Globalization

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Question 3

How does globalization impact the marketplace

Globalization has affected the economy of different countries in various ways

Communication

Transfer of information is the most valuable factor of production in the current market. Globalization has eased the transfer and exchange of information from one country to another. There is a need for communication between the buyer and the company who might be in different parts of the world.

Quality of Good/ Services

To excel in the modern world, you must strictly conform to the customer’s specifications. By going global businesses explore all possible opportunities, there is in the market. Some of these opportunities help improve the quality of the services/ product they offer to customers and lowering the cost of the product.

Marketing strategies

Globalization has made companies to change their marketing strategies so prevent loss of their customers to competitors. The new policies are also set to capture new markets all over the world.

Regulations

Due to the increased rate of globalization, controls have become a necessity. These restrictions are meant to protect the local industries and over extraction of natural resources. These controls are also intended to monitor how industries operate to avoid degradation of the environment through global warming. Regulations are also set to ensure a balance of trade in a country.

Question 4

My opinion has remained constant since globalization is the secret of ensuring the company remains competitive. It's only through globalization that a company can have access to the unlimited fund, diversified markets and enjoy economies of scale. By exploiting these opportunities can register growth in profits because of the reduced costs of production.

References

Pedersen, T., Asmussen, C. G., & Devinney, T. (2011). Dynamics of Globalization: Location-Specific Advantages or Liabilities of Foreignness?. Bradford: Emerald Group Pub.

Sáenz, M. (2002). Latin American perspectives on globalization: Ethics, politics, and alternative visions. Lanham: Rowman & Littlefield Publishers.

Schaeffer, R. K. (2009). Understanding globalization: The social consequences of political, economic, and environmental change.

Chen, J., Smekal, C., & Joint Conference. (1998). Economic effects of globalization. Aldershot [u.a.: Ashgate.

Rao, C. P. (2001). Globalization and its managerial implications. Westport, Conn. [u.a.: Quorum Books.