Impact of globalization on an organization.
Evaluate the impact of globalization on an organization.
Student Success Criteria
View the grading rubric for this deliverable by selecting the “This item is graded with a rubric” link, which is located in the Details & Information pane.
Scenario
As part of your responsibilities on the board of a regional strategic committee for your local Chamber of Commerce, you have been asked to create a presentation on the effects of globalization on large companies. You are assigned the task of creating a PowerPoint presentation to present at a pitch meeting for the Chamber and you will be selecting a Fortune 500 Company to use in the presentation.
The presentation should contain information on how companies are navigating globalization and the types of strategies they employ. Be sure that each business leader on the committee understands the importance of globalization.
Prepare a PowerPoint presentation with speaker notes that addresses the following:
Introduction to globalization.
Explain the 3 common international strategies that companies can use for globalization and how they impact business operations.
Describe the advantages and disadvantages of globalization on business operations and performance metrics.
Discuss 3 ways that globalization affects organizational performance metrics for each recommendation above.
Provide recommendations for businesses that want to employ globalization.
Provide attribution for credible sources for the presentation.
Sample Solution
Advantages- Increased market size: Globalization allows companies to access new markets and customers. This can lead to increased sales and revenue.
- Lower costs: Globalization can help companies to lower their costs by sourcing materials and labor from other countries.
- Increased innovation: Globalization can expose companies to new ideas and technologies. This can lead to increased innovation and productivity.
- Improved efficiency: Globalization can help companies to improve their efficiency by streamlining their operations and reducing waste.
Full Answer Section
Disadvantages- Increased competition: Globalization can lead to increased competition from foreign companies. This can make it difficult for companies to maintain their market share.
- Political instability: Globalization can be affected by political instability in other countries. This can lead to disruptions in supply chains and increased costs.
- Cultural differences: Globalization can be challenging due to cultural differences between countries. This can make it difficult to communicate with customers and employees in other countries.
- Risk of outsourcing: Globalization can lead to outsourcing of jobs to other countries. This can lead to job losses in the home country.
- Sales: Globalization can lead to increased sales by expanding into new markets. This can lead to an increase in the company's top line.
- Profits: Globalization can lead to increased profits by lowering costs and improving efficiency. This can lead to an increase in the company's bottom line.
- Return on investment (ROI): Globalization can lead to increased ROI by investing in new markets and technologies. This can lead to an increase in the company's overall profitability.
- Do your research: Before you expand into new markets, it is important to do your research and understand the cultural and economic landscape of those markets.
- Build relationships: It is important to build relationships with key stakeholders in the countries where you want to do business. This will help you to navigate the local business environment and build trust with customers and partners.
- Be flexible: Globalization is constantly changing, so it is important to be flexible and adapt to changes in the market.
- Invest in technology: Technology can help you to overcome the challenges of globalization, such as cultural differences and language barriers.