Concept of Globalisation and its Impact on Business Environment

This presentation explores the concept of globalisation and its impact on the business environment. It discusses the driving factors of globalisation, the impact of digital technology, PESTLE analysis of organisations, and the challenges faced by globalisation. It also provides recommendations to overcome these challenges.

Business and Business Environment
TASK 1

1. Concept of globalisation
 Concept of globalisation is expansion and intensification of social, economic, culture,
political; relations across the border among companies , government and worldwide is
also known as capital expansion but it also includes goods , service s, capital ,
technology etc.
 Expanding global markets helps in liberalising the activities of exchange of goods and
services and removal of cross border trade barriers. Trade connectivity is the essence of
globalisation.
 The cross border integration is having some dimensions which can be
economical ,political and cultural.
 Basically, the concept of globalisation is concluded as economic integration and this
can happen with three channels that is trading of goods and services, movement of
capital and flow of finance.

CONTD..
 Globalisation brings many changes in different countries with positive and negative
effects.
 There` is effects of globalisation to individuals which meant it affected the living
standard of people in relation with comfort, material goods, necessities etc. they can opt
for the product which they find the best to satisfy their needs and wants.
 Globalisation has enhanced the process of outsourcing which helps other countries to
outsource the goods which are not available to them.
 Globalisation helps in further growth of the business as globalisation encourage
business to export their goods to the place where the demand is high so that they earn
good amount of profit by providing standard quality goods.

2. Driving factors of globalisation
Advanced technology Labour availability
and skills-
Changing Taste and
preferences of
customers
Liberalisation ion
financial sector-
Market and
competitive drivers-

3. Impact Of digital technology on globalisation
 Digital globalisation has increased the efficiency of businesses as they make convenient
for them to perform and trade effectively and efficiently.
 Digital globalisation have make easier for entrepreneurs, small and large companies to
trade internationally faster and with less cost.
 This form of globalisation save time and energy of people .this is the faster means of
communication.
Digital technology have a very significant and great impact on globalisation as:-
 It helps in intangible flow of data and information which is relevant for business's to
deal and trade among different countries of globe.
 The emerging economies are participating greatly due to efficient result of globalisation
due to new digital technology which is convenient and easy to use.

CONTD..
 Digital technology provides more knowledge at a time to the traders' so that
transparency maintains in between the traders different countries.
 Due to digital technology the free content and service are enhance to exchange more
and more .
 In addition, to above all, the innovation flows in both the direction due to
digital technology
 This technology has a greater impact on globalisation in positive way and encourage
many traders to encourage to the export contract and make globalisation more
successful and help their economies to develop and grow.

4. PESTLE analysis of organisation
 PESTLE analysis of Cameco says about the different factors which affect the
organisation in different ways.
 Cameco have to make changes in the organisation according to the change in macro
factors as they are dynamic and matching with changes is necessary for every
organisation to survive and grow in long run.

CONTD..
PESTLE analysis -
Political factor-
 The coma pony is exposing itself in more than one country under different
types of political environment and political risk. It is required by Cameco to diversify
the political risk, they should work in regulations provide by government so that they
can avoid interruptions to the production which will help them to expand their business
and grow further.
Economic factor
 The factors of macro environment are interest rate, growth rate, saving rate,
foreign exchange rate, aggregate demand and supply of their product . These all are the
factors through which Cameco Can forecast the growth level of their organisation.

CONTD..
Social factor-
 These factor include customers and societies taste and preferences ,
culture ,religion of the society in which Cameco so working,. It is the responsibility of
company to fulfil the need and demand of its customer and should not hurt the
sentiments of the people.
Technological factors
 Technological changes helps business organisation to expand their business
and improving their performance by providing quality products.
 Using of technological advanced products also help in optimum utilisation of all the
resources which ultimately help Cameco to grow

CONTD..
Environmental factors
 It is the prior responsibility to follow the policies which are made in view
with the protection of environment. Strictly following the rules and policies made for
protection of environment will, protect the environment and nature which will
ultimately benefit the organisation s well society also.
Legal factors
 There are some legal formalities which are required to fulfil by the Cameco
which ultimately help Cameco to grow so that they can avoid regular disruptions in the
working and can perform smoothly. Protecting their intellectual property rights will
help Cameco to protect themselves from any fraudulent activity and which will help
them in s smooth Woking of business.

5. There are some challenges which are to faced by globalisation some
of them are :-
 This one is to ensure that benefit of the globalisation should extent to all the countries
of the world, which is generally doesn't happen.
 Second one is to deal with the facing of insatiability because of globalisation
which is particularly founded in developed countries.
 Another challenge said that globalisation led top the greatest competition in
industrial world and leads to global competition which will be like a race in all aspects
related to labour rights, employment and environment practices, wages.

CONTD..
Strategic challenges faced by Cameco-
Lacking internal expertise-
Uncertainty about the future
Managing the changing business need for
talent and skills-

6. Recommendations to overcome these challenges
seek out necessary
resources-
stay focused and
committed
Develop a growth mind-
set
Providing standard
quality

REFERENCES
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of research on global supply chain management (pp. 45-71). IGI Global.
Salvatore, D., 2015. Managerial economics in a global economy. OUP Catalogue.
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