Globalization General Electric

This paper discusses the political environment, ethics, social responsibility and sustainability, and organizational structure of GE in its operations on Brazil.

Running head: GLOBALIZATION 1
Globalization General Electric
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Institution Affiliation

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Introduction
General Electric (GE) is a multinational company based in America and headquartered in
Boston. GE has aggressively invested in the foreign expansion of its company. There exist
various reasons for GE to expand its business operations globally. Increasing globalization forces
have altered GE’s nature and terms of doing business irreversibly and significantly (Sechler,
2012). This paper discusses the political environment, ethics, social responsibility and
sustainability, and organizational structure of GE in its operations on Brazil.
Political environment
Political decisions in foreign governments affect the operations of GE. In GE’s
operations at Brazil, interventions by the government have greatly affected its growth. Also, the
government in Brazil has been open to global trade and thus boosting GE’s globalization
business operations. For GE to succeed internationally, technology is vital. In the foreign
markets where GE operates, other companies have greatly invested in technology to boost
competitiveness (Roberts, 2010). For GE, increased digital technology adoption has contributed
to major growth in the different industries where it operates in Brazil. This increased adoption of
digital technology has led to innovation of new products and services in all sectors where GE
ventures in, and thus an opportunity for growth in GE’s industry environment.
Ethics, social responsibility and sustainability
In its global business operations, GE is focused on satisfying all stakeholders’ interests
through corporate social responsibility (CSR) tactics. These CSR activities capitalize on gaining
a competitive edge over rivals for the advantage of shareholders, customers, owners, employees,

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and the community at large (Sechler, 2012). In GE, all CSR policies give more priority to all
interested groups on the basis of strategic direction and industry growth. For instance, GE puts
the aviation sector into consideration when designing its corporate citizenship strategies (Caselli,
2012). All these internal and external corporate strategies are governed by an ethical conduct of
integrity, competence, independence, and objectivity. As a result, GE has obtained competitive
advantage internationally and enjoys a sustainable market for its products and services.
Organizational structure
Internationally and in the Brazil markets, GE has established one of the best
organizational structures. Going global requires a company whose cultural mix is invaluable.
GE’s organizational culture supports business transformation into that of a premier digital sector
firm. The company’s workforce is a mix of people from different counties, and this shows that
GE promotes cultural diversity (Dicken, 2010). GE has been successful in managing Brazilian
culture given that most employees’ come from the nation and understand the business culture of
the country well. Globalization has made GE embrace workforce diversity, thus diversity of
color, education, age, and gender. As a result, there is equity and fairness that prevail in GE and
its global market operations (Istrate, Rothwell, & Katz, 2010). The demerit of this is that it
creates more job opportunities to citizens of different countries other than the Americans.
Conclusion
In a nutshell, GE has been able to enjoy substantial business benefits from the
transformations in the marketplace as a result of intense focus of globalization until now due to
divisive efficient business strategies. However, due to emerging economies like India and China

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who claim a bigger role in the global marketplace, further intensity rates of globalization may
establish substantial challenges to GE.

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References
Caselli, M. (2012). “Trying to Measure Globalization: Experiences, Critical Issues and
Perspectives” Springer Publications.
Dicken, P. (2010). “Global Shift: Mapping the Changing contour of the World Economy”
6th edition, Guilford Press.
Istrate, E., Rothwell, J. & Katz, B. (2010). “Export Nation: How US Metros Lead National
Export Growth and Boost Competitiveness” Metropolitan Policy Program.
Roberts, D. (2010). “How Amersham became GE’s healthcare HQ” Guardian, Available at:
http://www.guardian.co.uk/business/2010/jan/14/general-electric-amersham-healthcare
Sechler, B. (2012). “GE’s Work Force Rose in 2011 for First Time in Years” The Wall Street
Journal. Pp, 6-15.