MGMT20144 Management Business Context-Advantages of Globalization 

Answer:

The presentation primarily focuses on; the general concept of globalization and its influence in the global business  Siemens as a case study organization  effect of globalization on the company recommending suitable strategies that can be adopted to increase the company performance.  

Concept of Globalization  

Definition- is a process of interaction and integration among organizations, people, governments, of different nations (Jogan, 2014). Driving factors-  Information technology, international trade, and investment (Friedman, 2007). Goals- uniting the world into a global unit in sharing culture, economic development, environment, and political systems (Hill & Hult, 2016). 

Advantages of Globalization  

According to Jogan (2014), globalization helps in the following aspects; helps developing countries catch up to industrialized nations much faster thus expanding their economies outsourcing brings jobs and technology  thus reducing labor and production costs (Ghemawat, 2011). broadening of the notion of social injustice from a national to an international scale (Zhmudska, 2013) exchange of culture, art, ideas, language and music fosters understanding between different cultures 

Background of the Organization  

Siemens AG is an international electrical and electronics company  (Sergei, 2017) Turnover: £53 billion.  Location: Munich, Germany UK Headquarters: Bracknell, Berkshire with over 100 offices No. of Staff: 21,000 Operation areas: expertise includes ICT, communication, healthcare, energy, healthcare, and transport.  

Main issues affecting the company in relation to globalization 

Effective performance of the company is primarily affected by; Competition in the international market (Hill, 2015) Corporate security challenges often affects the operation of the business leading to losses Currency fluctuation affects the profitability of the business wealth disparity in different areas of operations 

Alternative Business Practice Options  

Product diversity- will enable the organization to offer various products that meets different client needs  and notches in the market that are not yet covered (Chowdhury, 2010). Customer relationship management- satisfactory customer service as a secret of customer retention (Zhang & He, 2011). Quality assurance on the products given to the customers (Ahlstrom & Burton, 2010).  

Conclusion 

Despite the challenges experienced by the organization, globalization is of more benefit than challenges. The company hence needs to adopt the recommended strategies with the aim of addressing the challenges  

References  

Ahlstrom, D., & Burton, G. D. (2010). International Management. Cengage Learning: Mason, OH, U.S.A. Chowdhury, A. (2010).

Understanding How Globalization Fosters Insecurity. International Studies Review, 12(4), pp.672-674. Friedman, T. (2007).

The World is Flat: A brief history of the 21st century, Release 3.0. Picador: New York, N.Y. Ghemawat, P. (2011). World 3.0: Global Prosperity and How to Achieve It. Harvard Business School Publishing: Boston, M.A. Hill, C. W. (2015).

International Business: Competing in the Global Marketplace. (10th Ed.). McGraw Hill: New York, N.Y. Hill, C. W. (2009). International Business: Competing in the Global Marketplace. McGraw Hill: New York, N.Y.  Hill, C. W., & Hult, G. T. M. (2016).

Global Business Today. (9 th Ed.). McGraw Hill: New York, N.Y.