Global Business Environment and its Key Factors

This presentation discusses the concept of globalization and its impact on international trade and business economy. It also covers the key factors of cost, market, environment, and competition that affect trade and commerce. The presentation further explores the complexity of strategic challenges faced by organizations operating in a global environment, including language barriers. Additionally, it includes a PESTEL analysis of Sasol, identifying the internal and external factors affecting the organization. References are also provided for further reading.

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Global Business
Environment

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INTRODUCTION
Globalization is the process of making interaction and communication
with the people, different organization and around the world. With the
help of globalisation, interaction between the people has increased which
can help in exchange the ideas and belief of different people together. This
increases in global interaction has generated the growth of international
trade and enhance the business economy.

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Key factors of cost, market, environment and competition
which affects trade and commerce globally
Trade of globalisation is about the exchange of good and
service around the world. It can helps in enhancing the
productivity and profitability of an organisation and promote
it an international level. Globalisation helps in connecting
the people and make interaction which can helps in company
to grow more rapidly and in effective manner. International
trade of business depend on the connectivity and
relationship with the different culture people.

z PESTEL analysis of Sasol
PESTLE analysis is the tool for identifying the internal and
external factor which affect the organization. There are six
factors of Pestle analysis which includes:-
Political:- This factor includes the the government policies
and laws which effect the organisation. SASOL implement
the laws and policies on the basis of government rules
because it can helps in managing the work in an effective
manner. It is most important for every organization to
analyse the current policies and trends of government action
regarding the business organization.

z Complexity of strategic challenges an organisation faces
when it operates in a global environment
Global business faces many difficulties and challenges
which causes the uncertainty in the business environment.
Strategy is the ability to set the goals for long term because
it can manage the process and changes of an organization
and it achieve the more success:-
Language barriers:- it is the major difficulty which is faced
by an organization while expanding it internally because
communication is the major problem due to the different
culture countries (Rua, França and Ortiz, 2018).

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CONCLUSION
From the above discussion, it is conclude that globalisation helps
interacting and making relationship with people as well as different
countries which can enhance the business growth and drive the
organization at international level. There are various factors which
affect the organization and decreases the productivity of the
business.

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References
 Aerni, P., 2018. Global business in local culture: The impact of
embedded multinational enterprises. Springer.
 Al-Shammari, M., Farooq, M.O. and Masri, H. eds.,
2020. Islamic Business Administration: Concepts and
Strategies. Bloomsbury Publishing.
 Kasemsap, K., 2020. The role of strategic outsourcing in global
business. In Foreign Direct Investments: Concepts,
Methodologies, Tools, and Applications (pp. 236-268). IGI
Global.

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Thank You