Introduction The researcher will examine and analyze the future of globalization and the impact of political, economical, legal, and technological factors on global business. Also, the researcher will analyze the financing and trade issues of the different types of economic systems. Impact of Political Factors on Global Business The impact of political factors on global business is vital to the success of businesses. An unstable political environment will have a negative impact on global business. Countries experiencing political unrest, wars, and acts of terrorism will deter other countries from entering into global business agreements. Analyzing China’s political factors predicts China will lead the world in global business in 2020. China’s change from red communist to orange peril is what will lead the country in having a positive impact on global business. Also, China is the second biggest country using Purchasing Power Parity (PPP) which has a significant positive impact on the growth of businesses globally. China’s political leaders’ decision to make changes in how business is conducted is one of the main reason the country purchasing power parity has greatly increased and the cause for economy and global business growth (Kennedy, 2005). Underdeveloped countries political leaders and decision-makers have a better understanding of how changes in laws, regulation, and policies could negatively impact on the country entering and/or expand global business. Further, underdeveloped countries understand the importance of building partnership with other countries in order to have a positive impact on increasing global business. In some cases, there are still some countries, whether developed or underdeveloped exper... ... middle of paper ... ...al Relations, 12(2), 89-101. Retrieved from http://search. proquest.com.libproxy.edmc.edu/docview/925792862?accountid=34899 Kennedy, S. (2005). China’s porous protectionism: The changing political economy of trade policy. Political Science Quarterly, 120(3), 407-432. Retrieved from http://search. proquest.com.libproxy.edmc.edu/docview/208275791?accountid=34899 Talaulicar, T. (2009). Barriers against globalizing corporate ethics: An analysis of legal disputes on implementing U.S. codes of ethics in Germany. Journal of Business Ethics, 84, 349-360. Retrieved from http://search.proquest.com.libproxy.edmc.edu/docview/198225399? accountid=34899 Unay, S. (2011). Global transformations and the MENA: A comparative political economy analysis. Insight Turkey, 13(1), 175-198. Retrieved from http://search.proquest.com. libproxy.edmc.edu/docview/848934278?accountid=34899
Nowadays, Globalization is a main trend for the world economic. The world’s economy has become fully integrated. There are no barriers and borders to trade around the world.
Globalization is the shift toward a more integrated and interdependent world economy (Hill, 2005). Globalization has several different areas including the
Globalization is a procedure of integration and interaction among the general population, organizations, and legislatures of various countries, a procedure driven by worldwide exchange and speculation and helped by data technology. It has consequences for nature, on culture, political frameworks, financial advancement and thriving, and on human physical prosperity in social orders far and wide. The overall is development toward financial, trade, economics and communications integration. In recent years, there is a growth for the production of companies in the industrialized countries to suppliers in developing countries.
With the proliferation of the internet international Business transactions are more common today than ever. Globalization is now a key factor when creating a business strategy for most companies whether they are small family own businesses or huge corporations. Globalization however does not just involve selling a product in other countries. There are legal and cultural concerns that must be addressed. The legal aspects are fairly simple because in most places the laws are spelled out. It's the local customs, and regional way of doing things that can be tricky. Research on globalization has shown that it is not an omnipotent, unidirectional force leveling everything in its path. Because a global culture does not exist, any search for it would be futile. It is more fruitful to instead focus on particular aspects of life that are indeed affected by the globalizing process. (1). In this new economy, as it has been in the past, it will be the people not the machines who will determine a company's success. Having an effective Human Resource Management team that effectively analyze your company's current and future personnel needs is key in any business organization.
To keep up with the fast moving phase of the global business era, it is a necessity for organizations to understand the larger forces that is shaping the macroenvironment of the foreign market. Companies usually decide to expand their market to grow their revenue in an untapped market, however, before doing so, the obstacles that are not typically encountered in the domestic market should be taken into account.
Our economic development will forever be defined as our ability to succeed internationally. PwC forecasts India’s real annual GDP growth until 2050 at 8.9 percent, Vietnam’s at 8.8 percent, and China’s at 5.9 percent. The list of fast-growing emerging markets goes on and on. The U.S. forecast is a meager 2.4 percent, comparable with most Western economies. The domestic companies that are likely to see incremental growth in the coming decades are those that are not only doing business internationally, but that are developing the strategic skill set to master doing business across cultures. Cross-cultural core competence is at the crux of today’s sustainable competitive advantage. For example, political environment will tell us, as to how and why political leaders control, whether and how of international business. Legal environment, both national and international will tell us about many kinds of laws by which business firms must work. The cultural environment will tell us about attitudes, beliefs and opinions important to business people. Economic environment will tell us about the economic system being followed by the host country, which may or may not be different from home country. It will also explain the variables such as level of development, human resources, Gross Domestic Per Capita and consumption patterns that determine a firm’s ability to do business. Geography will tell us about location, quantity, and quality of the world’s resources.
Research Paper Globalization Economic globalization has increased over the years more rapidly than anyone ever expected. The invention of new technological improvements, services and businesses is creating a major impact on the increasing trade of goods and services between other countries. Globalization is the worldwide movement toward goods, services, technology and capital, it is countries trading internationally establishing business between other countries for financial or specific resources. Debate.org states globalization is also of major importance for the exchange of ideas and ideologies throughout worldwide cultures. There are various advantages and disadvantages that come with international trade and by the end of the essay we will find out overall if the pros outweigh the cons for economic globalization.
In explaining the world in which we find ourselves today, globalisation has come to remain as the term of reference—it is the defining terms in contemporary society . In technical sense it is viewed as an “increase in cross-border economic interaction and resource flows, producing a qualitative shift in the relations between national economies and between national states”. This in abstract is what we currently experience as the global order of our time. Though the contributions of globalisation are remarkable and reflect to an extent positive impacts on the day to day activities of people, it as well comes with its consequential effects, thereby leaving its remnants on the quality of livelihood and the increasing gaps of inequalities that
THE POLITICAL ENVIRONMENT: The critical concern Political environment has a very important impact on every business operation no matter what its size, its area of operation. Whether the company is domestic, national, international, large or small political factors of the country it is located in will have an impact on it. And the most crucial & unavoidable realities of international business are that both host and home governments are integral partners. Reflected in its policies and attitudes toward business are a governments idea of how best to promote the national interest, considering its own resources and political philosophy. A government control's and restricts a company's activities by encouraging and offering support or by discouraging and banning or restricting its activities depending on the government. Here steps in international law. International law recognizes the right of nations to grant or withhold permission to do business within its political boundaries and control its citizens when it comes to conducting business. Thus, political environment of countries is a critical concern for the international marketer and he should examine the salient features of political features of global markets they plan to enter. THE SOVEREIGNITY OF NATIONS From the international laws point of view a sovereign state is independent and free from external control; enjoys full legal equality; governs its own territory; selects its own political, social, economic systems; and has the power to enter into agreements with other nations. It is extension of national laws beyond a country's borders that much of the conflict in international business arises. Nations can and do abridge s...
The expression "globalization" is generally utilized as a part of business rings and matters of trade and profit to depict the expanding internationalization of businesses for merchandise and administrations, the budgetary framework, companies and commercial ventures, innovation, and rivalry. In the globalized economy, partitions and national points of confinement have liberally diminished with the departure of tangles to market access. Furthermore, there have been decreases in transaction expenses and layering of time and separation in global transactions.
In the modern era of globalization the trade and international migration more increase. The rapid advancement of telecommunications (mobile phone, internet, and television) and the rapid advancement of transportation increasingly adding investment (FDI) from one country to another, and this has resulted in the national economy of a country will be part of the international economy that is global.
Almost everyone in the United States will use some form of technology during his or her life. Have you ever thought about how technology is used by those across the globe? Is technology as advanced in other countries as it is in the United States? How does globalization and technology go together? Globalization is defined as the process of integration across world-space arising from the interchange of worldviews, products, ideas, and other aspects of culture. Global technology can affect all areas of life including economical, medical, cultural, and political.need to cite definition Technology in globalization is how new things spread and help to better develop our world and the way we live. Many discussions have taken place in recent years about the use of technology and globalization and its impact on the world has been both criticized and praised. Globalization and technology are good for the world because they have had a positive impact on communication, education, science, medicine, economics, politics and social circles across the globe. Technology allows people from all lifestyles and from all around the world to be able to communicate with one another within seconds, instead of having to wait up to a couple of months for a letter to travel around the world to the other person and back. Advances in technology have pulled us out of the dark ages and into a light with inventions such as the cellular phone, jet engines, computers and the World Wide Web. Without technology, much of what we love and use every day to make our lives easier would not be possible. Globalization has helped to spread technology and helped people to work together and not just keep something new all to their selves but to share it with others for the ...
Globalization’s history is extremely diversified and began during the beginning of civilization. Now we live in a world that is constantly evolving, demanding people to use resources in locations that are very difficult to obtain certain resources. This could make it completely impossible to operate in these specific parts of the world. However, globalization allows people across the world to acquire much needed resources. Globalization creates the opportunity for businesses to take advantage and exploit the ability to take part of their business to a different country. Nevertheless, globalization is part of today’s society and will be involved in virtually all situations.
Stonehouse, G., Campbell, D., Hamill, J. & Purdie, T. (2004). Global and Transnational Business (2nd ed.). Chichester: John Wiley & Sons.
Globalization has been a start of a new modernized era in history. The source states that as an individual you are given prosperity, stability, and also predictability, and also points out that it helps developing countries modernize and catch up with developed countries, and also reduce poverty since new businesses are formed allowing more employment in the country due to the subsidies that wealthier countries give to them. The person who wrote this source is a pro globalist, and has probably experienced the prosperity that was given to them because of the global trading system. His perspective on globalization suggests that globalization is the key to advancing technology, good relations between countries, and is beneficial event in history. One should embrace the global economy as it creates many roads to achieve your goals in your life, and also for the weaker countries that needs support, but to a degree that the government can intervene with the market.