Global Business Environment

Unit – 18
Global
Business
Environment

Table of Contents
INTRODUCTION.................................................................................................................................3
TASK – 1..............................................................................................................................................3
P1. Identify the key factors of expenditure, marketplace, atmosphere and competition for driving
global trade........................................................................................................................................3
TASK – 2..............................................................................................................................................5
P2. Determine the complex strategies that are challenged in operating business at international
environment.......................................................................................................................................5
TASK – 3..............................................................................................................................................6
P3. Examine the influence of globalisation at organisational governance, leadership, structure,
civilization and functions...................................................................................................................6
P4. Justify the impact of ethical and stable globalisation over organisational roles...........................8
TASK – 4..............................................................................................................................................9
P5. Elaborate various ways of decision making that can work effectively at international trade.......9
P6. Determine and articulate the various routes to internationalisation an organisation may adopt,
including key barriers......................................................................................................................10
CONCLUSION...................................................................................................................................11
REFERENCES....................................................................................................................................12

INTRODUCTION
The globalisation has derived from Latin word “globalize” at 1990, which refers to the
international trade exchanging products and services from one country to another. The global business
environment focuses on spreading merchandise, information technology and trading experiences
across the world. In this project, Allan Reeder has been described as sole trader which usually
supplies cream and butter at bakeries. It believes in customers leads to another as being headquartered
in London, United Kingdom. This project identifies the key factors of cost, market, environment and
competition that drive global business (Bejinariu, 2020). It further determines complex strategies
which are being challenged in operating business at international environment. The project also
influences globalisation at organisational governance, leadership, structure, culture and functions.
Additionally, it justifies ethical and sustainable globalise over various roles of organisation. This also
elaborates various ways of decision-making process and articulate different routes of internationalism
that organisation adopts including key barriers.
LO 1
Key elements that drive global trade
Allan Reeder:- The Allan Reeder is highly established business which empower in dealing
wholesale sector through supplying superior and assured quality products. The managers of this
company are beneficial with the good interpersonal relations of directors, leaders and workforce that
collaborate with each other to achieve specific target. This creates prospect for company to develop
trust and faith of its customers from restaurants and pub bakers, delicate and contract caterers for
increasing sales. Its website is https://www.allanreederltd.co.uk and email id refers as
[e-mail] for enlarging customers. The Allan Reeder further focus on delivering high
quality dairy products throughout London, as being partnered with Samsara for distributing best
customer service.
Global Business Environment:- It is defined as ability of managers for expanding business
in domestic and international market by creating competition for its rivalries through generating
competitive strategies (Calof, Arcos and Sewdass, 2018). The managers of Allan Reeder aim to
develop partnership with Samsara for expanding business at different nations that leads to attain
growth and development as being stable in competitive market.
Cultural:- The managers of Allan Reeder focus on varied culture of people at different
nations that differentiates each other from customs, values, respect, ethos, etc. The managers of
Allan Reeder focus on this cultural differences as varied people have specialised demands that is

difficult to be fulfilled for providing them high satisfaction level. It further takes necessary steps
such as manufacturing and supplying those commodities which are highly consumed by whole
target market with high quality at low price. The managers of Allan Reeder emphasize on the
culture of its workforce for encouraging them to complete their task with the motive of award-
winning functions that leads company to sustain in competitive market. It also focuses on
developing good relations among workforce by understanding their emotions and circumstances
and granting them leaves when necessary.
Economical:- It is described as the economic change in different nations that includes
regional, local and national customers pertains. The economic factor also focuses on high
unemployment rate that has to be utilised by creating job opportunities for workers in order to
develop their loyalty. Managers of Allan Reeder emphasize on this category as introducing its
products and services which are new for others and supplying it with the motive to enrich sales
(Deng and Zhang, 2018). The Allan Reeder further focus on its economical situation through
hiring and selecting more of its candidates with the motive to restrict unemployment rate that is
beneficial for economic growth. It is very difficult for company to exchange products through
export and import with trade restrictions and high taxation rates that includes 1 US Dollar is equal
to Rs.74..69.
Political:- The political factor comprise of rules and regulations imposed by government and
the stability of political leaders. It is essential for managers of Allan Reeder to analyse the
government stability in an organisation while expanding its business. The Company is highly
beneficial with the good relations for government of United Kingdom that leads to exchange
trades across the boundaries for purchasing raw materials at least cost.
Social:- The social factor describes that in varied nations which differentiate in high or low
populations growth, employment rate, change in taste and preference of customers, etc. Managers
of Allan Reeder emphasize on this sector as to develop those qualitative products and services
that which are highly consumed by society and leads company to sustain in perfect competition
marketplace. The Allan Reeder Company face challenges from societal factor as these customers
are aware of actual cost which tends to minimise the price at very low rate which creates
difficulty in accomplishment of goals and objectives.
Technological: This is another element that influence organisation to expand their business
activities beyond domestic boundaries. Updated technology help companies in implement their
business activities in a better and cost efficient manner. With help effective technologies such as
Artificial Intelligence Allan Reeder can improvise its commercial activities and can offer better
services to its customers.