How businesses develop :: Business and Management Studies:

How businesses developThe aim of this report is to produce a portfolio based on aninvestigation of two contrasting businesses. I wear elect twodifferent companies for my report. It will includea description of type of ownership and the different liabilities ofowners. A description off different industrial sectors and currant UKtrends in their growth or decline. Description of business activitiesand current UK trends in their growth or decline. The reason for thelocation of each business. A Description of the run of eachstakeholder on each business.Of my chosen businesses.Type of owner shipThe large company I feed chosen is Tesco the reason I chose Tesco isits a very successfully growing large company. Tesco is publiclimited company (PLC) (Means that any one can be sh atomic number 18holder) commonplacelimited companies are the largest type of privately owned enterprisein the UK. A PLC has power to rise large amount of capital, throughselling its shares to the public.A Public Lim ited Company can sell its shares on the Stock Market, theowners of a Limited Company are not involved in the running of thebusiness, unless they have been elected to the Board of DirectorsThis means it can develop the business more easily then privatelimited company, sole trader. It can also welfare from being alarge-size organization. It will be able to grease ones palms in bulk, andspecialise.Tesco sells Groceries, cloths, CDs, videos, DVDs, books, ComputerGames, Electricals, school equipment, Wines and other alcohol drinks.Tesco is currently the leading supermarket in uk. Tesco as a prettygood Competition from other supermarkets such as Sainsbury, Safeway.But Tesco is cheaper then most of the other supermarkets and theyoffers lot more products. Recoding to Tosco on average Sainsburysare 4% more expensive than Tesco and Safeway are 10% more expensivethan Tesco.There are more then 700-plus stores and many dispersal centres arelocated in United Kingdom. They have several office si tes in the UK and Ireland, where there mark support functions are based. The majority of office staff is based in Hertfordshire. Tesco has been operating on an international basis for long time, anticipating the need to become amajor retail name in key regions, they moved into central Europe,where they have a strong presence in Hungary, Poland, Slovakia and theCzech Republic and the dynamic Asian market.Been a PLC Tesco has advantages such as have limited liability, enjoymaximum continuity, can raise large sums of capital, large size enablethem to enjoy economies of scale such as being able to buy suppliesin bulk and they find it easy to borrow money then smaller businesses