The following are some of the reasons why globalization is beneficial to the company. To start with, it will let the company create opportunities for commerce. One of the most important aspects of globalization is the establishment of various corporate structures. It opens up new avenues for importing and exporting goods and services through these kinds of businesses (Mangram, 2012). An essential component that promotes globalization is communication. For example, English is widely recognized as the language of international business. Using this language, the company can converse with other businesses that can converse with clients fluently in many different countries, like China, the UK, and Australia—the efficient integration of business etiquette aids in operating corporate discourse. Globalization is associated with communication chances and practical opportunities where people might be allowed to work based on their creative ability.
The second reason is that it is a smart business decision to help the company’s bottom line. With the ability to tap into new markets worldwide, evolving businesses have more options than ever, thanks to globalization (Mangram, 2012). Companies like Amazon and those based in China and India have been active in global marketplaces for quite some time. Consequently, the company and the country have focused on boosting the economy through better electricity and genuine operating services. According to globalization’s emphasis on the internally viable company plan, every business person should provide various trade options to the population. In addition, by collaborating to build and produce nations with greatly enhanced commercial characteristics, the organization will benefit from the prospects that globalization delivers.
In addition, the company will have access to outsourcing and procurement tools due to globalization. Businesses and trade opportunities to source labour and economical equipment are being enriched by the expansion of international marketplaces and evolutions in intercultural communication. Last but not least, the corporation will be able to gain benefits from nature thanks to globalization. Access to global markets will allow the organization to control its inherent advantages fully. Thanks to these inherent advantages, the company can develop high-quality, affordably priced local items.
A thorough strategic evaluation is the bedrock upon which globalization is built. As a result of globalization, the company can grow and capture a larger portion of the market. The corporation can boost its worldwide competitiveness, diversify its revenue streams, and potentially enhance revenue by expanding into other markets. Given this strategic connection to the company’s goals, it is critical to stress the impending importance of globalization (Kyove et al., 2021).
Customizing goods and advertising campaigns to match customer tastes is a key component of culturally competent marketing. Cultural analysis has helped the company capitalize on consumer behaviour patterns, tailor products and services to individual tastes, and gain a deeper understanding of cultural similarities. Successful companies understand the need for cultural sensitivity and responsiveness, which may lead to increased customer connections, brand loyalty, and global expansion.
Globalization is accelerated by discovering new markets and advantages through competitive analysis. The company can find ways to stand out and enter new markets by studying its rivals’ fortes and shortcomings. The company can maintain its position as a global leader by taking advantage of market gaps and actively obtaining information about its competitors (Kyove et al., 2021).
Using the balanced scorecard, one can assess progress in four key areas: financials, customers, internal procedures, and development opportunities. Analyzing key performance indicators (KPIs) using a balanced scorecard helps businesses identify their areas of strength and improvement and their long-term objectives. Using a systematic plan has allowed the company to monitor performance and direct its attention towards internationalization more accurately.
The UK is the global expansion target. Expanding globally generally chooses the UK for many reasons. Explaining these elements follows. Location choices are cost-driven. Studies include it as a decision-making variable practically everywhere. Geographical information systems prefer the cheapest location (Kalantari, 2013). Company competition was less important in the past. Pricing depends on location. Costs exceeding revenues will disqualify Affirm from the competition (Umlas, 2008). Costs are split. Costs include building, electricity, transportation, labour, and management. UK transportation, energy, management, and building costs are lower than in other European countries. The nation aims to expand globally.
Labour was considered when choosing a global site. Every firm needs workers. It affects strategic goals and operations (Umlas, 2008). If this happens, the organization will succeed. In many ways, employees shape the company. Education, training, unemployment, motivation, and union adaptability are issues. The company’s motivated personnel, solid education and training system, flexible labour union, and low unemployment rate make it suitable for the UK.
Infrastructure matters when picking a worldwide location. Infrastructure underpins a company. The firm should be in a region with enough infrastructure to maintain operations (Umlas, 2008). Infrastructure includes utilities, airports, land and marine transportation, dependability, and quality. The well-developed and stable transportation infrastructure and utilities support many airports and other modes of transportation. Potential location: UK.
The presence of conducive elements for doing business in the UK will cause the company’s productivity and profitability to skyrocket. The availability of trained labour, vast market size, and a supportive mentality towards business are just a few reasons why the UK is a great global location target for expansion. Factors include an efficient and productive workforce and good management of organizational endeavours that will allow the corporation to run its business profitably in the nation (Umlas, 2008). In addition, the corporation will be able to cover the whole cost with the earnings it achieves through efficient business procedures. So, the bottom line will look good, and the business will be able to grow and expand.
In conclusion, it is important for any executive or team member who disagrees with the necessity of globalization and the choice of the United Kingdom as a global expansion target to comprehend the emphasized elements, such as the accessibility of highly trained labour and a reliable political system. Further, the person should be aware of the significance of the elements and how they would aid in the development and expansion of the business in international marketplaces. Though other points of view are welcome, it is clear that the UK possesses nearly all of the factors essential to the company’s global expansion.
Kalantari, A. H. (2013). Facility Location Selection for Global Manufacturing.
Kyove, J., Streltsova, K., Odibo, U., & Cirella, G. T. (2021). Globalization Impact on Multinational Enterprises. World, 2(2), 216–230. MDPI.
Mangram, M. (2012). The globalization of Tesla Motors: a strategic marketing plan analysis. Journal Of Strategic Marketing, 20(4), 289–312.
Umlas, E. (2008). The Global Expansion of SRI: Facing Challenges, Meeting Potential. Development And Change, 39(6), 1019–1036.