Nature of a Business

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Business Studies

PART 1
A) Social Function of a business: [Choice] Businesses provides goods and services to satisfy individual needs and wants by giving the choice of selecting something among a variety of products.

Economic Function of a business: [Employment] By creating or providing employment for individuals this minimises the unemployment rate.

B) Unincorporated enterprises is when the enterprise has NOT gone through the process of not separating the owner from its legal entity examples; sole traders and partnerships

Incorporated enterprises are 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) Possible stakeholders; [Employees] loss of jobs therefore they are unemployed and won’t have 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 ethically responsible decisions as good corporate citizens. Society expects businesses to give back to the community of what they make out of profits. 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 consider the impacts on the environment as we should care and preserve our environment. Thus businesses are turning to ecologically sustainable operating practices in response to climate change and destruction of our natural environment. For example Levis has developed its own environment philosophy and principles and conduct business with following those regulations

Example Q&A
A) What...
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