Business Trends 2018-1

Business Trends 2018-1

Week 01 The impact of Globalization to Global Businesses

What is Globalization? • https://www.youtube.com/watch?v=JJ0nFD19eT8

What are he pros and cons of Globalization?

What is Globalization? Friedman in Moore and Lewis (2009: XIII) depose that globalization is the spread of free market capitalism to virtually every country in the world.

Kanter, R.M. of Harvard Business School in Moore and Lewis 2009: XIII depose that the world is becoming a global shopping mall in which ideas and products are everywhere at the same time.

Globalization

• Different countries and economic systems around the world are being connected and similar to each other because of the influence of large multinational companies and improved communication.

What has been the impact of Globalization to Global Businesses?

Rise in Competition • This is the single biggest benefit all around the world. • With enhanced competition from foreign brands and companies, industries of every nation are compelled to improve their standards and quality and customer satisfaction services. • This benefits the customers and the economy as a whole, and raises the standard of living of everybody. • This could be viewed as a negative impact by many, but noone can deny the impact it has had.

Rise in Technology and Know How • The rise in knowledge levels of countries as newer cultures and technologies are opened to a particular area are clear. • Their knowledge base also grows and expands simultaneously. • As a result, they are better able to handle their primary and secondary industries, and this ultimately affects their tertiary sectors in a positive manner as well.

Rise in Opportunities

• With a larger number of industries and resources available, the opportunities for people grow exponentially too. • There are many more jobs available to people, and more and more people are also exposed to the lucrative benefits of moving abroad. • This increases immigration rates as well, thus giving people the chance to grow economically and socially. • Whatever your viewpoint of immigration, there is no doubt it has opened up masses of opportunities to millions of people who would otherwise have not seen any improvements

Rise in Investment Levels • The rise in foreign investment in countries helps industries and native cities grow at a rapid pace, and this is something that every nation should be open to since it is a highly beneficial venture for them. • There is so much that they can gain in the process as well. Every country now imports more than ever before, so that global growth has shared resources and abilities in a way that we could never have imagined even 50 years ago