Concept of globalisation and its impact on business success: A case study of Mercedes-Benz

This literature review explores the concept of globalisation and its impact on the business success of Mercedes-Benz. It discusses the factors that contribute to Mercedes-Benz's success in the international market and the relationship between globalisation and business success. The review also provides recommendations for achieving business success through globalisation.

Unit 11 – Research Project
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Literature Review
Concept of globalisation
As per the view point of Asongu and De Moor, 2017 globalisation is defined as a process
within which organisation perform their business operations at international level. It includes
exchange of product, services, brand, resources, labour with an aim to enhance sales, revenue
and overall profitability. Globalisation allow business organisation to perform their operations at
global scale and enhance their global growth and opportunities. There is significantly positive
impact of globalisation upon business as it not only increases their profitability but also
maximize its brand image. However, in this it is essential for organisation to effectively analyse
factors prevailing in global market before entering in a new market segment in order to take
advantage of growth and opportunities while determining threats. For example, in order to
launch product in a new market segment it is essential for Mercedes manager to evaluate social
economic and political geographical aspects and further conduct their operations in order to
achieve more success.
Factors which help Mercedes in getting success in international market
According to Bresler and Stake, 2017 there are number of factors through which
Mercedes can assure success in significant international market segment. These factors include
cultural, legal and regulatory barriers, foreign government consideration, business case and
more. All these factors allow Mercedes -Benz to conduct their operations with the help of
different modes like joint venture franchise, export, partnership and more. In this Mercedes -
Benz manager is required to firstly analyse most suitable method in order to enter in a new
market segment. This effectively allow company to expand their business operations while
assuring higher growth and revenue.
Type of relationship lies between globalisation and business success of Mercedes
According to Mowforth and Munt, 2015 It has been identified that globalisation is
playing most important role for large organisations like Mercedes -Benz. There is an effective
relationship between globalisation and business success of Mercedes -Benz, as with the help of
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identifying number of factors Mercedes’s manager is analyse external market segment that help
company to maximize their sales, profitability, consumer number that further assist organisation
in improving its brand image. With the help of globalisation manager set pricing strategy,
competitors policy accordingly and further promote their business services and products
according to other geographical location culture, trend and income level.
Recommendations which lead globalisation to business success
As per the view point of Potrafke, 2015 it is essential for organisation to emphasize upon
significant strategies in order to ensure success at international market segment. In this some of
the recommended strategies that will lead globalisation to business success include proper
planning, acquisition of resources, hiring of legal adviser, understanding of local and cultural
aspects of a particular geographical region. It has been identified that with the help of
emphasising upon all the strategies Mercedes -Benz managers can effectively promote their
growth at global scale.
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REFERENCES
Books and Journals
Asongu, S. A. and De Moor, L., 2017. Financial globalisation dynamic thresholds for financial
development: evidence from Africa. The European Journal of Development Research.
29(1). pp.192-212.
Bresler, L. and Stake, R. E., 2017. Qualitative research methodology in music education. In
Critical Essays in Music Education (pp. 113-128). Routledge.
Mowforth, M. and Munt, I., 2015. Tourism and sustainability: Development, globalisation and
new tourism in the third world. Routledge.
Potrafke, N., 2015. The evidence on globalisation. The World Economy. 38(3). pp.509-552.
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