Unit 1 Exploring Business
(P1) Explain the features of two contrasting businesses
ASDA
Founded in 1949 in Yorkshire, Asda is a British retailer and are currently the
second largest supermarket retailer with 635 stores around the country. Asda
has been owned by Walmart an American supermarket since June 1999. They
sell variety of products from groceries to furniture and many more.
Ownership & Liability
Asda is a public limited company (PLC) which are owned by the American
retailer Walmart. Asda is owned and funded by shareholders and because
they are a PLC company means that anyone is able to buy a share of the
company. Asda has a limited ability which attracts more shareholders,
because if the company were to ever go in debt or go bankrupt, the
shareholders only lose their shares and don’t have to risk their personal
properties.
Purpose
Asda is a profit company that provides a wide variety of products ranging
from groceries all the way to furniture, Asda aims to maximize their profits
and assets. As Asda is a profit company there are only worried about their
own interest and not those of the public. But they have realise that giving the
customers cheaper prices and good service leads to customers coming back
and also attract new customers. As stated on their slogan ‘save money, live
better”, Asda wants to make their customers happy and provide quality
products for cheap prices.
Industrial Sector
Asda is in the tertiary sector because they purchase materials such as
food from business in the secondary sector and sell them to customers.
Scope
,Asda is the 2nd largest retail supermarket in the UK which means they are
a national business. They have over 635 stores that are only based in the
UK which allows them to provide their goods and services to hundreds of
thousands of customers.
Size
With a revenue of 23 billion (2019), Asda is classified as a large company
as it has over 165.000 employees. For a business to be classified as a
large company they need to have more than 250 employees and Asda
exceeds that with ease. Their net cash inflow for 2019 was £309.m.
RSPCA
The Royal Society for the Prevention of Cruelty to animals (RSPCA) is a
charity in England and Wales and are the largest and oldest animal charity
in the world. Was founded in 1824 and it is a no profit organization. They
mainly focus on animal welfare and has saved more than 120.000
animals.
Ownership & Liability
RSPCA is a non-profit organization, which means that they do not make
profit and relies on donations from the public. RSPCA is a private
organization and self-governing. Because the RSPCA is a charity, they only
have to pay very low business rates and the trustees also benefit from
tax reliefs. RSPCA has trustees who make sure the charity meets its
objectives.
Purpose
RSPCA purpose is to prevent harm to the animals by treating the injured
animals, feeding them, and vaccinating them. More than 120.000 animals
were rescued and treated last year.
, Industrial sector
RSPCA belongs in the tertiary sector as it provides a service to help and
recue animals from any kind of danger. They provide shelter, treatments
and many other services that helps the animals.
Scope
RSPCA is a national organization that has more than 1000 stores in
England and Wales and more than 160 branches.
Size
The charity in 2018 has had a revenue of £142.0m making it the largest
and oldest charity in the world. They are classified as a large company as
it has more than 1,780 employees.
(P2) Explain how two contrasting businesses are infl uenced by
stakeholders
ASDA
Stakeholders
A stakeholder can be anyone with an interest in a business they can be
affected or affect the organization. There are two types of stakeholders,
internal and external. Internal stakeholders are people within the
business such as employees and owners. External stakeholders are
people outside the business such as the community, government, and
competitors.
Customers:
Customers are the most important part of any retail industry; they have a
huge influence on Asda because they depend on the customers for sales.
Customers also provide their feedback on the company which shows
areas that ASDA needs to improve on, but feedback may also damage
(P1) Explain the features of two contrasting businesses
ASDA
Founded in 1949 in Yorkshire, Asda is a British retailer and are currently the
second largest supermarket retailer with 635 stores around the country. Asda
has been owned by Walmart an American supermarket since June 1999. They
sell variety of products from groceries to furniture and many more.
Ownership & Liability
Asda is a public limited company (PLC) which are owned by the American
retailer Walmart. Asda is owned and funded by shareholders and because
they are a PLC company means that anyone is able to buy a share of the
company. Asda has a limited ability which attracts more shareholders,
because if the company were to ever go in debt or go bankrupt, the
shareholders only lose their shares and don’t have to risk their personal
properties.
Purpose
Asda is a profit company that provides a wide variety of products ranging
from groceries all the way to furniture, Asda aims to maximize their profits
and assets. As Asda is a profit company there are only worried about their
own interest and not those of the public. But they have realise that giving the
customers cheaper prices and good service leads to customers coming back
and also attract new customers. As stated on their slogan ‘save money, live
better”, Asda wants to make their customers happy and provide quality
products for cheap prices.
Industrial Sector
Asda is in the tertiary sector because they purchase materials such as
food from business in the secondary sector and sell them to customers.
Scope
,Asda is the 2nd largest retail supermarket in the UK which means they are
a national business. They have over 635 stores that are only based in the
UK which allows them to provide their goods and services to hundreds of
thousands of customers.
Size
With a revenue of 23 billion (2019), Asda is classified as a large company
as it has over 165.000 employees. For a business to be classified as a
large company they need to have more than 250 employees and Asda
exceeds that with ease. Their net cash inflow for 2019 was £309.m.
RSPCA
The Royal Society for the Prevention of Cruelty to animals (RSPCA) is a
charity in England and Wales and are the largest and oldest animal charity
in the world. Was founded in 1824 and it is a no profit organization. They
mainly focus on animal welfare and has saved more than 120.000
animals.
Ownership & Liability
RSPCA is a non-profit organization, which means that they do not make
profit and relies on donations from the public. RSPCA is a private
organization and self-governing. Because the RSPCA is a charity, they only
have to pay very low business rates and the trustees also benefit from
tax reliefs. RSPCA has trustees who make sure the charity meets its
objectives.
Purpose
RSPCA purpose is to prevent harm to the animals by treating the injured
animals, feeding them, and vaccinating them. More than 120.000 animals
were rescued and treated last year.
, Industrial sector
RSPCA belongs in the tertiary sector as it provides a service to help and
recue animals from any kind of danger. They provide shelter, treatments
and many other services that helps the animals.
Scope
RSPCA is a national organization that has more than 1000 stores in
England and Wales and more than 160 branches.
Size
The charity in 2018 has had a revenue of £142.0m making it the largest
and oldest charity in the world. They are classified as a large company as
it has more than 1,780 employees.
(P2) Explain how two contrasting businesses are infl uenced by
stakeholders
ASDA
Stakeholders
A stakeholder can be anyone with an interest in a business they can be
affected or affect the organization. There are two types of stakeholders,
internal and external. Internal stakeholders are people within the
business such as employees and owners. External stakeholders are
people outside the business such as the community, government, and
competitors.
Customers:
Customers are the most important part of any retail industry; they have a
huge influence on Asda because they depend on the customers for sales.
Customers also provide their feedback on the company which shows
areas that ASDA needs to improve on, but feedback may also damage
