Globalization and Complexity of Business Environment in the Age of Uncertainty

Globalization and Complexity of Business Environment 1
GLOBALIZATION AND COMPLEXITY OF BUSINESS ENVIRONMENT IN THE AGE OF
UNCERTAINTY
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Globalization and Complexity of Business Environment 2
Globalization and Complexity of Business Environment in the Age of Uncertainty
The new global trends in the business environment has led to the transformation of the
social, political, economic, and educational factors across the world. This has been as a result of
different forces such as information technology and communications revolution (Keohanen and
Nye 2000, p.106). Globalization has led to free trade which has greatly impacted the integration
of the economic, communication, and the information revolution. Entrepreneurship in this age
has taken an advantage in facing the challenges imposed by the global economy. The business
environment rapidly has changed in the economic events, whereby it’s seen that the private
sector has emerged to be the most essential contributors of the growth of economy and the public
sector has reduced its influence (Farazmand 2004, p.24). The entrepreneurs have defined some
new rules where they engage with the economic challenges as they deal with emerging
opportunities in the business market.
Technological advancements and financial liberalization are some of the factors which
have been as a result of globalization. This has been sustained by the policymakers in different
countries who have engaged in open, rule-based, and liberal global trading systems which are
necessary for the global economy progress (Al-Rodhan and Stoudmann 2006, p.22). The flow of
goods and services, labor, development of financial institutions, access to information and
communication, and capital within the free trade regions across the world have ensured an
entirely cohesive global economic system having a tremendous opportunities and scope which
has been achieved by the high levels of worldwide economic linkages and reliance than before.
Globalization has made a great impact towards making the countries in the world be a
global community. The goods that were available in the western countries have been accessible
throughout other parts in the world (Dreher, Gaston and Martens 2008, p.1008). The developed

Globalization and Complexity of Business Environment 3
areas in the world are enjoying the benefits of the advancements in science and technology with
the industrial progress which are now available in the developed countries with the objectives of
improving the growth of their areas. Globalization has also influenced the economies in the
world and has now been continuously been integrated such internet and mobile phones have led
to bringing people together. Through globalization, work has been outsourced to various parts of
the world since the availability of the internet connections and the improvements in the
infrastructure makes people reach various destinations in short periods of time (Cheney,
Christensen, Zorn Jr and Ganesh 2010, p. 50). Development and economic growth in the global
economies have been as a result of the structural changes in investments, gathering of the
business initiatives, transformations in the production processes and adopting of the new ways of
marketing. This has led to the effective incorporation of new technologies, communications, and
information in the enhancement of competitive benefit in the international trade, this has led to a
change in the business environment.
Globalization has seen the economies, cultures, the regional economies, and societies
integrated through a global network. The globalization process has involved a number of aspects
which have been as a result of the swift development in technology which has made the global
communications to be possible, improvements in transportation which have ensured that
travelling is made frequent and faster, political developments (Gharajedaghi 2011, p.767). These
have led to the production of greater opportunities for various companies across the globe who
have now opened up additional markets that have ensured the consumer harmonization which
has led to the shared values of culture and has provided more competitive platforms that have
low costs in the business environment in different countries internationally and has enabled
access to raw materials, the opportunities of investment, and resources.

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Innovation has also acted as a catalyst in the global economy which has driven the
economic growth and has been led to change. The availability of the human resources, technical
skills, capital endowment, and the attainment of education have been essential prerequisites for
vesting in the global economic changes and has facilitated the incorporation of labour in various
businesses (Farazmand 2004, p. 14). The continuous upgrading of skills and lifelong learning
and also the structural reshuffle of the workplaces have been essential in the contemporary
economic profiles of the countries. The economy has also been fueled by research, technology,
human capital, and development have greatly contributed to the increased productivity and the
economic performances in most of the countries. The global opportunities have led to high tax
level competitiveness, investments in research and development, training emphasis and learning,
and the businesses clusters of excellence which have all been directed towards the global markets
and global economy (Nell and Andersson 2012, p.270).
Globalization through the international communications, global production, and markets
have promoted the global activities in relation to currency trade. The major international
currencies are now circulating globally. The currencies are now accessible throughout the world
and are moving electronically in a faster way (Keohane and Nye Jr 2000, p.100). Most of the
bank cards are now extracting cash from the automated teller machines which are now available
throughout the globe. The payment methods such as the credit cards are used in payments in
various countries across the world. With people moving from different countries to another and
the restrictions of trade having reduced, local markets have opened up for more investors to trade
their businesses. Telecommunications have been established in most of the countries which have
now lead in the innovations and pass their technologies to the other countries in the globe which
are in need.