IGCSE Business Studies

1.1.1 The purpose of Business Activity

Learning Outcomes

• Demonstrate awareness that different business activities pursue different goals

• Understand the reasons for the existence of these different goals

Types of Organisations

Ownership Types

Private Sector Public Sector

Unincorporated

•Sole Trader

•Partnership

Incorporated

•Private Limited Company

•Public Limited Company

• Public Corporations

• Public Services

• Local Authorities

Profit Non-Profit

• Charities• Trade Unions• NGOs• Social

Organisations• Advocacy Orgs

Private Sector Organisations(Public Enterprise)

What are they?• Organisations owned and controlled by private

individuals and organisations

Likely Objectives?

- To survive in a competitive market- To maximise their profits- To make returns for their shareholders (dividends)

Public Sector Organisations(Private Enterprise)

What are they?• Organisations owned and controlled by the state

or governmentObjectives• • Provide an essential service

• Provide it cheaply or free of charge, therefore it is available to everybody• They are generally beneficial to society.

Types of Public Enterprises…

• Transport• Education• Healthcare• Leisure • Mail?????• Utilities• Banking

Questions….

• What is Privatisation?• What are the benefits of Privatisation to:– Governments– Consumers

• What are the disadvantages of privatisation?

Questions….

• Why does the public sector exist so some extent in all countries?

Non Profit Organisations

What are they?• Non-profit (not-for-profit) organisations are formed for

the purpose of providing goods & services under a policy where no individual will share in any profits or losses of the organisation

Objectives and examples•

Lets find out…….

Research Task….. 5 mins

• Each pair will research a different organisation. You will look on their website and summarise in 100 words.

• What the organisations aims are• Examples of what the organisation does

• Then it will be feedback time…..

Non-profit organisations

• Greenpeace• Amnesty International• Young Focus• PETA• Carbonica• BSM• Wateraid• USA Waterpolo inc• Bill and Melinda Gates

Foundation• National Trust

What is this cartoon implying? Do you agree?

Task- 5 mins

• Open the document• ‘Private, Public and Not-for-Profit

Enterprises’• Fill in the table