Business & Management - Globalisation
Globalization Unit 1.9
Focus Question
1. What is globalization?
2. What are the causes and impacts of globalization?
3. What are some indicators of globalization?
In business, the competition will bite you if you keep running. If you stand still, they will swallow you.
William Knudsen (1879-1948), former president of GM.
Overview what is globalization?
* What is globalization? * The integration of the world’s economies in relation to their economics, sociology, and politics. * It is an attempt to produce and sell the same products or services in different countries.
* Why are companies interested in globalization?
* Is globalization the right move for some companies?
* What are some indicators of globalization?
* Globalization can also be defined as the growing interdependence of the world’s economies. * Whereby national economies join together into a single global economy. * With globalization, the political and economical decisions of one country are likely to affect those in other parts of the world, too. * MNC will design and market their products to the world. * Products are easily recognizable * Same production processes
The Effects of Globalization on Business Activity
Increased Customer Base
Increased Customer Base
Customers’ Expectations & needs
Customers’ Expectations & needs
Competition
Competition
The Effect
The Effect
M & A’s Joint venture
M & A’s Joint venture
Choice of location
Choice of location
Economies of Scale
Economies of Scale
Multinational Corporations
Focus Questions * What are the reasons for the growth of MNCs? * What role and impact do MNCs have in the global business environment?
* What is a MNC? * A business that operates in two or more countries. * It is also called a transnational corporation * Examples of MNC
Coke
Dell
Samsung
LG
Hyundai
Wendy’s * Reason for Becoming a MMN *
Focus Question
1. What is globalization?
2. What are the causes and impacts of globalization?
3. What are some indicators of globalization?
In business, the competition will bite you if you keep running. If you stand still, they will swallow you.
William Knudsen (1879-1948), former president of GM.
Overview what is globalization?
* What is globalization? * The integration of the world’s economies in relation to their economics, sociology, and politics. * It is an attempt to produce and sell the same products or services in different countries.
* Why are companies interested in globalization?
* Is globalization the right move for some companies?
* What are some indicators of globalization?
* Globalization can also be defined as the growing interdependence of the world’s economies. * Whereby national economies join together into a single global economy. * With globalization, the political and economical decisions of one country are likely to affect those in other parts of the world, too. * MNC will design and market their products to the world. * Products are easily recognizable * Same production processes
The Effects of Globalization on Business Activity
Increased Customer Base
Increased Customer Base
Customers’ Expectations & needs
Customers’ Expectations & needs
Competition
Competition
The Effect
The Effect
M & A’s Joint venture
M & A’s Joint venture
Choice of location
Choice of location
Economies of Scale
Economies of Scale
Multinational Corporations
Focus Questions * What are the reasons for the growth of MNCs? * What role and impact do MNCs have in the global business environment?
* What is a MNC? * A business that operates in two or more countries. * It is also called a transnational corporation * Examples of MNC
Coke
Dell
Samsung
LG
Hyundai
Wendy’s * Reason for Becoming a MMN *