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business level 3 -unit 1 assignment 1
- Module
- Unit 1 - exploring business
- Institution
- PEARSON (PEARSON)
business level 3 extended diploma unit 1 - exploring business assignment 1
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Assignment 1 – unit 1Introduction
For my assignment for unit 1 I have been asked to research and collect information between 2
contrasting businesses. for this assignment the business I have choose is Amazon and NHS. I have
decided to choose amazon because I’m a regular customer to them and it’s my favourite online shop
as its sell everything. NHS is owned by the government and its main purpose is to provide free health
care to the public and citizens of UK. these 2 businesses are contrasting because amazon is a private
sector company and NHS is a public sector company. they will also have different aim and objectives.
For a private sector business such as amazon their main aim is to make a profit through sales of
product or services such as prime videos. For a public business such as NHS their main purpose is not
to make a profit through their service.
what is a stakeholder
A stakeholder is anyone that has an interest in a business or company. There are internal and
external stakeholders. Internal stakeholder are people within the business that has an interest in the
business for example worker will be interested in the business as they will want an increase in wage.
External stakeholders are people outside the business that has an interest in the business such as
customers or investors may have an interest in the business because as customers will want to shop
at the store. Investors will have an interest because they’ll want money in return. Some example of
external stakeholder are investors, customers, government, suppliers, bank. Internal stakeholders
are people like employees, manger, owner.
Features of my business
profit business (Amazon)
Amazon is an online business that sells products and services online. There main service is amazon
prime. Amazon prime is a membership from amazon that allows you to access their one-day delivery
service and music and video service. Amazon is a public limited company this allows amazon to sell
shares to the public which allows them to use the money on expanding and investing onto other
area. Being a public limited company will mean amazon or the CEO Jeff benzo will have limited
liability. Limited liability will mean Jeff benzo loss will not exceed the amount invested into the
company meaning he will not lose his house or car if his business fails. Amazon is in the Tertiary
sector as they are a retailer of products. Amazon is also an international business meaning they
operate and deliver all around the world.
Non-for-profit business (NHS)
NHS has not got any type of ownership its funded by the public and the government through
taxation from their wage. The NHS is in the public sector this is because they don’t make any profit
through their service they provide. the main purpose of NHS is to provide free health care to people
and citizen of the UK. NHS is a national service meaning there’s hospitals everywhere in the UK so
people can use their service within the UK. there will be hospitals and other services available in
every town or city. NHS is in the quaternary sector as they focus on research and development.
because NHS is a public sector it will also mean there’s a limited liability
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,amazon
Internal stakeholders
employees will have an influence on amazon as workers will be the one servicing customers and
having the most contact with customers. if employees offer a good customer service this will give
customers a good experience and memory therefore there are more likely to return and shop again.
the quality of product and service they provide will also influence amazon. for example, if the
product they sell is poor quality this will affect their sales and brand recognition or if they give
customers a bad service customer will not be happy. depending on the productivity of employees
this will have an influence on amazon. A highly productive team will require less staffs or they could
get the job done faster. Meaning amazon could sell more products or take more calls therefore it
should increase profit. but the influence on the amazon remains low as they won’t have enough
power to make a change in the business. employees will have a high interest in amazon as they work
there. They will want it to do well so there will be pay rises
Amazon uses emails to communicate with their employees because emails are free and its sends
instantly to their phones and laptops. emails also allow employees to view emails at their own time.
this is very Beneficial due to worker having different timetable. regular emails will keep employees
up to date with company’s news or changes in amazon. with regular communication this will also
improve the relationship between amazon and employees. regular communication allows amazon to
find out whether that worker is happy at their work place. If worker a happy at their workplace they
are more likely to produce better quality products and offer better service to customers. Employee
will have the strongest relation with their line manager. This is because the line manager is in charge
of them, so if they have any problem they could speak to their line manager. employee with have no
regular contacts with the owner therefore the relationship is poor between these two stakeholders.
an Employees will have a very high interest in the business and they would want the business to do
well as this could lead to them having a pay rise and more opportunity in their career. but the
amount of power they have is very low as they can’t make any important decisions for the business.
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, The Manager will have a big influence on amazon as the managers will be responsible for a group of
staffs or department. with bigger responsibilities this will lead to a stronger influence as all the
decision will depend on the managers. such as managers will need to hire the correct people with
the right skills for the job in order to utilising their strengths for the job. It’s also the manager’s job to
Coordinate resources. such as balancing the amount of people in each department of amazon.
because Managers will have the power to control large amount of people and departments they will
have a big influence on Amazon success. the mangers will have a big influence on. The manger will
have a high interest in the business as he will want it to do well so he will earn a bigger profit.
Managers of amazon will likely use emails and face to face as a primary method of communicating
with employees. this is because packing staffs will require less skills such as they don’t need have
very good English skills. this is why manager tend to tell them face to face as this makes the chat less
formal and more relaxing this also save the time to writing up emails and letters Which could be a
force as it requires a laptop or phone. If managers can’t locate the staffs then they’ll send an email
to them This allows employees to view the email at their own time. face to face will allow managers
to build a stronger relationship with employees. this is because this allows manager to see their
Workers in personal and get to know them better and personally. With regular communication it
should also increase the trust from employees to mangers. With a positive relationship between
managers and workers this will increase motivation and willingness for worker therefore worker will
have a better performance overall. Manger will have strong relationship with the owner and
employees as they work closely but the manager will have limited contact with lower influence
stakeholder such as customers therefore the relations won’t be as close. The manager will have very
high interest and high power in the stakeholder group. the manager will a very high interest because
he will want the business to do well as this could lead to a bigger reward. he also has very high
power as he could make important decisions for the business.
The Owner
the owner of amazon will have the biggest influence in amazon as he will be the one making the final
Decision. if the owner makes the right decision this would lead to a positive outcome such as an
increase in revenue or brand awareness from customers. if he makes the wrong decision this could
affect amazon reputation which could lead to a decrease in sales. it’s also the owner’s job to decide
what he does with the profit. he could either save it or he could use it to invest in other areas. every
decision he makes will have a big influence in amazon success as he’s the one leading the direction
of amazon.
The owner will have regular meeting with head of departments to keep him up to date and it allows
workers to feedback to him. meeting will allow the owner to see all the department at the same
time and it also allows the owner to give them instance feedback meaning communication is a lot
more efficient so decision could be made a lot faster. regular meetings will also give workers the
chance to ask for advice or permission from the owner Because meetings are done face to face this
allows eye contact and body language which should help to create a strong bond between the
owner and head of department. The owner will have the strongest relationship with managers as
the manager work just below the owner. The owner will have a very high interest in the business as
he will want it to do well as he owns the business. the owner also has very high power in the
stakeholder mapping as he has full control of the business.
External stakeholders
Investors and shareholders will have an influence on amazon as they invested their money into
amazon this will mean they’ll own some percentage of amazon so they might get a chance to vote. if
investor doesn’t invest onto amazon anymore this will mean amazon will not get extra cash inflow
from shareholders into the business. therefore, it could affect the operation of amazon or the
progress of the company at it doesn’t have extra money to expand. shareholder will be interested in
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