Report on Global Business Environment: Challenges & Recommendations

This report provides an analysis of the global business environment, focusing on the increasing internationalization of business operations and the creation of interrelationships across various business activities. It employs PESTLE analysis to examine political, economic, social, technological, legal, and environmental factors driving globalization, including financial liberalization, intense competition, cultural exchange, and cost considerations. The report highlights the significant impact of digital technology on globalization, emphasizing strategic challenges such as the loss of cultural identity and entry fees. Recommendations for overcoming these challenges include providing pre and post globalization training to expatriates and conducting thorough market research before entering new markets. The report concludes that companies must focus on business enhancement through organizational culture, governance, and leadership to achieve business objectives and maintain a competitive advantage at the global level.

Global Business Environment

INTRODUCTION
Globalisation refers to the procedure of increasing
the business operations in international market
with the expectation of creating interrelationship
with all the business activities. In general terms it
can be said that globalisation work as the key
development in the process of production of goods
and services at global level.

PESTLE Analysis
Pestle analysis
• Political factors
• Economic factors
• Social factors
• Technological factors
• Legal factors
• Environmental factors

Analysis of key driving factors
This also develop the competitive edges through globalisation
and developing countries also helps to be the most cost-effective
 Financial Liberalisation
 Intense Competition
 Cultural exchange
 Cost
 Market
 Competition

Significant impact of digital technology on globalization
The technological advancement is aimed to facilitate the internationalization as the progress of
the technology has been one of the driving force for the globalization. There are technological
breakthroughs which compels the businesses to become the globalized by way of increasing
economies of the scale as well as the size of market which is required to break even. The impact
of digital technology is as follows-

Strategic challenges
It has been found that there are many complexities are
available in the market which are faced by the
companies while performing business operations. Below
mentioned are the some challenges and complexities
which are available in the international market for Sasol
Ltd:
 Loss of cultural identity
 Entry Fees

Recommendations for overcoming challenges
In order to overcome the complexities and challenges in globalization, it is recommended to SASOL
the following-
 The company must provide adequate pre and post globalization training to its expatriates so that
they can get familiar with the culture as well as background of the new international market.
 SASOL can also work on making the proper market research before entering the new Market so
that it can focus to fulfill the demands of new customers and capture the market and build its
new customer base.

Conclusion
From the above discusses report it can be concluded that a firm highly
pays its focus upon the business enhancement through different
organizational culture, governance as well as leadership. This helps
companies in successful achievement of business objectives as well as
competitive advantage at global level.

References
 Ado, A. and Wanjiru, R., 2018. International business research challenges in Africa:
Knowledge creation and institutional perspectives. Critical perspectives on
international business.
 Ahmed, F. and Alam, M.A., 2021. Business Environment: Indian and Global
Perspective. PHI Learning Pvt. Ltd..
 Akhtar, M. and Sushil, S., 2018. Strategic performance management system in
uncertain business environment: An empirical study of the Indian oil industry. Business
Process Management Journal.