Effect of Globalization on Car Industry Business Operations
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This paper explores the impact of globalization on the car industry business operations, including performance, quality, and revenue collection. It covers the forces of globalization, theoretical background, and proposed research methodology.
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Effect of the globalization on the Operation of Car Industry Business
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Effect of the globalization on the Operation of Car Industry Business
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Table of Contents
Description of Research...................................................................................................................3
Significance of Research.................................................................................................................4
Literature Review............................................................................................................................5
Definitions....................................................................................................................................5
Forces of globalization.................................................................................................................8
Expansion of Containers Shipments.........................................................................................8
Technological change...............................................................................................................9
Economies of scales.................................................................................................................9
The difference in tax systems...................................................................................................9
Theoretical background................................................................................................................9
Car Industry performance and globalization..............................................................................10
Theoretical framework and hypothesis......................................................................................11
Global Marketplace Opportunities and Car Industry Operations..............................................12
Business expansion through a technological revolution........................................................13
Car quality and cheaper prices...............................................................................................13
Formation of new branches....................................................................................................14
2
Table of Contents
Description of Research...................................................................................................................3
Significance of Research.................................................................................................................4
Literature Review............................................................................................................................5
Definitions....................................................................................................................................5
Forces of globalization.................................................................................................................8
Expansion of Containers Shipments.........................................................................................8
Technological change...............................................................................................................9
Economies of scales.................................................................................................................9
The difference in tax systems...................................................................................................9
Theoretical background................................................................................................................9
Car Industry performance and globalization..............................................................................10
Theoretical framework and hypothesis......................................................................................11
Global Marketplace Opportunities and Car Industry Operations..............................................12
Business expansion through a technological revolution........................................................13
Car quality and cheaper prices...............................................................................................13
Formation of new branches....................................................................................................14
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Effect of the globalization on the Operation of Car Industry Business
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Free capital movement and goods transportation...................................................................15
International Trade and Profit................................................................................................16
Global Marketplace threats and business Operations................................................................16
Global market insecurity............................................................................................................17
Proposed Research Methodology..................................................................................................18
Introduction................................................................................................................................18
Exploratory Research design.....................................................................................................18
Target population.......................................................................................................................19
Sampling and Sampling design..................................................................................................19
Data collection...........................................................................................................................20
Data Collection Techniques.......................................................................................................20
Questionnaire..........................................................................................................................20
Ethical issues..............................................................................................................................21
Data analysis..............................................................................................................................21
Evaluation of Research Methodologies.........................................................................................22
Conclusions....................................................................................................................................22
List of References..........................................................................................................................24
3
Free capital movement and goods transportation...................................................................15
International Trade and Profit................................................................................................16
Global Marketplace threats and business Operations................................................................16
Global market insecurity............................................................................................................17
Proposed Research Methodology..................................................................................................18
Introduction................................................................................................................................18
Exploratory Research design.....................................................................................................18
Target population.......................................................................................................................19
Sampling and Sampling design..................................................................................................19
Data collection...........................................................................................................................20
Data Collection Techniques.......................................................................................................20
Questionnaire..........................................................................................................................20
Ethical issues..............................................................................................................................21
Data analysis..............................................................................................................................21
Evaluation of Research Methodologies.........................................................................................22
Conclusions....................................................................................................................................22
List of References..........................................................................................................................24
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Effect of the globalization on the Operation of Car Industry Business
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Description of Research
The business environmental operations tend to be complex, dynamic that has numerous impacts
on the organization. The business environ is broad and entails human, financial and physical
resources that determine the strength and weakens of the business. In some cases, the
environment tends to change due to many reasons, such as globalization. Over the past few
decades, globalization on the business performance has received global attention. It is estimated
that the economic contribution from the business operations covers about 65% of the GDP of
most of the countries in the world. For example, in East Asia, business organizations form the
significant players of the exporting industry thus accounts for about 45% (da Rosa, de Mello &
de Castro, 2018, p.76). Numerous authors view globalization as an opening of the international
borders that allow free movement of foreign investments, information, and technology, thus
facilitating the development of the country. According to Berge, (2012,p.5), the inter-linkage
between the nations occasioned by the high speed of social, economic, technological and
political is more complex as well as multifaceted phenomena. The paper thus aims at exploring
the impact of globalization on the car industry; with emphasis on the performance, quality and
quality, and revenue collection.
Globalization was initially regarded as approaches to the big business entities, however, in the
current world; both the small and medium business organizations get affected by the effects of
globalization. Certainly, globalization affects business performance in both negative and positive
ways, thus it is instrumental for small business to understand the concept of globalization to
enable them to remain relevant in the current competitive business world (Saeed, Zulfiqar &
Rathore, 2015, p.298). This paper thus explores the impact of globalization on business
4
Description of Research
The business environmental operations tend to be complex, dynamic that has numerous impacts
on the organization. The business environ is broad and entails human, financial and physical
resources that determine the strength and weakens of the business. In some cases, the
environment tends to change due to many reasons, such as globalization. Over the past few
decades, globalization on the business performance has received global attention. It is estimated
that the economic contribution from the business operations covers about 65% of the GDP of
most of the countries in the world. For example, in East Asia, business organizations form the
significant players of the exporting industry thus accounts for about 45% (da Rosa, de Mello &
de Castro, 2018, p.76). Numerous authors view globalization as an opening of the international
borders that allow free movement of foreign investments, information, and technology, thus
facilitating the development of the country. According to Berge, (2012,p.5), the inter-linkage
between the nations occasioned by the high speed of social, economic, technological and
political is more complex as well as multifaceted phenomena. The paper thus aims at exploring
the impact of globalization on the car industry; with emphasis on the performance, quality and
quality, and revenue collection.
Globalization was initially regarded as approaches to the big business entities, however, in the
current world; both the small and medium business organizations get affected by the effects of
globalization. Certainly, globalization affects business performance in both negative and positive
ways, thus it is instrumental for small business to understand the concept of globalization to
enable them to remain relevant in the current competitive business world (Saeed, Zulfiqar &
Rathore, 2015, p.298). This paper thus explores the impact of globalization on business
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Effect of the globalization on the Operation of Car Industry Business
5
performance in various countries. The study aims at defining the term globalization with respect
to the business aspects, and explore the impacts of the globalization on the business activity; thus
on the performance of the business.
Significance of Research
First and foremost the study is beneficial to me as an individual as it enhances my understanding
on the globalization and its influence on both the local and universal business that will be
essential to both the class work and future professional career. Additionally, at the end of the
paper, I will be able to promote my research work performed. Secondly, the results of the paper
will significantly benefit the academia and researchers that are in the field of globalization and
international business since the study will add value to the existing international business and
globalization information. Thirdly, the information will be beneficial to the Car Industry and
other business organizations that are thinking of going global, since they will have extensive
information to help them determine the best decisions to make by evaluating past information.
Literature Review
The second chapter presents the literature review of globalization and business performance from
the past studies. The study entails definitions, theoretical background, and theoretical framework
and research gaps.
Definitions
It is observable globalization has numerous definitions depending on the context used. A good
number of globalization’s definitions are grounded on economic scopes similar to one accepted
5
performance in various countries. The study aims at defining the term globalization with respect
to the business aspects, and explore the impacts of the globalization on the business activity; thus
on the performance of the business.
Significance of Research
First and foremost the study is beneficial to me as an individual as it enhances my understanding
on the globalization and its influence on both the local and universal business that will be
essential to both the class work and future professional career. Additionally, at the end of the
paper, I will be able to promote my research work performed. Secondly, the results of the paper
will significantly benefit the academia and researchers that are in the field of globalization and
international business since the study will add value to the existing international business and
globalization information. Thirdly, the information will be beneficial to the Car Industry and
other business organizations that are thinking of going global, since they will have extensive
information to help them determine the best decisions to make by evaluating past information.
Literature Review
The second chapter presents the literature review of globalization and business performance from
the past studies. The study entails definitions, theoretical background, and theoretical framework
and research gaps.
Definitions
It is observable globalization has numerous definitions depending on the context used. A good
number of globalization’s definitions are grounded on economic scopes similar to one accepted
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/0629a88b-2672-4206-9650-5e903564adad-page-6.webp)
Effect of the globalization on the Operation of Car Industry Business
6
by the World Economic Forum. According to W .E. F, Globalization refers to the digital
revolution and economic development that are supported by the enhancement of communications
and transportation infrastructure, and elimination of capita transfer barriers (da Silva, Santos &
de Morales, 2017, p.77). On the same note, IMF refers to globalization as the interdependence of
the country’s economic status that results from the free movement of money across the borders.
According to globalization refers to the process of enhancing the inter-connection of social and
cultural aspects, gaining of the political interdependence, growth of economic status, integration
of the financial and market (Aman, 2018, p.568). For the purpose of the study, globalization thus
refers to the enhancement of the market and trade beyond the borders of a nation.
Small and medium-size business organizations refer to the organizations that are operating
within the boundaries of the country. The Car Industry plays weighty roles in increasing the
country's economy through asset creation, job opportunity provision, and innovation input. In
most of the countries, the large percentage of GDP is collected from the Car Industry, since they
are the most populated than the multinational business organizations. Jürges, Sahi, Rios, Reich,
Bhamra, Howard, Slater & Nick(2018,p.5) denotes that Car Industry do not only positively
impact the economic status of the country but also eliminate monopoly by the MNEs through
entry into the market, thus relieving them the power to determine prices of the different product.
A conceptual model of globalization on Car Industry
The conceptual model that describes the effect of globalization on the quality of life (QOL); the
model offers relevant understand the influence of globalization on the industry since it denotes
6
by the World Economic Forum. According to W .E. F, Globalization refers to the digital
revolution and economic development that are supported by the enhancement of communications
and transportation infrastructure, and elimination of capita transfer barriers (da Silva, Santos &
de Morales, 2017, p.77). On the same note, IMF refers to globalization as the interdependence of
the country’s economic status that results from the free movement of money across the borders.
According to globalization refers to the process of enhancing the inter-connection of social and
cultural aspects, gaining of the political interdependence, growth of economic status, integration
of the financial and market (Aman, 2018, p.568). For the purpose of the study, globalization thus
refers to the enhancement of the market and trade beyond the borders of a nation.
Small and medium-size business organizations refer to the organizations that are operating
within the boundaries of the country. The Car Industry plays weighty roles in increasing the
country's economy through asset creation, job opportunity provision, and innovation input. In
most of the countries, the large percentage of GDP is collected from the Car Industry, since they
are the most populated than the multinational business organizations. Jürges, Sahi, Rios, Reich,
Bhamra, Howard, Slater & Nick(2018,p.5) denotes that Car Industry do not only positively
impact the economic status of the country but also eliminate monopoly by the MNEs through
entry into the market, thus relieving them the power to determine prices of the different product.
A conceptual model of globalization on Car Industry
The conceptual model that describes the effect of globalization on the quality of life (QOL); the
model offers relevant understand the influence of globalization on the industry since it denotes
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/0cc17e23-3f18-400e-961e-ec48dcc4dfda-page-7.webp)
Effect of the globalization on the Operation of Car Industry Business
7
globalization as the diffusing of products, services, capital, technology and workforce across
countries.
In the current world, globalization is a buzzword that has transformed numerous aspects of life,
business operations included. The constant integration growth of societies and national
economies thus has formed the basis of global discussion. Globalization aims at eroding the
national boundaries to integrate national economies, thus facilitating easy movement,
communication and capital transfer across the nations (Martens, Caselli, De Lombaerde, Figge &
Scholte, 2015, p.220). There are difference globalization concepts: political globalization,
financial globalization, cultural globalization, and economic globalization. For the purpose of the
study, the researcher covers the economic globalization that is interconnected to the globalization
of production, globalization of market, globalization of competitions, globalization of technology
and globalization of corporations and industries.
Globalization aims at increasing and developing countries status to achieve greatness through
interconnecting the exchange streams, enhancing technology, back, allowing free movement of
people, transforming the cultural composition and purchase behaviour, and among many others.
The constant growth needs a country’s’ needs such as workforce, quality of cars among others
tend to create a market space for acceptance of international goods thus developing the business
entity within the country. Evolving worldwide business thus is directly related to the speeding up
of global cooperation’s and practices; since the development of the overall transport and
correspondence business designs expands the dispersal of thoughts, products , data, capital, and
7
globalization as the diffusing of products, services, capital, technology and workforce across
countries.
In the current world, globalization is a buzzword that has transformed numerous aspects of life,
business operations included. The constant integration growth of societies and national
economies thus has formed the basis of global discussion. Globalization aims at eroding the
national boundaries to integrate national economies, thus facilitating easy movement,
communication and capital transfer across the nations (Martens, Caselli, De Lombaerde, Figge &
Scholte, 2015, p.220). There are difference globalization concepts: political globalization,
financial globalization, cultural globalization, and economic globalization. For the purpose of the
study, the researcher covers the economic globalization that is interconnected to the globalization
of production, globalization of market, globalization of competitions, globalization of technology
and globalization of corporations and industries.
Globalization aims at increasing and developing countries status to achieve greatness through
interconnecting the exchange streams, enhancing technology, back, allowing free movement of
people, transforming the cultural composition and purchase behaviour, and among many others.
The constant growth needs a country’s’ needs such as workforce, quality of cars among others
tend to create a market space for acceptance of international goods thus developing the business
entity within the country. Evolving worldwide business thus is directly related to the speeding up
of global cooperation’s and practices; since the development of the overall transport and
correspondence business designs expands the dispersal of thoughts, products , data, capital, and
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Effect of the globalization on the Operation of Car Industry Business
8
individuals(Hagiu & Bărbulescu, 2017,p.186). Globalization may influence the improvement of
development capacities in the organizations.
Different impacts on the development abilities of the organizations incorporate the dissemination
of learning identified with licenses and other licensed innovation rights. With the transnational
enterprises, innovation interests in the organizations are expanding. The most critical explanation
behind finding universal corporate innovation exercises in the travel industry firms has prepared
their staff. Scattered innovation exercises of firms require superb correspondence, what's more,
other infrastructural offices. The nations looking to pull in innovation ventures ought to build up
such infrastructural offices on a need premise.
Figure 1: Shows the dimension of Economic Globalization, obtained from (Hagiu & Bărbulescu,
2017, p.186)
8
individuals(Hagiu & Bărbulescu, 2017,p.186). Globalization may influence the improvement of
development capacities in the organizations.
Different impacts on the development abilities of the organizations incorporate the dissemination
of learning identified with licenses and other licensed innovation rights. With the transnational
enterprises, innovation interests in the organizations are expanding. The most critical explanation
behind finding universal corporate innovation exercises in the travel industry firms has prepared
their staff. Scattered innovation exercises of firms require superb correspondence, what's more,
other infrastructural offices. The nations looking to pull in innovation ventures ought to build up
such infrastructural offices on a need premise.
Figure 1: Shows the dimension of Economic Globalization, obtained from (Hagiu & Bărbulescu,
2017, p.186)
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Effect of the globalization on the Operation of Car Industry Business
9
Forces of globalization
Pandian, (2017,p.910) identifies majorly four forces of globalization: Macroeconomic such as
society’s rapid population growth and acceleration of technological transfer; political factors
include deregulation and trade liberalization ; organizational factors include global strategic
plans; and lastly the technological factors such as the improvement of the communication and
transport channel help in advancing the business activities.
Expansion of Containers Shipments
Over the past few years, the cost of shipping in the oceans has dramatically dropped as a result of
the containerization. The low cost of cauterization thus have enabled bulk shipping alongside
other efficiencies, thus it has made for the manufactures to bring car brands such as Fiesta close
to customers making the global market contestable.
Technological change
Due to the rapid sustainable technological advancement across the world, the cost of passing
information from one person to another in different geographical location has reduced, thus
making it very easy to gain information. The technological growth has enabled the car industry
production quality, quantity and quality as a result of the new strategic operations that are the
major source of convergence and divergence (Pavlínek, 2012, p.280). The application of
technology and innovation tends to vary across the countries, thus resulting in the varied car; for
example, Honda and Toyota have a similar manufacturing level of quality and quantity but differ
in the manufacturing practices. Honda assembling point is under one building that allows better
integration, while Toyota has separate assembling points.
9
Forces of globalization
Pandian, (2017,p.910) identifies majorly four forces of globalization: Macroeconomic such as
society’s rapid population growth and acceleration of technological transfer; political factors
include deregulation and trade liberalization ; organizational factors include global strategic
plans; and lastly the technological factors such as the improvement of the communication and
transport channel help in advancing the business activities.
Expansion of Containers Shipments
Over the past few years, the cost of shipping in the oceans has dramatically dropped as a result of
the containerization. The low cost of cauterization thus have enabled bulk shipping alongside
other efficiencies, thus it has made for the manufactures to bring car brands such as Fiesta close
to customers making the global market contestable.
Technological change
Due to the rapid sustainable technological advancement across the world, the cost of passing
information from one person to another in different geographical location has reduced, thus
making it very easy to gain information. The technological growth has enabled the car industry
production quality, quantity and quality as a result of the new strategic operations that are the
major source of convergence and divergence (Pavlínek, 2012, p.280). The application of
technology and innovation tends to vary across the countries, thus resulting in the varied car; for
example, Honda and Toyota have a similar manufacturing level of quality and quantity but differ
in the manufacturing practices. Honda assembling point is under one building that allows better
integration, while Toyota has separate assembling points.
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Effect of the globalization on the Operation of Car Industry Business
10
Economies of scales
Numerous economists believe that the increase in the minimum efficient scale in some industries
has increased (pirková, Stehlíková & Zúbková, 2016, p.1768). The rising of the small and
medium business tends to satisfy the selling requirements of the industries.
The difference in tax systems
The desire of business to gain from the minimum labour cost, production and distribution costs
has impacted business organization s to adjust the amount of tax to attract foreign investment.
Theoretical background
According to some historians, globalization dates back during the Maurya Empire in India
formation of the 320 BCE. Maurya Empire became the first societies to come up with a cross-
border business. The first international trade conducted by Maurya was between Europe and
Asia, thereafter in the second century BCE, China established the Silk Road that cut across Asia,
Persia, India, and Rome that facilitated both trade and religious organization’s movement.
Kwame, (2014, p.19) states that globalization was initiated through the environmental; aspects
such as the exchange of crops and animals between the communities that continued to develop
across the centuries. By 1300s, international trade was facilitated through ocean transport,
leading to slavery among many nations. During the 1700s, slavery formed the cultural
globalization after the entry of colonials into many African nations, however, the colonial during
the nineteenth and twentieth century, the slavery business deteriorated following the rise of new
nations with business relationships facilitating more international flow of goods. During the
twentieth century, most of the nation’s begun to utilize the resources to build a military for
10
Economies of scales
Numerous economists believe that the increase in the minimum efficient scale in some industries
has increased (pirková, Stehlíková & Zúbková, 2016, p.1768). The rising of the small and
medium business tends to satisfy the selling requirements of the industries.
The difference in tax systems
The desire of business to gain from the minimum labour cost, production and distribution costs
has impacted business organization s to adjust the amount of tax to attract foreign investment.
Theoretical background
According to some historians, globalization dates back during the Maurya Empire in India
formation of the 320 BCE. Maurya Empire became the first societies to come up with a cross-
border business. The first international trade conducted by Maurya was between Europe and
Asia, thereafter in the second century BCE, China established the Silk Road that cut across Asia,
Persia, India, and Rome that facilitated both trade and religious organization’s movement.
Kwame, (2014, p.19) states that globalization was initiated through the environmental; aspects
such as the exchange of crops and animals between the communities that continued to develop
across the centuries. By 1300s, international trade was facilitated through ocean transport,
leading to slavery among many nations. During the 1700s, slavery formed the cultural
globalization after the entry of colonials into many African nations, however, the colonial during
the nineteenth and twentieth century, the slavery business deteriorated following the rise of new
nations with business relationships facilitating more international flow of goods. During the
twentieth century, most of the nation’s begun to utilize the resources to build a military for
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Effect of the globalization on the Operation of Car Industry Business
11
protection and settle international disputes; thus prompting the establishment of the World Bank
followed by the International Monetary Funds in 1945 and 1947 respectively. These
organizations were aimed to assist in the regulation of the economic relationship among the
countries. In the past few years, the development of radio, television, and internet facilitated the
information passage across the world thus speeding the globalization rate.
Car Industry performance and globalization
Car Industry in different countries is affected by the globalization in the same manner but
address the effects differently to remain relevant in both the local and international markets. The
most common approach adopted by business organizations are the: acquisitions of the local
government support in safeguarding them against stiff competition from the international
business organizations; and clustering into one category to enhance competitive
advantage(Solticzky & Bíró,2013,p.28). The car industries have made tremendous development
and growth as a result of globalization According to James and Steger (2014, p.19) car industry
is characterized by the multi-country region production of spare parts; some of the regions
include NAFTA, MERCOSUR, and ASEAN among many others. In the past years like between
170s, the car manufacturing sites were majorly constructed based on the incentives, however,
with the development of the consumer markets across the world, the car industry production sites
intensified in many regions.
Theoretical framework and hypothesis
The study aims at identifying the impacts of the globalization on the business performance, thus
the drawing will occur from the environmental organization literature. However, because of the
11
protection and settle international disputes; thus prompting the establishment of the World Bank
followed by the International Monetary Funds in 1945 and 1947 respectively. These
organizations were aimed to assist in the regulation of the economic relationship among the
countries. In the past few years, the development of radio, television, and internet facilitated the
information passage across the world thus speeding the globalization rate.
Car Industry performance and globalization
Car Industry in different countries is affected by the globalization in the same manner but
address the effects differently to remain relevant in both the local and international markets. The
most common approach adopted by business organizations are the: acquisitions of the local
government support in safeguarding them against stiff competition from the international
business organizations; and clustering into one category to enhance competitive
advantage(Solticzky & Bíró,2013,p.28). The car industries have made tremendous development
and growth as a result of globalization According to James and Steger (2014, p.19) car industry
is characterized by the multi-country region production of spare parts; some of the regions
include NAFTA, MERCOSUR, and ASEAN among many others. In the past years like between
170s, the car manufacturing sites were majorly constructed based on the incentives, however,
with the development of the consumer markets across the world, the car industry production sites
intensified in many regions.
Theoretical framework and hypothesis
The study aims at identifying the impacts of the globalization on the business performance, thus
the drawing will occur from the environmental organization literature. However, because of the
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/e4a1d61f-1bb1-467c-b2e6-dd711831c619-page-12.webp)
Effect of the globalization on the Operation of Car Industry Business
12
numerous environmental dimensions, extensive exploration must take place to understand, and to
reduce conceptual ambiguity (Blanton & Blanton, 2016, p.665). Among the major environmental
conceptualizations: macro-envelopment, task environment, resources pool, aggregation, and sub-
envelopment, the paper thus focuses on the macro-environment or the globalization. The macro-
environment tends to be the most significant environmental conceptualization since it
encompasses both the lower and the higher constructs stated above.
The business environment offers numerous resources that directly or indirectly influence the
growth and sustenance of the business in the market. Thus the major three sub-dimensions of the
environmental dimensions include capacity; growth/decline; opportunities/threats. According to
Kochuthara, (2014, p.57) during globalization, business organizations are directly or indirectly
affected by these sub-dimensions, thus the study hypothesis that there is a candid association
amid globalization’s dimensions and the business performance as shown in the figure.
12
numerous environmental dimensions, extensive exploration must take place to understand, and to
reduce conceptual ambiguity (Blanton & Blanton, 2016, p.665). Among the major environmental
conceptualizations: macro-envelopment, task environment, resources pool, aggregation, and sub-
envelopment, the paper thus focuses on the macro-environment or the globalization. The macro-
environment tends to be the most significant environmental conceptualization since it
encompasses both the lower and the higher constructs stated above.
The business environment offers numerous resources that directly or indirectly influence the
growth and sustenance of the business in the market. Thus the major three sub-dimensions of the
environmental dimensions include capacity; growth/decline; opportunities/threats. According to
Kochuthara, (2014, p.57) during globalization, business organizations are directly or indirectly
affected by these sub-dimensions, thus the study hypothesis that there is a candid association
amid globalization’s dimensions and the business performance as shown in the figure.
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/efc5b401-a697-45dc-99d0-13749ee8cdb8-page-13.webp)
Effect of the globalization on the Operation of Car Industry Business
13
Figure 2: Shows Business Environment dimensions, obtained from (Blanton & Blanton, 2016,
p.665).
Global Marketplace Opportunities and Car Industry Operations
Global Market Opportunities refers to the advancement of the market, investment and trade
potentials and accessibility of production resources that are facilitated by the globalization
(Srivastava, 2013, p.327). Global markets are enhanced through the global removal of trade
restrictions, privatizations, information technological advancement that are foster rapid growth of
numerous economic statuses. Thus from the first hypothesis of the study is:
H1: Car industry performance is positively influenced by the globalization
13
Figure 2: Shows Business Environment dimensions, obtained from (Blanton & Blanton, 2016,
p.665).
Global Marketplace Opportunities and Car Industry Operations
Global Market Opportunities refers to the advancement of the market, investment and trade
potentials and accessibility of production resources that are facilitated by the globalization
(Srivastava, 2013, p.327). Global markets are enhanced through the global removal of trade
restrictions, privatizations, information technological advancement that are foster rapid growth of
numerous economic statuses. Thus from the first hypothesis of the study is:
H1: Car industry performance is positively influenced by the globalization
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Effect of the globalization on the Operation of Car Industry Business
14
Business expansion through a technological revolution
According to Asghar, Naveed, and Saleem (2017, p.420), the global transformations in terms of
social, economic, political and technological advancement are attributed to the globalization. The
changes are indisputable and have importantly affected the business operations especially the
information technology. In the current world, computer usage is an integral part of the
globalization that has facilitated the growth of the business through numerous facets.
Globalization provides business organizations with an opportunity to create wealth through
various ways such exposition of product into various international markets, construction of new
ideas through information sharing and employment of highly trained experts such as managers.
On the same note, Beckers and Kawakami (2017, p.6) stressed that the application of internet in
the business arena opens opportunities to new ideas and market for the expansion. From finance
and task the executives to correspondence and document stockpiling, these advancements have
streamlined the manner in which organizations work, as well as made procedures unimaginably
shoddy. Joined with the application economy, Car Industry now has enhanced answers for
working together, conveying, and teaming up continuously.
Car quality and cheaper prices
It is the aim of most the business organizations in offering good product quality at affordable
prices to customers to capture a large number of customers that will assure the sustainability of
the business in the competing market. Multilateral trade thus allows the national requirements for
various car types to meet specified safety and health standards that are transparent and non-
discriminatory between the local and foreign sources. However, the introduction of the
international trade facilitated the growth of intense competition between the local product and
14
Business expansion through a technological revolution
According to Asghar, Naveed, and Saleem (2017, p.420), the global transformations in terms of
social, economic, political and technological advancement are attributed to the globalization. The
changes are indisputable and have importantly affected the business operations especially the
information technology. In the current world, computer usage is an integral part of the
globalization that has facilitated the growth of the business through numerous facets.
Globalization provides business organizations with an opportunity to create wealth through
various ways such exposition of product into various international markets, construction of new
ideas through information sharing and employment of highly trained experts such as managers.
On the same note, Beckers and Kawakami (2017, p.6) stressed that the application of internet in
the business arena opens opportunities to new ideas and market for the expansion. From finance
and task the executives to correspondence and document stockpiling, these advancements have
streamlined the manner in which organizations work, as well as made procedures unimaginably
shoddy. Joined with the application economy, Car Industry now has enhanced answers for
working together, conveying, and teaming up continuously.
Car quality and cheaper prices
It is the aim of most the business organizations in offering good product quality at affordable
prices to customers to capture a large number of customers that will assure the sustainability of
the business in the competing market. Multilateral trade thus allows the national requirements for
various car types to meet specified safety and health standards that are transparent and non-
discriminatory between the local and foreign sources. However, the introduction of the
international trade facilitated the growth of intense competition between the local product and
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/3ae7821e-6ca0-4421-98e2-53c0e585483b-page-15.webp)
Effect of the globalization on the Operation of Car Industry Business
15
the foreign product, thus many companies opt to look for better ways of capturing the attention
of the customers. Perceiving the significance of the advancement of a new car with a worldwide
market centre and related possibility factors, we exactly test regardless of whether such
improvement does indeed affect the execution of NPD programs. Second, the researcher s study
on how this relationship is directed by various organizational structures, forms, and fluffy front-
end NPD activities, as almost certainly, the relationship relies upon firm capabilities with respect
to these factors. The common ways include the improvement of the product quality and
reduction of the product prices that will positively impact the experience of the customer.
According to Cavusgil and Kardes (2013, p.5) positive customer experience, enact repurchasing
of the product thus improves the sales as well as the growth of the company.
Formation of new branches
Globalization is an effective way of opening business opportunity in the local and international
market. Due to the improved communication and transport infrastructure, companies currently
are able to operate in more than one market in the world, thus a small business that initially
majored on the domestic market can expand into that markets by joining forces with an
international organization such as supply and marketing agencies to supply the car types.
Through, this joint venture, the organization is able to make more revenue (Frigant & Zumpe,
2017, p.660). The globalization impact thus is perceived as a prompt increase of the number of
exchanges over the outskirts. It is evidential that the current multinational partnerships are the
effects of the globalization, and attaining such organizational size, comes with a handful of
benefits to the organization. A partnered business tends to have a better competitive advantage
15
the foreign product, thus many companies opt to look for better ways of capturing the attention
of the customers. Perceiving the significance of the advancement of a new car with a worldwide
market centre and related possibility factors, we exactly test regardless of whether such
improvement does indeed affect the execution of NPD programs. Second, the researcher s study
on how this relationship is directed by various organizational structures, forms, and fluffy front-
end NPD activities, as almost certainly, the relationship relies upon firm capabilities with respect
to these factors. The common ways include the improvement of the product quality and
reduction of the product prices that will positively impact the experience of the customer.
According to Cavusgil and Kardes (2013, p.5) positive customer experience, enact repurchasing
of the product thus improves the sales as well as the growth of the company.
Formation of new branches
Globalization is an effective way of opening business opportunity in the local and international
market. Due to the improved communication and transport infrastructure, companies currently
are able to operate in more than one market in the world, thus a small business that initially
majored on the domestic market can expand into that markets by joining forces with an
international organization such as supply and marketing agencies to supply the car types.
Through, this joint venture, the organization is able to make more revenue (Frigant & Zumpe,
2017, p.660). The globalization impact thus is perceived as a prompt increase of the number of
exchanges over the outskirts. It is evidential that the current multinational partnerships are the
effects of the globalization, and attaining such organizational size, comes with a handful of
benefits to the organization. A partnered business tends to have a better competitive advantage
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/6adbd13e-9318-40d6-ac14-bf1b9c6f6614-page-16.webp)
Effect of the globalization on the Operation of Car Industry Business
16
over single business entities as well as enjoy the economies of scales; since they have strong
conjoined marketing strategies, management, and capital to overcome any possible obstacle.
Free capital movement and goods transportation
Capital forms the basis of every business operations and the economy of every country.
Availability of capital enhances the facilitation of various business activities such as payments
for raw material; transportation of goods, payments of staff among other expense that facilitate
the business exists in the market. With the onset of the international market, free money transfer
through various international banks and money sending systems have enabled the payments and
receptions of finances form the international sources. Online buying has facilitated the online
purchasing, reception, and payments of goods, without the customers going to the variety of
stores, especially the international stores. Additionally, the enhancement of the information
technology has facilitated the communication between business partners that are in the different
geographical location through simplified communication channels such as social media, video
calls among others. The system thus has eliminated the traditional form of an onerous task, since
it takes places in seconds. Lin, Lahiri, and Hsu (2017, p.1842) denote that transportation as the
significant wheel of every business since it helps in connecting the product and the consumer.
With the globalization, numerous transportation systems have been developed such as quick
delivery, Airways among others that have enabled the reception of products by consumers
irrespective of the locations. Consequently, the developed technologies in the transport system
have enhanced the logistics, and supply chain as well.
16
over single business entities as well as enjoy the economies of scales; since they have strong
conjoined marketing strategies, management, and capital to overcome any possible obstacle.
Free capital movement and goods transportation
Capital forms the basis of every business operations and the economy of every country.
Availability of capital enhances the facilitation of various business activities such as payments
for raw material; transportation of goods, payments of staff among other expense that facilitate
the business exists in the market. With the onset of the international market, free money transfer
through various international banks and money sending systems have enabled the payments and
receptions of finances form the international sources. Online buying has facilitated the online
purchasing, reception, and payments of goods, without the customers going to the variety of
stores, especially the international stores. Additionally, the enhancement of the information
technology has facilitated the communication between business partners that are in the different
geographical location through simplified communication channels such as social media, video
calls among others. The system thus has eliminated the traditional form of an onerous task, since
it takes places in seconds. Lin, Lahiri, and Hsu (2017, p.1842) denote that transportation as the
significant wheel of every business since it helps in connecting the product and the consumer.
With the globalization, numerous transportation systems have been developed such as quick
delivery, Airways among others that have enabled the reception of products by consumers
irrespective of the locations. Consequently, the developed technologies in the transport system
have enhanced the logistics, and supply chain as well.
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Effect of the globalization on the Operation of Car Industry Business
17
International Trade and Profit
During the purchase of car types, business organizations tend to receive profit that facilitates
their growth. Globalization tends to open up new markets for various cars in the international
platform, thus facilitating the international trade, thus leads to the availability of different car
types. The new market provides an opportunity to increase sales more than the local market, thus
earning the business organizations extensive profits and revenues.
Global Marketplace threats and Business Operations
Global marketplace threats are grouped into either global marketplace threats or global market
doubt. In every business area, completion is a normal thing, since numerous investors tend to
copy one another business ideas in the availability of free trade and movement across the
borders. Completion among companies is healthy to both the customer and business as there is
the availability of varies car types, as well as a motivation to improve to remain relevant in the
market. However, with the globalization, stiff competition is experienced as several car types
with different attributes tend to reach the local market, thus providing stiff competition to the
local companies (Javaid & Siahmardy, 2017, p.27). The local companies with poor product
attributes tend to lose customers over the new international product exposing the business
entities into the verge of collapsing. On the same note, the international business organizations
also to compete one another form new competitive landscape known as the ‘hypercompetitive
markets’. The hypercompetitive markets tend to present enormous threats to most of the
international business entrants that have not gained a strong competitive advantage on the global
market, thus exposes them to failure (Samimi, & Jenatabadi, 2014, p.5). Therefore, form the
17
International Trade and Profit
During the purchase of car types, business organizations tend to receive profit that facilitates
their growth. Globalization tends to open up new markets for various cars in the international
platform, thus facilitating the international trade, thus leads to the availability of different car
types. The new market provides an opportunity to increase sales more than the local market, thus
earning the business organizations extensive profits and revenues.
Global Marketplace threats and Business Operations
Global marketplace threats are grouped into either global marketplace threats or global market
doubt. In every business area, completion is a normal thing, since numerous investors tend to
copy one another business ideas in the availability of free trade and movement across the
borders. Completion among companies is healthy to both the customer and business as there is
the availability of varies car types, as well as a motivation to improve to remain relevant in the
market. However, with the globalization, stiff competition is experienced as several car types
with different attributes tend to reach the local market, thus providing stiff competition to the
local companies (Javaid & Siahmardy, 2017, p.27). The local companies with poor product
attributes tend to lose customers over the new international product exposing the business
entities into the verge of collapsing. On the same note, the international business organizations
also to compete one another form new competitive landscape known as the ‘hypercompetitive
markets’. The hypercompetitive markets tend to present enormous threats to most of the
international business entrants that have not gained a strong competitive advantage on the global
market, thus exposes them to failure (Samimi, & Jenatabadi, 2014, p.5). Therefore, form the
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/67104b03-46b7-4f42-b3b1-4af5d5cb09b4-page-18.webp)
Effect of the globalization on the Operation of Car Industry Business
18
above, the study hypothesizes that globalization dimensions such as such as stiff competition
negatively impact the business performance.
H2: Car industry performance is negatively affected by the global competitive threat.
Global market insecurity
As noted earlier, globalization facilitates free movement of people, car, services and wide
availability of information. The movement of people across the borders has dramatically
transformed the nature of behaviours and culture of people in different locations due to inter-
cultural. The behavioural change has posed difficulty to the business organizations in producing
the right product to suit the customer's needs that keep on changing every day. In the current
business world, customers’ demands have become one of the most difficult aspects to predict,
along with the competition responses thus making the global market to be insecure. Now that the
global market is uncertain to most of the business organizations, the performance of the business
thus is directly or indirectly affected (Pandian, 2017, p930). Consequently, during the
globalization, the business organizations to capture both the local and the international market
must carry out extensive market research and advertising. During such a process, most of the
firms tend to ensure a lot of costs, especially when launching into foreign markets; attributed to
transportation and transactions. The high cost definitely poses a negative impact on the financial
status of the business. Therefore, it is hypothesized that the global market negatively affects
business performance.
H3: Car industry performance is negatively affected by the global market insecurity.
18
above, the study hypothesizes that globalization dimensions such as such as stiff competition
negatively impact the business performance.
H2: Car industry performance is negatively affected by the global competitive threat.
Global market insecurity
As noted earlier, globalization facilitates free movement of people, car, services and wide
availability of information. The movement of people across the borders has dramatically
transformed the nature of behaviours and culture of people in different locations due to inter-
cultural. The behavioural change has posed difficulty to the business organizations in producing
the right product to suit the customer's needs that keep on changing every day. In the current
business world, customers’ demands have become one of the most difficult aspects to predict,
along with the competition responses thus making the global market to be insecure. Now that the
global market is uncertain to most of the business organizations, the performance of the business
thus is directly or indirectly affected (Pandian, 2017, p930). Consequently, during the
globalization, the business organizations to capture both the local and the international market
must carry out extensive market research and advertising. During such a process, most of the
firms tend to ensure a lot of costs, especially when launching into foreign markets; attributed to
transportation and transactions. The high cost definitely poses a negative impact on the financial
status of the business. Therefore, it is hypothesized that the global market negatively affects
business performance.
H3: Car industry performance is negatively affected by the global market insecurity.
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Effect of the globalization on the Operation of Car Industry Business
19
Proposed Research Methodology
Introduction
The chapter represents the proposed research methodology that will be used in conducting the
research regarding the impact of globalization on business performance. Generally, the chapter
entails research design, sampling techniques, data collection, and analysis methods.
Research methodology refers to the systematic rules and guidance of data collection in research
projects. According to Farghaly (2018, p.7), there are different research methodologies:
exploratory, descriptive and explanatory. The choice of the method thus majorly depends on the
objective of the research. Descriptive research aims at gaining accurate descriptions of a research
topic through collecting data with the help of questionnaires, interviews, and observations
techniques. The exploratory research aims at gathering data from the existing studies, followed
by an extensive interview to capture the participant's insights. While the explanatory research
aims at establishing the relationship between research variables through specific statistical
surveys, historical surveys, and observations among many others.
Exploratory Research design
The target of the research is to point the impact of the globalization on business performance,
thus to establish this, the study should adopt a descriptive research design. According to
(Kamalodeen & Jameson, 2016, p.8) descriptive research design aims at depicting the
participants in an accurate manner. Descriptive research design entails gathering of information
with a major objective of mapping out the status of the topic under the study. On the same note
Dowling, Lloyd and Suchet-Pearson (2018, p.781) support one another that descriptive design
19
Proposed Research Methodology
Introduction
The chapter represents the proposed research methodology that will be used in conducting the
research regarding the impact of globalization on business performance. Generally, the chapter
entails research design, sampling techniques, data collection, and analysis methods.
Research methodology refers to the systematic rules and guidance of data collection in research
projects. According to Farghaly (2018, p.7), there are different research methodologies:
exploratory, descriptive and explanatory. The choice of the method thus majorly depends on the
objective of the research. Descriptive research aims at gaining accurate descriptions of a research
topic through collecting data with the help of questionnaires, interviews, and observations
techniques. The exploratory research aims at gathering data from the existing studies, followed
by an extensive interview to capture the participant's insights. While the explanatory research
aims at establishing the relationship between research variables through specific statistical
surveys, historical surveys, and observations among many others.
Exploratory Research design
The target of the research is to point the impact of the globalization on business performance,
thus to establish this, the study should adopt a descriptive research design. According to
(Kamalodeen & Jameson, 2016, p.8) descriptive research design aims at depicting the
participants in an accurate manner. Descriptive research design entails gathering of information
with a major objective of mapping out the status of the topic under the study. On the same note
Dowling, Lloyd and Suchet-Pearson (2018, p.781) support one another that descriptive design
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Effect of the globalization on the Operation of Car Industry Business
20
helps in establishing the relationship between research variables, thus descriptive design is more
appropriate for the study since it will enable to determine the relationship between the research
variables: globalization and business performance.
Target population
According to Berry and Sauer (2018, p.2915) population refers to a cluster of elements that poses
reference. While dos Santos and Beck (2015, p.631) refers population as the set of elements
that are investigated to provide a clear understanding of the topic. The proposed study
population thus is 10 business organizations; where 5 of them will be international business
while the other five will be national business organizations.
Sampling and Sampling design
Generally, sampling techniques are classified under two categories: likelihood sampling and non-
likelihood sampling. The likelihood sampling dictates that participants are chosen on the basis of
equal chance, thus every element has the same percentage of being included in the sample, while
the non-likelihood sampling technique, dictates that each element does not pose equal percentage
of inclusion since all member has got a different amount of required information(dos Santos &
Beck, 2015, p.633). To reduce the researcher's biases, the study will adopt likelihood sampling in
choosing the business organizations to be questioned and surveyed to have accurate information
on the topic.
Sample design respect to the steps undertaken in including and excluding the patients in the
research project. Since the target of the paper is to discover the impacts of globalization on the
business performance especially on the Car Industry, the researcher will have to collect the list of
20
helps in establishing the relationship between research variables, thus descriptive design is more
appropriate for the study since it will enable to determine the relationship between the research
variables: globalization and business performance.
Target population
According to Berry and Sauer (2018, p.2915) population refers to a cluster of elements that poses
reference. While dos Santos and Beck (2015, p.631) refers population as the set of elements
that are investigated to provide a clear understanding of the topic. The proposed study
population thus is 10 business organizations; where 5 of them will be international business
while the other five will be national business organizations.
Sampling and Sampling design
Generally, sampling techniques are classified under two categories: likelihood sampling and non-
likelihood sampling. The likelihood sampling dictates that participants are chosen on the basis of
equal chance, thus every element has the same percentage of being included in the sample, while
the non-likelihood sampling technique, dictates that each element does not pose equal percentage
of inclusion since all member has got a different amount of required information(dos Santos &
Beck, 2015, p.633). To reduce the researcher's biases, the study will adopt likelihood sampling in
choosing the business organizations to be questioned and surveyed to have accurate information
on the topic.
Sample design respect to the steps undertaken in including and excluding the patients in the
research project. Since the target of the paper is to discover the impacts of globalization on the
business performance especially on the Car Industry, the researcher will have to collect the list of
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/0903a83e-9c3b-4bbe-a3ee-9420cf009ed9-page-21.webp)
Effect of the globalization on the Operation of Car Industry Business
21
all the available business entities, through visiting the city business register. The likelihood
sampling will enable the researcher to save time and resources since any business with the
required characteristics will be under examination.
Data collection
Data collection stage is the most significant part of every research project as it helps in obtaining
numerical data concerning the topic under the study. The paper will use both the primary and
secondary data collection methods to facilitate the collection of accurate information. The
secondary data collection will help the researcher in exploring the existing studies through
journals, articles books, and organizations websites among May relevant sites to provide a basic
understanding of the topic (Kalnay & Takuma 2018, p.2888). Additionally, the secondary data
will help the researcher in formulating the best way of collecting data in comparison to the past
studies. On the other hand, the primary data collection that will be actual data collection will
enable the researcher in having the actual figures, perceptions, views, and reasons regarding the
topic.
Data Collection Techniques
Data collection techniques entail a process that is used in assembling information relevant to the
study. These include interviews, surveys, observation and focus groups. For the purpose of the
study, the questionnaire will be most appropriate.
Questionnaire
The refresher will adopt research question technique to assist in achieving the objective of the
research. According to Berry and Sauer, (2018, p.2917) the application of questionnaires in a
21
all the available business entities, through visiting the city business register. The likelihood
sampling will enable the researcher to save time and resources since any business with the
required characteristics will be under examination.
Data collection
Data collection stage is the most significant part of every research project as it helps in obtaining
numerical data concerning the topic under the study. The paper will use both the primary and
secondary data collection methods to facilitate the collection of accurate information. The
secondary data collection will help the researcher in exploring the existing studies through
journals, articles books, and organizations websites among May relevant sites to provide a basic
understanding of the topic (Kalnay & Takuma 2018, p.2888). Additionally, the secondary data
will help the researcher in formulating the best way of collecting data in comparison to the past
studies. On the other hand, the primary data collection that will be actual data collection will
enable the researcher in having the actual figures, perceptions, views, and reasons regarding the
topic.
Data Collection Techniques
Data collection techniques entail a process that is used in assembling information relevant to the
study. These include interviews, surveys, observation and focus groups. For the purpose of the
study, the questionnaire will be most appropriate.
Questionnaire
The refresher will adopt research question technique to assist in achieving the objective of the
research. According to Berry and Sauer, (2018, p.2917) the application of questionnaires in a
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/56e2f596-5ca3-4f13-aca3-ec2c972e49de-page-22.webp)
Effect of the globalization on the Operation of Car Industry Business
22
research study helps in gathering information that can be generalized to the elements
characteristics/action after the exploration. The researcher will design a questionnaire that will
consist of majorly four parts: Part A, that will cover the company profile; Part B, will cover the
measures adopted by organizations regarding the globalization; Part C, the impact of the
measures adopted ;and lastly, Part D, the perceptions of the business organizations regarding
globalization.
Ethical issues
Every participant of a research is required to be fully informed on the purpose of the research
and consent obtained. The participants will not in any way influenced by the researcher to obtain
information that is perceived by the researcher as the correct, thus they will be free to quit at
their own pleasure (Berry & Sauer, 2018, p.2919). The researcher will submit the ethical
consideration for review and approval by the University Research Ethical Committee.
Data analysis
Data analysis process aims at deducing the statistics and information gathered to have a concrete
conclusion on the topic under exploration. To confirm or fail the hypotheses, the researcher will
employ correlation analysis to evaluate the information and determine the strength of the
relationships between the variables. The results of the study will then be presented in form of
tables, charts, and graphs for easy understanding and interoperations of the results (Berry and
Sauer, 2018, p.2920). The researcher will perform data analysis by the use of the Statistical
Package for Social Science (SPSS) version 21.0. An applied t-test of 0.05 significant levels,
22
research study helps in gathering information that can be generalized to the elements
characteristics/action after the exploration. The researcher will design a questionnaire that will
consist of majorly four parts: Part A, that will cover the company profile; Part B, will cover the
measures adopted by organizations regarding the globalization; Part C, the impact of the
measures adopted ;and lastly, Part D, the perceptions of the business organizations regarding
globalization.
Ethical issues
Every participant of a research is required to be fully informed on the purpose of the research
and consent obtained. The participants will not in any way influenced by the researcher to obtain
information that is perceived by the researcher as the correct, thus they will be free to quit at
their own pleasure (Berry & Sauer, 2018, p.2919). The researcher will submit the ethical
consideration for review and approval by the University Research Ethical Committee.
Data analysis
Data analysis process aims at deducing the statistics and information gathered to have a concrete
conclusion on the topic under exploration. To confirm or fail the hypotheses, the researcher will
employ correlation analysis to evaluate the information and determine the strength of the
relationships between the variables. The results of the study will then be presented in form of
tables, charts, and graphs for easy understanding and interoperations of the results (Berry and
Sauer, 2018, p.2920). The researcher will perform data analysis by the use of the Statistical
Package for Social Science (SPSS) version 21.0. An applied t-test of 0.05 significant levels,
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Effect of the globalization on the Operation of Car Industry Business
23
descriptive correlation analysis will be performed to ascertain the relationship between the
research variables.
Evaluation of Research Methodologies
To evaluate the impact of globalization on business performance, it is imperative to identify the
causal relationship between globalization and business. For example, the research question might
be; what are the specific effects of international trade on the local and international business
organization? Thus, it will require the researcher to isolate the effects of the independent variable
on the dependent variable. The descriptive researcher approach helps in identifying the patterns
in data to respond to the research question. The method thus will help the researcher in
identifying various aspects that are already known to the researcher such as the effect of
technology on business, the effect of market availability to the business among many others. The
use of both the primary and secondary data collection is appropriate to the study since both
provide information that is interconnected to one another. Secondary data collection methods
through the exploration of the journals, books, and articles
Conclusions
Globalization thus refers to the enhancement of the market and trade beyond the borders of a
nation. From the literature review, it is evidential that globalization has a significant impact on
the business performance irrespective of the size. The introduction of free trade between
countries has facilitated free movement of car, labour, and information that in one way affect the
activities of a business. Over the past few decades, globalization on the business performance has
23
descriptive correlation analysis will be performed to ascertain the relationship between the
research variables.
Evaluation of Research Methodologies
To evaluate the impact of globalization on business performance, it is imperative to identify the
causal relationship between globalization and business. For example, the research question might
be; what are the specific effects of international trade on the local and international business
organization? Thus, it will require the researcher to isolate the effects of the independent variable
on the dependent variable. The descriptive researcher approach helps in identifying the patterns
in data to respond to the research question. The method thus will help the researcher in
identifying various aspects that are already known to the researcher such as the effect of
technology on business, the effect of market availability to the business among many others. The
use of both the primary and secondary data collection is appropriate to the study since both
provide information that is interconnected to one another. Secondary data collection methods
through the exploration of the journals, books, and articles
Conclusions
Globalization thus refers to the enhancement of the market and trade beyond the borders of a
nation. From the literature review, it is evidential that globalization has a significant impact on
the business performance irrespective of the size. The introduction of free trade between
countries has facilitated free movement of car, labour, and information that in one way affect the
activities of a business. Over the past few decades, globalization on the business performance has
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/2dc2660b-6d9d-4714-85d9-60362912dd72-page-24.webp)
Effect of the globalization on the Operation of Car Industry Business
24
received global attention. It is estimated that the economic contribution from the business
operations covers about 65% of the GDP of most of the countries in the world. It is observable
that globalization enhances the expansion of business as organizations strive to export cars into
other markets as well as the partnership with other international organizations. Globalization
brings about competitions that challenge the operations of the small business to improve the
quality of car that eventually attract the attention of more customers.
On the same note, globalization enables the adoption of technology and other business ideas as
well as the manpower from the international locations that facilitate growth. However, it should
also be noted that globalization to have a negative impact on the business operations, for
example, the stiff competition tends to pose threat to the small and medium business, thus posing
them into the verge of failure. The research methodology chosen is appropriate in confirming the
above notion from the literature review since through questionnaires, the researcher will be able
to get the insights of the business operators concerning the globalization on their business. The
correlation data analysis thus will enable the researcher to determine the relationship between
globalization and business performance.
24
received global attention. It is estimated that the economic contribution from the business
operations covers about 65% of the GDP of most of the countries in the world. It is observable
that globalization enhances the expansion of business as organizations strive to export cars into
other markets as well as the partnership with other international organizations. Globalization
brings about competitions that challenge the operations of the small business to improve the
quality of car that eventually attract the attention of more customers.
On the same note, globalization enables the adoption of technology and other business ideas as
well as the manpower from the international locations that facilitate growth. However, it should
also be noted that globalization to have a negative impact on the business operations, for
example, the stiff competition tends to pose threat to the small and medium business, thus posing
them into the verge of failure. The research methodology chosen is appropriate in confirming the
above notion from the literature review since through questionnaires, the researcher will be able
to get the insights of the business operators concerning the globalization on their business. The
correlation data analysis thus will enable the researcher to determine the relationship between
globalization and business performance.
![Document Page](https://desklib.com/media/document/docfile/pages/globalization-car-industry-business-operations/2024/09/09/ae21f011-8ba4-4478-b664-baeec40605c6-page-25.webp)
Effect of the globalization on the Operation of Car Industry Business
25
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Effect of the globalization on the Operation of Car Industry Business
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direct=true&db=aph&AN=102372324&site=ehost-live (Accessed: 11December 2018).
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Dowling, R., Lloyd, K. and Suchet-Pearson, S. (2018) ‘Qualitative methods III: Experimenting,
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10.1177/0309132517730941.
Farghaly, A. (2018) ‘Comparing and Contrasting Quantitative and Qualitative Research
Approaches in Education: The Peculiar Situation of Medical Education’, Education in Medicine
Journal, 10(1), pp. 3–11. doi: 10.21315/eimj2018.10.1.2.
Frigant, V. and Zumpe, M. (2017) ‘Regionalisation or Globalisation of Automotive Production
Networks? Lessons from Import Patterns of Four European Countries’, Growth & Change,
48(4), pp. 661–681. doi: 10.1111/grow.12207.
Hagiu, A. and Bărbulescu, M. (2017) ‘Evolutions in the National and the European Union
Business Environment in the Context of Globalization’, Scientific Bulletin - Economic
Sciences / Buletin Stiintific - Seria Stiinte Economice, 16(3), pp. 181–193. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=130869414&site=ehost-live
(Accessed: 11 December 2018).
James, P. and Steger, M. B. (2014) ‘A Genealogy of “Globalization”: The Career of a
Concept’, Globalizations, 11(4), pp. 417–434. doi: 10.1080/14747731.2014.951186.
Javaid, U. and Siahmardy, H. J. (2017) ‘Globalization, Interdependence and Economic
Cooperation Organization (ECO)’, South Asian Studies (1026-678X), 32(1), pp. 27–38.
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direct=true&db=aph&AN=125932943&site=ehost-live (Accessed: 11 December 2018).
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Effect of the globalization on the Operation of Car Industry Business
28
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10.1175/MWR-D-17-0365.1.
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(2018) ‘Product authenticity versus globalization—The Tulsi case’, PLoS ONE, 13(11), pp. 1–
22. doi: 10.1371/journal.pone.0207763.
Kalnay, E. and Takuma Yoshida (2018) ‘Correlation-Cutoff Method for Covariance Localization
in Strongly Coupled Data Assimilation’, Monthly Weather Review, 146(9), pp. 2881–2889. doi:
10.1175/MWR-D-17-0365.1.
Kamalodeen, V. J. and Jameson-Charles, M. (2016) ‘A Mixed Methods Research Approach to
Exploring Teacher Participation in an Online Social Networking Website’, International Journal
of Qualitative Methods, pp. 1–14. doi: 10.1177/1609406915624578.
Kis-Katos, K., Pieters, J. and Sparrow, R. (2018) ‘Globalization and Social Change: Gender-
Specific Effects of Trade Liberalization in Indonesia’, IMF Economic Review, 66(4), pp. 763–
793. doi: 10.1057/s41308-018-0065-5.
Kochuthara, S. G. (2014) ‘Globalization in Solidarity’, Political Theology, 15(1), pp. 53–73. doi:
10.1179/1462317X13Z.00000000062.
Kwame Sundaram, J. (2014) ‘Globalization, imperialism and its discontents’, Inter-Asia Cultural
Studies, 15(1), pp. 17–24. doi: 10.1080/14649373.2014.871773.
Lin, C.-H., Lahiri, S. and Hsu, C.-P. (2017) ‘Happiness and Globalization: A Spatial
Econometric Approach’, Journal of Happiness Studies, 18(6), pp. 1841–1857. doi:
10.1007/s10902-016-9793-2.
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Effect of the globalization on the Operation of Car Industry Business
29
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Globalization?’, Social Forces, 95(3), pp. 909–940. doi: 10.1093/sf/sow095.
Pandian, R. K. (2017) ‘Does Manufacturing Matter for Economic Growth in the Era of
Globalization?’, Social Forces, 95(3), pp. 909–940. doi: 10.1093/sf/sow095.
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R&D of East-Central Europe’, Economic Geography, 88(3), pp. 279–310. doi: 10.1111/j.1944-
8287.2012.01155.x.
pirková, D., Stehlíková, B. and Zúbková, M. (2016) ‘Social-Economic Dimension of
Globalisation and Income Inequality’, Acta Universitatis Agriculturae et Silviculturae
Mendelianae Brunensis, 64(5), pp. 1763–1773. doi: 10.11118/actaun201664051763.
Saeed, A, Zulfiqar, S, Ata, G & Rathore, K 2015 ‘Impact of Globalization and the Role of
International Agencies in Education Policy Making Process of South Asian countries - a Case of
Pakistan’, South Asian Studies (1026-678X), 30(2), pp. 297–316. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=110129247&site=ehost-live
(Accessed: 11 December 2018).
Samimi, P. and Jenatabadi, H. S. (2014) ‘Globalization and Economic Growth: Empirical
Evidence on the Role of Complementarities’, PLoS ONE, 9(4), pp. 1–7. doi:
10.1371/journal.pone.0087824.
29
Martens, P, Caselli, M, De Lombaerde, P, Figge, L & Scholte, JA 2015) ‘New Directions in
Globalization Indices’, Globalizations, 12(2), pp. 217–228. doi: 10.1080/14747731.2014.944336.
Pandian, R. K. (2017) ‘Does Manufacturing Matter for Economic Growth in the Era of
Globalization?’, Social Forces, 95(3), pp. 909–940. doi: 10.1093/sf/sow095.
Pandian, R. K. (2017) ‘Does Manufacturing Matter for Economic Growth in the Era of
Globalization?’, Social Forces, 95(3), pp. 909–940. doi: 10.1093/sf/sow095.
Pavlínek, P. (2012) ‘The Internationalization of Corporate R&D and the Automotive Industry
R&D of East-Central Europe’, Economic Geography, 88(3), pp. 279–310. doi: 10.1111/j.1944-
8287.2012.01155.x.
pirková, D., Stehlíková, B. and Zúbková, M. (2016) ‘Social-Economic Dimension of
Globalisation and Income Inequality’, Acta Universitatis Agriculturae et Silviculturae
Mendelianae Brunensis, 64(5), pp. 1763–1773. doi: 10.11118/actaun201664051763.
Saeed, A, Zulfiqar, S, Ata, G & Rathore, K 2015 ‘Impact of Globalization and the Role of
International Agencies in Education Policy Making Process of South Asian countries - a Case of
Pakistan’, South Asian Studies (1026-678X), 30(2), pp. 297–316. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=110129247&site=ehost-live
(Accessed: 11 December 2018).
Samimi, P. and Jenatabadi, H. S. (2014) ‘Globalization and Economic Growth: Empirical
Evidence on the Role of Complementarities’, PLoS ONE, 9(4), pp. 1–7. doi:
10.1371/journal.pone.0087824.
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Effect of the globalization on the Operation of Car Industry Business
30
Solticzky, J. and Bíró, I. (2013) ‘Motor-Car Industry as the Main Motivation of Plastic-
Innovation’, Acta Technica Corvininesis - Bulletin of Engineering, 6(4), pp. 27–30. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=90591122&site=ehost-live
(Accessed: 13 December 2018).
Srivastava, V. (2013) ‘Socio-Economic Impact of Globalization in Contemporary India: A
Conceptual Analysis’, Oriental Anthropologists, 13(2), pp. 325–330. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=95374103&site=ehost-live
(Accessed: 11 December 2018).
Xinyue Ye and Leipnik, M. (2013) ‘Comparison of the Characteristics of Small Business in
China and the U.S’, Perspectives on Global Development & Technology, 12(5/6), pp. 661–679.
doi: 10.1163/15691497-12341281.
30
Solticzky, J. and Bíró, I. (2013) ‘Motor-Car Industry as the Main Motivation of Plastic-
Innovation’, Acta Technica Corvininesis - Bulletin of Engineering, 6(4), pp. 27–30. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=90591122&site=ehost-live
(Accessed: 13 December 2018).
Srivastava, V. (2013) ‘Socio-Economic Impact of Globalization in Contemporary India: A
Conceptual Analysis’, Oriental Anthropologists, 13(2), pp. 325–330. Available at:
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=95374103&site=ehost-live
(Accessed: 11 December 2018).
Xinyue Ye and Leipnik, M. (2013) ‘Comparison of the Characteristics of Small Business in
China and the U.S’, Perspectives on Global Development & Technology, 12(5/6), pp. 661–679.
doi: 10.1163/15691497-12341281.
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