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The Business Environment Essay

952 words - 4 pages

Tesco
Tesco is a food grocer devoted to “making what matters better”. Jack Cohen founded Tesco in 1919 from a market stall in London’s East End. Since 1919 Tesco has grown drastically. Tesco is now an international company operating in 12 countries and employing more than 530,000 people. In addition, Tesco is no longer a family run private equity company; they are now a public limited company (PLC). This means that members of the public are able to purchase shares in Tesco. Although its shareholders own Tesco, there is limited liability. Limited liability means that shareholder’s personal assets are separate from that of the business. If the business goes bankrupt then the shareholder’s ...view middle of the document...

According to Tesco, their core purpose is “We make what matters better, together”. Tesco has changed their core purpose in an effort to seem more concerned with the customer than profits. In reality their main goal is profit as we can see with the numerous store closures due to lack of profitability. Tesco’s market share has fallen from 30.1% to 28.8%. Furthermore, Tesco says that society has changed, stating that there is more scepticism about corporations, and more desire to see business demonstrate it has a purpose beyond profit. Tesco’s new “core purpose” is merely a strategic marketing move.
http://www.tescoplc.com/index.asp?pageid=10

NHS
The National Health Service (NHS) is a health care system that was founded in 1948. The NHS is available to all social classes, ethnicities and genders. They provide a great deal of health care completely free, with the exemption of prescriptions and optical and dental care. In order to be eligible for free health care you must be a legal UK resident. These services include treatments for long-term conditions, health checks, emergency treatment, end of life care and many more. The NHS treats over 1,000,000 patients every 36 hours.
The NHS is a public not for profit organisation. This means they are funded by government through government taxation and have no shareholders. There is no group of individuals that has invested into the NHS; instead a portion of the taxes paid by each working citizen is used to fund it. If the NHS were to be come privatised it would then be sold in chunks (shares) to shareholders.
The NHS operates in the tertiary sector. The tertiary sector primarily deals with the sale of products and services. The NHS offers many products and services, such as health care and the medicine to treat illnesses, however they do not produce these products themselves. They outsource...

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