Global presence. Waltham Forest College was funded and formed by the Local Government of Walthamstow Borough. The purpose of setting up WFC was to provide education service to the community. The college was and is currently run by the Government. The major operational activity of this college is to educate the people of community and to provide them with learning facilities, no matter what their ages are and from where they belong. Is it local or national or international or Global Company? Waltham Forest College is a Government funded college is made only for Waltham Forest borough that is why it just has Local presence. 2) OWNERSHIP Define the following ownerships: Sole Trader: Sole Trader is a Private Sector business. Word ‘Sole’ means ‘single’ and ‘trade’ means ‘an individual who buys or sells product’. Sole trader is a person that usually owns the whole business. The business could be a small chicken shop or a big supermarket. Off-licence shops are the best example of sole traders. Partnership: Partnership is formed when two or more owners of a business. A business that has two or more than two owners are called partnership business. Super Store is an example of partnership business. Private Ltd: Private Limited Companies are the companies that have more than 2 business shareholders. Their shares are sold to friends and family members but the companies are not allowed to sell their shares to any member of general public in any circumstance. Examples are Phonics Music Limited, RM Limited etc. Public Ltd: Public Limited Companies are the companies that have many shareholders. Shares are sold on market level and any member of general public can buy them. Examples are Tesco, ASDA etc. Public sector: Public Sector businesses have covered more than 40% of business in UK. These are the businesses that are run and owned by the Government to provide some kind of services to public. Transport for London is an example of Public Sector organisation. Charity: A Charity is a volunteer sector organisation that is aimed to make money or collect donations for poor and needy people. It includes British Heart Foundation, Islamic Relief etc. | Explain which type of ownership ASDA has. ASDA is a private company but due to large number of public shareholders it exits in Public Limited Company. The shares are being sold on stock exchange and any one from the general public can buy them. Explain which type of ownership WFC has. WFC is a Public Sector organisation that is because it runs by the Government. The facility is being provided to local community for education purposes. Youngers till 19 get free education from the college and all the expenses are paid by the Government. 3) Business Sectors Define the following three business sectors with 1 example for each sector and identify the changes that has occurred: * Primary Sector: This sector of an economy makes direct use of natural resources and raw materials. This includes agriculture, forestry and fishing, mining, and extraction of oil and gases. The primary sector is usually the most important in less developed countries and typically less important in industrial countries. Farming is an example of primary sector. This economy sector is decreasing down, day by day, in UK. The overall percentage of this sector in UK’s economy is 2%. These are due to expensive labor cost and less of profit. People are moving towards tertiary sector businesses because of easy jobs and more pays. These are some reasons that have affected the primary sector to decrease down. * Secondary Sector: The secondary sector or manufacturing sector includes those economic sectors that create or manufacture finished and usable products. These include packaging of products, manufacturing of mobiles etc. Businesses like Nestle, Pure-water etc. include in this sector. This sector is also decreasing in UK. Now-a-days, tertiary sector businesses prefer to buy product from other countries due to cheaper of prices. Probably 23% of total UK economy consists of manufacturing sector businesses. The major factors that affect the manufacturing sector are high of taxations and high labor cost. The manufacturing sector businesses are getting low profits as compare to tertiary sector businesses. This leads people to move towards tertiary sector businesses. * Tertiary Sector: The basic characteristic of this sector is the production of services. The businesses in this sector provide services such as advice, experience, selling, buying, discussion etc. The production of information is generally also regarded as a service. The businesses such as Tesco, ASDA, Primark, Fair-Trade are examples of tertiary sector businesses. Tertiary sector is increasing in UK continuously. It holds 75% of businesses of UK economy. People are applying for jobs in tertiary sector because of good salary. Businesses are getting bigger as the profit is higher than other business sector. Developing of technology and increasing of population helps tertiary sector businesses to expand. Explain what business sector ASDA falls into and why? Justify your answer. ASDA falls in tertiary as well as manufacturing sector as it does manufacture its own products. Its products include bread, butter, milk, eggs, fishes etc. It provide services such as selling of groceries, home deliveries, online shopping etc. that makes it fall in both sectors. Explain what busines s sector WFC falls into and why? Justify your answer. WFC falls in tertiary sector as it provides educational services to community. Its services include teaching, learning support, adult learning system etc. |