Assessment title: The purpose & ownership of Business
M1 – Contrast the ownership and purpose of two different business organisations
Organisation 1: Lloyds TSB Private Organisation
Organisation 2: NHS Public Organisation
The purpose of Lloyds TSB is to make a profit from investing in people’s money. They invest somewhere else so that they get more money from their own business. They providing their services to the public and they are supplying their services to the public at profit. The purpose of NHS is to prove to anyone regardless of what their race, income is free of charges to prevent their disease or illness and they are providing their services to the public and are funded by the government.
In Lloyds TSB share holders anyone can buy shares and they can be bought on the stock exchange where the NHS doesn’t have shares because they are funded by the government. The NHS has limited liability they don’t sell shares the liability that Lloyds TSB has, liability that the owners are limited to what they have invested.
The advantages of Lloyds are that they have protection of their organisations they share their profit that they have because anyone can buy shares in public limited company. Advantages of the NHS are that they are funded by the government for what they need. The disadvantages of the NHS are that it is harder to raise capital because they have to stick to strict budget.
McDonald has responded to many changes in the business environment including having a drive trough and the technology that wasn’t used in the past. E.g. the phone apps to help order food quicker.
The recession meant no one can afford things; prices are going up also that there are fewer jobs available. The price of everyday things is increase which will lead to fewer sales.
There are different family types such as single parents and grandparents looking after children. For example the drive trough is quicker. The increase of the use of cars and public transport has meant that more people are using the drive trough at