Nature of a Business

Business Studies PART 1 A) Social right of a business Choice Businesses provides goods and services to satisfy individual needs and wants by grown the choice of selecting some occasion among a variety of products. Economic Function of a business Employment By creating or providing employment for individuals this minimises the unemployment rate. B) Unin somaticd enterprises is when the enterprise has non g oneness through the process of not separating the proprietor from its legal entity ensamples sole principals and federationsIncorporated enterprises ar when the business HAS gone through the legal process of separating the owner from its legal entity examples private and public companies. PART 2 A) Stakeholders People who are or may be affected by business activities. B) contingent stakeholders Employees loss of jobs in that respectfore they are unemployed and wont stool a source of income. Competitors more firms may purchase their product as the operations are closing down C) Stakeholders responsibilities Society/General public Stakeholders in business should have ethic all toldy trustworthy decisions as good corporate citizens. Society expects businesses to give back to the community of what they make out of mesh. For example the Body shop organises community projects such as charity. How Lelouch and his minions was ethically responsible by being a good corporate citizen by giving back to the community of the profits by destroying Britannia as charity. PART3 Environment They must use up the impacts on the environment as we should care and preserve our environment.Thus businesses are crook to ecologically sustainable operating practices in response to climate modification and destruction of our natural environment. For example Levis has developed its own environment ism and principles and conduct business with following those regulations Example Q&038A A) What is the difference amid a sole trader and partnership A sole trader is owned and operated by one person taking care of all responsibilities whereas a partnership consists of 2-20 people to form a business unneurotic and share the responsibilities and problems in the business.B) 2 Advantages and 2 disadvantages operating a partnership as opposed a sole trader POOL CONTINUITY Its expedient to be in a partnership compared to a sole trader as partnerships will be able to pool their funds and skills together to establish a business and on a death of one partner, the business bottomland continue with the other partners DISPUTES DEBTS Its disadvantageous to be in a partnership as at that place could be possible disputes between partners and may have a liability for all the debts including the partners.PART4 A) Consumers- Because there are many competitors in the industry it may be backbreaking for new business to have consumers buy the products they offer as there are a different range of products available to them at war-ridden prices and quality. Consumers CPR CPQ Finance- Thus financing the business thunder mug also be a challenge like a domino effect one thing effects another as they arent making enough profits to keep the business up and running and may not be able to keep employees. Finance DP BEB) External Influences CSI SCA BEBQ can include free-enterprise(a) situation influences CSI as this allows their business to aim for a sustainable emulous advantage SCA over their competition as this is a strategy to visualise that they beat their competitors over a long period of time, by exhilarating an efficient production of better quality products or services. C) Internal influences LCV can include location as a prime location can lead to higher levels of gross sales and profits because of its convenience and visibility to the public. until now a bad location is a liability that negatively affects sales and profits.