Business Assignment Answers PDF | Latest Updated Coursework
Solutions, P1 P2 M1 D1 Distinction Merit Pass Criteria, Business Types,
Ownership, Stakeholders and Environment Guide
BTEC Level 3 Business – Unit 1: Exploring Business
Complete Assignment-Based Study Resource
Course Classification: ASSIGNMENT-BASED (Pearson BTEC National)
P1 – Explain the features of two contrasting businesses
Answer:
Businesses operate within diverse structural and operational frameworks, determined
by their ownership, purpose, sector, scope, and size. To illustrate these features, this
response examines two contrasting organisations: Tesco PLC, a large public limited
company operating in the tertiary retail sector, and The Beanery Café, a small sole
trader business operating locally in the hospitality sector.
Tesco PLC is a public limited company (PLC), meaning its shares are traded on the
London Stock Exchange and it benefits from limited liability, protecting shareholders'
personal assets beyond their investment
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. Its primary purpose is profit maximisation and market leadership within the highly
competitive UK grocery market. Operating within the tertiary sector, Tesco provides
retail services to consumers nationally and internationally, with a scope extending
across Europe and Asia. Classified as a large business with over 330,000 employees
globally, Tesco's scale enables economies of scale, significant market power, and
extensive supply chain integration
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In contrast, The Beanery Café operates as a sole trader, owned and managed by a single
individual with unlimited liability, meaning the owner is personally responsible for all
business debts. Its purpose centres on providing quality coffee and food to the local
community while generating a sustainable personal income. Operating within the
tertiary sector at a local scope, it serves customers within a specific geographical area.
Classified as a micro-business with fewer than ten employees, its size enables
personalised service but limits growth potential and market reach
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,Key contrasting features include liability (limited vs. unlimited), decision-making
structures (board of directors vs. sole proprietor), access to capital (share issuance vs.
personal savings/loans), and regulatory requirements (extensive for PLCs under the
Companies Act 2006 vs. minimal for sole traders). These structural differences
fundamentally shape operational capabilities, risk exposure, and strategic flexibility
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P2 – Explain how two contrasting businesses are influenced by stakeholders
Answer:
Stakeholders are individuals or groups with an interest in a business's activities and
outcomes, and their influence varies significantly depending on the business type and
context. For Tesco PLC and The Beanery Café, stakeholder influence manifests through
distinct mechanisms reflecting their contrasting scales and structures.
Tesco PLC faces influence from a complex network of internal and external
stakeholders. Internal stakeholders include shareholders, who exert influence through
voting rights at Annual General Meetings and expectations for dividend returns; senior
management, who shape strategic direction; and employees, whose productivity and
industrial relations impact operational performance. External stakeholders include
customers, whose purchasing decisions and brand loyalty directly affect revenue;
suppliers, whose terms and reliability influence cost structures; government bodies
such as HMRC and the Competition and Markets Authority, which enforce taxation and
competition law; and pressure groups like Friends of the Earth, which campaign on
environmental and ethical sourcing issues
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. The influence of these stakeholders is often formalised through regulatory frameworks,
shareholder activism, and corporate social responsibility (CSR) reporting, requiring
Tesco to balance competing interests while maintaining profitability and compliance.
The Beanery Café experiences stakeholder influence in a more direct and personal
manner. The owner-manager is both an internal stakeholder and primary decision-
maker, influenced by personal financial goals and work-life balance considerations.
Employees, often part-time or family members, influence service quality and workplace
culture. External stakeholders include local customers, whose feedback and repeat
custom are critical for survival; local suppliers, whose relationships affect product
quality and cost; the local council, which regulates licensing and health and safety; and
the local community, whose support can determine reputation and footfall
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, . Unlike Tesco, stakeholder influence at The Beanery is typically informal, relational, and
immediate, with decisions often made through direct consultation rather than formal
governance structures.
The key distinction lies in the formality and scale of stakeholder engagement: Tesco
employs structured communication channels (investor relations, CSR reports,
customer surveys) to manage diverse interests, whereas The Beanery relies on personal
relationships and local reputation. Both businesses must, however, recognise that
stakeholder satisfaction is integral to long-term success, whether measured through
share price or community loyalty
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M1 – Assess the relationship and communication with stakeholders of two
contrasting businesses using independent research
Answer:
Effective stakeholder communication is fundamental to business success, enabling
organisations to build trust, manage expectations, and respond to feedback. An
assessment of Tesco PLC and The Beanery Café reveals how communication strategies
are tailored to stakeholder needs and organisational capacity.
Tesco PLC employs a multi-channel, formalised communication strategy aligned with
its scale and regulatory obligations. For shareholders, Tesco publishes annual reports,
interim financial statements, and hosts investor briefings, ensuring transparency and
compliance with the UK Corporate Governance Code
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. Customer communication utilises digital platforms (website, mobile app, social
media), loyalty programmes (Clubcard), and in-store signage to promote offers, gather
feedback, and enhance engagement. Employee communication occurs through
intranets, team briefings, and trade union consultations, supporting operational
coordination and morale. Engagement with external stakeholders, such as government
and pressure groups, is managed through dedicated public affairs teams and
sustainability reports, demonstrating accountability on issues like plastic reduction and
fair labour practices. Research indicates that Tesco's integrated communication
approach strengthens brand reputation and mitigates reputational risk, though critics
argue that corporate messaging can lack authenticity compared to smaller enterprises
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