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Business Studies Department

LEVEL 3 BTEC NATIONAL IN BUSINESS Unit 1: Exploring Business Activity Learners name: Date issued: Criteria ref P3 P4 P5 P6 M2 M3 D2 Grading criteria 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 Describe how political, legal and social factors are impacting upon the business activities of the selected organisations and their stakeholders Compare the challenges to selected business activities within a selected organisation, in two different economic environments 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 Hand-in date: Assignment 2: Organisation & external factors Assessors name: Date submitted: Date Evidence achieved Comments/Feedback from assessor

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Learner declaration I declare that all the work submitted for this assignment is my own work or, in the case of group work, the work of myself and the other members of the group in which I worked, and that no part of it has been copied from any source. I understand that if any part of the work submitted for this assignment is found to be plagiarised, none of the work submitted will be allowed to count towards the assessment of the assignment. Signed: Date:

Business Studies Department


Assignment 2: Strategies, structure & external factors What you will learn in this assignment You will learn that no organisation works in a vacuum and that the strategy and activities of different organisations is affected by a range of important external factors; social, political, economic and legal. You will also understand how this affects the organisation and structure a firm chooses to adopt. What you will do in this assignment You will research two contrasting organisations (from different countries ideally with very different types of economic climate) and then use a variety of methods to present information about them. This will include their functional activities and the impact of external factors on each organisation. Scenario Following from your earlier report for the Economic Development Unit of the Bristol City Council, you have been asked by the National Government to demonstrate how businesses are organised and how the state of the economy and other factors influences the way the business behaves and is run. Task 1 (P3, P4) The Economic Development Unit staff need to understand: How the businesses are organised The different types of functional activities possible within the businesses; To help their understanding, you are asked to undertake the following tasks: For each organisation: a) Describe their organisational structure using an organisational chart b) Describe how work is divided into functional areas and how these areas are dependent upon each other Tasks 1a and b address the P3 criterion c) Explain what the main aims of each organisation, why they are in business and some of the objectives and strategies that they use d) Explain how the style of organisation helps each one to fulfil their purposes. Remember organisations must be arranged into a structure that will enable them to meet their purposes for example, to make a profit or to achieve their mission aims as a charity. Can you identify a chain of command or line of control in the organisation? How do you think this helps the organisation to control their activities? Tasks 1d and e address the P4 criterion Task 2 (P5, P6, M2, M3)

Business Studies Department


The Economic Development Unit works within the Bristol City Council so that the various departments can be well informed about employment trends and population changes in the area. This information allows them to plan and develop better policies for the benefit of everyone. It is important that the unit is well informed about potential future pressures that will impact upon all organisations. For example, these factors might affect a decision on whether to appoint more, or fewer, staff. To help the Economic Development Unit staff understand different external factors, report or presentation that: For each organisation:

a) Describe the influence of two contrasting economic environments on

business activities within both organisations (P5) This will require understanding issues like the business cycle, demand & supply, inflation, government policy and GDP environments (M2)

b) Compare the challenges to these organisations of different economic


It may help to research these economic environments on websites such as the BBC look for graphs, data and tables that you can use and that relates to things like inflation, GDP and the business cycle.

c) Describe how political, legal and social factors are impacting upon the

business activities of the selected organisations and their stakeholders (P6) For this mark you simply need to describe some of the important changes that are taking place using appropriate facts and figures. You must analyse for example which of the factors are significant and what sort of impact are they having on the business? What sorts of changes in business planning have resulted from these external changes? How is the business coping with these changes?

d) Analyse how these factors have impacted on the two businesses (M3).

Task 3 (D2) For the Distinction you must: e) Evaluate how future changes in economic, legal, political and social factors may impact on the strategy of the businesses. You have already considered for M3 the changes but you must now think how they will affect the future? What are likely to be the new challenges facing the business? Can you find predictions & forecasts about changes in the economy, government policy, new laws that may come in and changes in society that would influence the business strategy?

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