Key Features of a Range of Commercial and Non-Commercial and Commercial Organizations

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Key Features of a Range of Commercial and Non-Commercial and Commercial Organizations

An evaluation of the key features of a range of commercial and non-

commercial organisations to illustrate differences in their funding

and their business objectives

PRIVATE SECTOR (Commercial)

Private sector are companies owned by a particular group of people

they mainly not government companies, the owners are individuals and

can range from small one-person businesses to large multinational

corporations who they main mission of the organisation is to generate

profit and providing excellent service to their customers.

Their other main objectives is to produce goods or services that

satisfy their customer needs, most business organisations owned and

controlled by private individuals strive to make and improve profits.

Public Sector (non-commercial)

Non-commercial organisations can either be in the public or voluntary

sector mainly their objectives is to provide service that is in the

public interest. Some services may be provided free at the point of

use, such as the tourism concern organisation they work with people in

order to promote tourism that benefit their communities their also

work with the tourism industry encourage them to put fair trade

principles into practice, the public sectors don't have shareholders

but are financially supported through tax or the contribution of the

public.

What each of the following terms mean and giving examples of each from

the Travel and Tourism industry.

*Sole Traders- These are business organisations owned and controlled

by one person profit is the main measure of the business and their aim

is to provide service to the public and making profit they responsible

for decisions within their own businesses although they may employ

other people the main disadvantage of being sole trader is that the

law makes no distinction between the assets and liabilities of the

business and those of its owners. This means that if the business is

forced into liquidation the proprietor has to settle all outstanding

debts from his or her own finances this may in turn lead to personal

bankruptcy this also applies to partnership.

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