Global Business Environment: Sasol Limited Case Study
Verified
Added on 2023/06/05
|12
|1341
|157
AI Summary
This presentation analyses the concept of globalization, PESTEL analysis, key driving factors of globalization, significant impact of digital technology upon globalization, challenges globalization brings to Sasol, and recommendations to overcome the challenges.
Contribute Materials
Your contribution can guide someone’s learning journey. Share your
documents today.
Unit 18 – Global Business Environment
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
INTRODUCTION Global Business Environment is defined as the environment in different countries with the factors to the environment of home of the organization influencing the decision making process. Sasol Limited is a company with fast growing energy and chemical products and services. Thus, the presentation will analyse the concept of globalization will be defined and described in effective manner. Moreover, PESTEL analysis was also explained in the detail manner and moreover, the key factors of globalization will also be described for the company Sasol Limited. Significant impact of digital technology upon globalization will also be addressed and explained. Furthermore, the challenges and complexities which globalization brings to Sasol will be formulated. Proper recommendations will also be provided for the challenges which are faced by the company.
MAIN BODY 1.Concept of globalization Globalization is the process of interaction and integration among people, governments and companies worldwide. It helps in describing that how the trade and technology have made the world into more connectedandinterdependentplace.Therearevariouschangesinthesocialandeconomic environment and this helps in providing the concerns regarding the aspects related to growth and development. Globalization is the process which helps in analysing the business at large scale and this concerns the growth and development of the businesses in effective and efficient manner.
Globalization is important for the overall circumstances which are being mentioned and this concerns the aspects related to the changes in the economy, business and how people interact. This helps in creating value for the aspects related to business expansion and how it is related to business growth and development. Globalization helps in understanding the concerns regarding the nature of economic activity between the nations, opening global supply chains and providing the access to natural resources at large scale. This will help the business to identify the concerns regarding the business aspects related to the growth and development at large scale.
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
2. PESTEL Analysis for broader and global influences on organization The company Sasol is the fast – growing energy and chemical company which helps in creating value by understanding the needs and requirements of the business and for this PESTEL analysis is being done and this is described as below – PESTEL Analysis - Political –Highly political instability has been identified with the company Sasol Limited. It has then serious implications for consumptions, economic growth, investment etc. Sasol should actively scan the political environment for quick adaptation with changing policies. Economic –The efficiency of financial markets, Sasol can successfully create value so that they stay ahead of competition. There has been slow economic growth rate which affects the Sasol Limited revenue growth rate.
3. Key driving factors of globalization There are significant factors which are the main key drivers of globalization and these are mentioned as – Technological Change –Rapid and sustained technological changes are the key measures and factors which should be concerned and this constitutes measures of growth and the development in the aspect of globalization. Technological changes have reduced the cost of reducing the cost of transmitting and communicating the information which is regarded as important to be noted and addressed at large scale. It is the key factor behind the trading process in Sasol Limited products and services at large scale by using the web technology in effective and efficient manner.
4. Significant impact of digital technology upon globalization Globalization is the key concern why the business is categorised and are working in some pattern according to the changes which are observed at large scale. There are different digital platforms which changes the economy of doing the business across the boarders and this brings down the cost of international transactions and interactions at large scale. They help in creating the markets and user communities with global scale which are represented at large scale. They also help in providing the huge base of potential customers and effective ways to reach them.
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
Rapid innovation is leading to analysing the concerns of business which are in progressive manner and this is helping to create value for addressing the aspects which are in progressive manner. Different markets which are created with the perspective and changes in the global scale are being addressed and are evaluated in the perspective of knowing and understanding the different ways through which the companies have changed their ways of working by adopting the social media strategies and channels through which they are able to promote the products and services at large scale.
5. Critical evaluation of challenges globalization brings to organization There are some major challenges which Sasol Limited is facing due to globalization and this helps in creatingvalueandaddressingtheproblemsandissuesregardingtheglobalizationwhichthe organization is bringing. Thechallenges globalization brings to organizationare – Currency Risk –Sasol can face the problem and issues regarding the currency risk and this is the major point which is to be addressed within the concerns of challenges globalization is bringing in the organization at large scale. Sasol can have the possible profit and loss which may be caused by the fluctuating profit and loss by the exchange rates of the company to one another. The challenge for the globalization is the product of Sasol Limited which helps in describing the concerns regarding the equal opportunities which are being represented to the company at large scale.
6. Recommendations to overcome the challenges There are certainrecommendations which will helpinaddressing the key concernsregarding overcoming the challenges and these are mentioned as – The currency risk should be reduced by the means of concerning the finances and costs which will help in providing the stages related to effectively evaluating the stages. The managers which are spread globally should communicate to initiate the strategies so that they are able to progress with the business decisions which are being undertaken. The structure of the services and products should be framed easily to be made available to customers. The political risk can be reduced in effective manner.
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
CONCLUSION Thus, it has been concluded from the above presentation that concept of globalization was defined and described in effective manner. Moreover, PESTEL analysis was also explained in the detail manner and moreover, the key factors of globalization were also described for the company Sasol Limited. Significant impact of digital technology upon globalization was also addressed and explained in the manner which helped in knowing the changes in the digital platforms. Furthermore, the challenges and complexities which globalization brings to Sasol was formulated and analysed in different manner. Proper recommendations were also provided for the challenges which were faced by the company.
REFERENCES Books and Journals Ahmedov, I., 2020. The impact of digital economy on international trade.European Journal of Business and Management Research. 5(4). Babenko, V. and et.al., 2019. World informatization in conditions of international globalization:Factors ofinfluence.GlobalJournal of Environmental Scienceand Management. 5(Special Issue). pp.172-179. Burlacu,S.,Gutu,C.andMatei,F.O.,2018.Globalization–prosand cons.Calitatea. 19(S1). pp.122-125. Chang,V.andet.al.,2020.HowBlockchaincanimpactfinancialservices–The overview, challenges and recommendations from expert interviewees.Technological forecasting and social change. 158. p.120166. Chen, S. and Zhu, F., 2019. Unveiling key drivers of urban embodied and controlled carbon footprints.Applied energy. 235. pp.835-845.