To be successful in today’s global market, managers and leaders need to understand more than just technical skills. Managers and leaders should also understand globalization and organizational behavior. Globalization is the tendency of businesses, technologies, or philosophies to spread throughout the world, or the process of making this happen. The global economy is sometimes referred to as a globality, characterized as a totally interconnected marketplace, unhampered by time zones or national boundaries (Search CIO). Organizational behavior is a field of study that studies individuals groups, and structure. Organizational behavior applies the knowledge gained about individuals, groups, and the effect of structure on behavior in order to make organizations work more effectively (Robbins,2014).Gaining an understanding of globalization and its effect on organizational behavior is crucial to interacting effectively in the modern global economy. Globalization affects an organization’s behavior in several ways like stimulating hyper competitive pricing for a product or service, perpetuating continuous operations and communicating around the clock and globe, capitalism is replacing governmental control and organizations are no longer constrained by borders, and corporations are becoming more heterogeneous and adapting to people who are from different nationalities and cultures. To be successful in a global economy, professionals should have a thorough knowledge of sociology, psychology, communication, and management.
The global economy has enabled customers to enjoy a buyer’s market where the company with the most competitive price possible for a product or service receives orders from customers around the world. The burgeoning world ...
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...ad of capitalist organizations that are no longer constrained by borders are replacing governmental control, and corporations are becoming more heterogeneous and adapting to people who are from different nationalities and cultures. In the modern global economy professionals who possess an understanding of sociology, psychology, communication, and management are more likely to succeed in business. “Globalization has changed us into a company that searches the world, not just to sell or to source, but to find intellectual capital - the world's best talents and greatest ideas” as cited by Jack Welch N.D.
Works Cited
Greenspan, A. (2008). The age of turbulence: Adventures in a new world. New York: Penguin Press.
Robbins, S. P., & Judge, T. (2014). Essentials of organizational behavior. Boston: Pearson.
Webster, M. (2014). Retrieved: www.merriam-webster.com/
Moorhouse, A. (2005, November). International Management Organizational Behavior. Retrieved October 16, 2008, from University of California Berkley: http://www.ocf.berkeley.edu/~matran/Files/proKarenLeary.doc
Going global for an organization is not as easy as it echoes. International marketing is an important factor in helping organizations to become global and becoming globally competitive. According to Cateora, Gilly, and Graham (2013), “international marketing is the performance of business activities designed to plan, price, promote, and direct flow of the companies goods and services to consumers of users in more than one nation for profit” (p. 10). International marketing strategies and its efficiency assists in the expansion of an organization. Moreover, the major goals of a marketing manager are to reduce risk and capitalize on returns in profit. Global expansion has developed a tactical imperative for nearly all large organizations and marketing managers have a great deal on their hands in developing, monitoring and changing these strategies. Harley Davidson has been no stranger when it comes to crossing into international sales.
In today’s business market leaders are face with diversity in there follower and who they do business with on a global scale. It is more and more obvious that products in a store are marked from a plethora of countries not just made in the country of origin from where you are from due to emerging markets. This interconnected production of products can be designed in one country and engineered in another as well as manufactured in several regions then sent to be assembled in yet another. Foreign trading and exporting is becoming the status-quo, to flourish in a competitive market, with rapid industrial growth around the world in developing countries. Opening up opportunities for growth as well as increasing the
According to Hanser and Gomila (2015), “Globalization is the process by which societies, cultures, and economics around the world have become integrated due to advances in communication and transportation technology, as well as the passage of laws and treaties that facilitate this integration” (p. 7). The concepts of globalization have impacted small, medium and large businesses in the United States. Globalization has influenced the way leaders think, make decisions, and lead their organization. We are surrounded by super information highways and modern technology, which makes it easier and accessible to conduct business across nations.
The organization has had to ensure that it has retail stores in many countries globally and website options in more than 100 countries. The company further enhances access of online stores in more than 37 countries which is accessible all the time and people are able to access the services regardless of their location. Globalization further affects the organization in the sense of international market management which requires it to engage in strictly global decision making. The organization’s production networks have been geared to enhancing global competition (Lüsted, 2012) .The Company is further good when it comes to seizing the opportunities available in global market. For the organization to find efficient as well as cheap means of production, it has to bargain hard so as to allow its contractors to have low profits. This mostly is consequential to the suppliers cutting corners with the use of cheap
A global business landscape presents significant management challenges. Managers must lead companies operating both physically and virtually in multiple countries. The cultures of the countries a business deals with give rise to varying management styles, which must be respected to operate effectively. Managers visiting offices in foreign countries experience different cultures and this can produce shock. The way management responds to these challenges impacts the globalization of business.
In the last decades, small national companies have grown in amazing scale all around the world. Companies that once were family owned have become huge multinational corporations. Corporations, which by the side of globalization, have expanded all around the world. International business has become one of the most important areas of business due to the need for companies to expand to markets outside their borders. Companies have had the need to adapt to another cultures and business systems. At the same time the way human resource management works has changed. Multinational corporations have had to adapt to new human resource requirements in order to be more effective and efficient. The business melting pot that surged in the last decades has forced corporations to develop a diverse workforce with the ability to expand their businesses.
The global marketplace is an area that is very difficult to be successful in. It is for this reason that businesses must compete with each other in an attempt to pip their opposition and gain a competitive edge amongst the constantly changing global environment. At the heart of this are managers and leaders to ensure that the company is able to stay on track whilst maximising revenue and limiting production costs.
One of the major trademarks of the twenty-first century business environment is the expediential growth of globalisation. Today’s communications, trade relations and global mutual dependence impose new and ever changing challenges on company’s strategists. The world trade has grown phenomenally as a result of globalisation. (Al-Hyari, et-al, 2011) Transportation of people and goods to all areas of the world has never been as fast and cost-effective as it is today (Pinho and Martins, 2010). Globalisation can be briefly defined as a historical process which is characterised by a growing engagement between peoples on all corners of the globe (Modelski, 2003, pp.55-59)
Globalization has been on the rise since the 1970’s when the creation of steel transport containers made trading goods easier and cheaper for traders across continents. Since the 1970’s trade has been a huge staple in the American marketplace and has increased the economy of America more than 50%. Although, globalization has been profitable for some businesses, the challenges that companies face with globalization have threatened to impact the global trade market. In this paper we will pinpoint three specific challenges some businesses may face with globalization. We will discuss the impact of culture, societal perception and communication technologies
In this paper, we would compare and contrast two countries Turkey and U.S.A according to practices of organizational behavior. First of all, I would to speak about globalization because globalization has affected organizational behavior. We speak over fifty years about globalization. What is it globalization and what is the relationship between globalization and organizational behavior? Globalization is the integration of international market and other cultures with global economy. There is no board and businesses are across the world so that the relationship between cultures, society, politics and business are affected each other. Therefore, globalization has changed the element of management, leadership, communication, motivation, diversity and teams that demonstrate the relationship between organizational behavior and globalization. Of course, all countries are not affected by globalization same size. Some countries have main differences such as culture, religion, region and other beliefs. An analyze of organizational behavior practices between America and Turkey will be interest because there is very limited resemblance. Although we can be considered more collectivist, American have a more individualism that is why we have the most important
Globalization is the propensity of organizations, advancements, or methods of insight to spread all throughout the world, or the procedure of getting this going. The worldwide means global economy is in some cases referred to as a globalism, considered as a completely interconnected commercial centre, unrestricted by time zones or national limits. Due to the globalization nowadays international markets are growing rapidly and a lot of multinational companies are focusing their strategies to international customers. This is really a holistic approach. So most if the company’s international management and managers are good and future orientated. International management is the
Globalization remains a pivotal topic in many schools of thought, and continues being a topic of controversy even in local economies today. Perhaps the reason for this is integration and competitiveness the world over. Conceivably, even more than integration, is the competitiveness of organizations, has possibly facilitating the fascination and misconception about of globalization. Nevertheless, globalization has brought about a number of effects influencing the design and geographical location of the organization. However, globalization has effectively placed the world in a bubble, or maybe one could equate the changes to being placed in an envelope.
Globalization comes in a four-part package including diversity, training, money proficiency, and overall standards. Diversity is the state of having variety, in the business terminology this means a more diverse workplace and customers. Businesses that are conforming to this new idealism need to gain new policies in the workplace. Companies now can subject themselves to areas in the world to a want and need basis based off of that culture. In the training segment of globalization, managers need to implement a new style of training in the workplace to conform the new diversities and cultures that they are working with. One of the battles with this topic is discrimination and how new styles of management are being used to consolidate to commute to everyone's needs. Cultural discrepancies can be managed in a proper and more meaningful matter through educated based managers to help consume the diverse world we live in. One downside to globalization is the money proficiency aspect, more and more companies are outsourcing to save money on products that would cost a lot more if being manufactured in the United States. This has resulted in sending jobs overseas rather than keeping the money in the states. Although this may benefit the large companies, this also hurts the small business side
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.