This goal of growth in economy can be achieved through international trade, which involves many countries. Despite the obvious gap between developed and developing countries, economic globalization can manage to bring out positive results for both countries. Benefits arising from economic globalization can be shared among different organizations in various nations. When countries get involved in global trade, companies in those respective countries also benefit from such a move. Nations as well as business organizations are able to explore new markets and therefore increase their output leading to economic growth.
To understand the impact of globalization on human Resources you must understand what globalization is and what it does. Globalization is a “process by which the experience of everyday life, is made clear by the dissemination of goods and ideas, is becoming consistant globally. Aspects that have also added to globalization include increasingly sophisticated communications and transportation technologies and services, mass relocation along with the movement of peoples, a level of economic activity that has outgrown national markets through industrial combinations and commercial groupings that cross national frontiers, and international agreements that reduce the cost of doing business in foreign countries. Globalization offers huge potential profits to companies and nations but has been complicated by widely differing expectations, standards of living, cultures and values, and legal systems as well as unexpected global cause-and-effect linkages (Encyclopedia Britannica).” Globalization is a word in business that indicates the incorporation of an organization's operations, processes and strategies into various cultures, products, services and ideas. While globalization has evolved, the responsibility of human resource management should not be understated.
Globalization: Globalization can be seen as reduction in barriers between countries. Globalization has opened the world market for international trade. The movement of globalization have contributed to the spread of knowledge, culture, technology, and information across borders. The increasing role international expansion across border has also increased the focus of multinational corporations to international business strategies. Organizations today in developed nation or in developing nation are going international due to increase in competition.
Introduction Globalization has been more significant nowadays. Many of the large firms are truly global and even some small organization increasingly participate in cross border activities. Globalization has offer many opportunities and challenges to individual managers, businesses and governments. The expansion of global market has created a need for managers who are familiar to the problems of international trade and finance such as culture, technology, foreign exchange and political structure. The trend toward a single global economy is expanding markets and providing opportunities to managers.today, countries are going to work together as more of a global economy.
It is the result of growing incorporation of economies in the world, predominantly through the movement of labor, technology, knowledge, services, merchandise and investments across international borders. Globalization also has a direct effect on the social, environmental and political aspects of the economy (ibid). Enhancement in technology is the key driving force of globalization. Advancement in technology especially the growth of internet and telecommunication infrastructure has facilitated an easy method of communication and conducting business globally and creating global markets. Moreover the interconnections of economies will increase both opportunities for the business and competition among them.
The difference is that international trade is quite big. It includes merchandise exports, trade in service, licensing and franchising, and foreign investments. International benefits both the nations and firms. Nations gain by earning foreign exchange, more efficient use of domestic resources, greater prospects of growth and creation of employment opportunities (Major difference between Domestic and International business). Firms have prospects for higher profit, greater utilization of production capacities, way out to intense competition in domestic market and improved business vision ( Major difference between Domestic and International business).
Essay Introduction Globalization is an umbrella term for complex senses of economies, social and technological culture and political change that increase the independence integration and interaction between people and business in disparate locations.it can be also known as the shrinking of the time and space. As globalization affects country and people all over the world economic and culture factors play a very large role. The world has become a globalize village so everyone is connected, there is no more barriers International business is a clear result of globalization, foreign markets are increasingly becoming bigger and bigger. Importing and exporting has become one of the successful features of business. INTERNATIONAL BUSINESS
Introduction: Due to increasing trade and cultural exchange, the world is getting more interconnected day by day. This process is widely known as Globalization. The effects of Globalization in business have reflected so rapidly that new concepts and related theories have been developed and are specifically known as ‘Global Business Management’. The relatively new business concepts adopted in regard to the globalization are generally a blend of strategic management and the universal business which are intended to be developed worldwide as effective b¬usiness methods for international business entities. The recently developed business related studies usually scrutinizes general business conditions which came up with the conclusion that the
Globalization has affected every aspect of the business community in one way or another. Globalization in a simple sense is a business’s movement from one country to another. This is done for a number of reasons; amount of readily available resources, labor market, increased number of customers, and to ultimately become more profitable. There is a decisive advantage for a business to move overseas, but there are a number of drawbacks globalization creates on the local economy. When businesses become an international entity the home country experiences increased unemployment rates, the human resource department now has to manage across borders, prices of goods fluctuate, and forcing wages to decrease for unskilled workers and increase for skilled ones.
When identifying potential markets we must consider the benefit, risks and costs associated with each market. There are several questions that need to be asked. The first one being, what is the political stability and economic growth rate of the country. This will determine how high the risks are to enter and the future profitability of the market. In less developed nations you will find the risks are greater, the costs may also be greater as there is likely to be less infrastructure, more back handed payouts to the government for entitlements to do business etc.