Impact of Globalization on BMW's Business Success: A Case Study

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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
Impact of globalization on business success of BMW manufacturing
Name of Student
Name of University
Author's Note

IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
Table of Contents
PART 1: RESEARCH PROPOSAL................................................................................................5
L01: Research Methodology integrates knowledge into research process......................................5
P1: Research proposal defining research question with literature...................................................5
1. Introduction..............................................................................................................................5
2. Literature Review....................................................................................................................6
P2: Appropriate research methods to conduct secondary and primary research.............................8
3. Methodology............................................................................................................................8
4. Timeline activity....................................................................................................................10
PART 2: RESEARCH PROJECT (LO2, 3, 4)..............................................................................12
L02: Analyse relative research for the chosen project...................................................................12
Abstract..........................................................................................................................................12
P3: Primary and secondary research using methods that considers cost, and ethical issue.......12
Methodology..................................................................................................................................12
a. Deductive and Inductive approach.........................................................................................12
b. Role of descriptive research...................................................................................................13
c. Primary and Secondary method.............................................................................................14
d. How Survey and Interview will be performed......................................................................14
e. How data will be collected.....................................................................................................15
f. Data analysis technique to be used.........................................................................................15
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
P4: Analytical tools to work on research findings.....................................................................16
P4: Analytical tools to work on research findings.....................................................................16
Results and Findings..................................................................................................................16
a. Survey questions.................................................................................................................16
b. Interview questions........................................................................................................24
L03: Outcomes of the project to the identified stakeholders.........................................................26
P5: Research outcomes in an effective manner.........................................................................26
a. Discussion on what is found from the research..................................................................26
b. Recommendations..........................................................................................................26
c. Future research.......................................................................................................................27
P7: Alternative methodology learner in quest of the outcomes.................................................27
L04: Application of research methods and concepts.....................................................................27
P6: Effectiveness of research methods for meeting objectives of business research................27
Critical reflection on the recommended actions and improvements made for future research 27
Conclusion.....................................................................................................................................28
References......................................................................................................................................29
Appendix........................................................................................................................................32
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
PART 1: RESEARCH PROPOSAL
L01: Research Methodology integrates knowledge into research process
P1: Research proposal defining research question with literature
1. Introduction
Introduction
This specific analytical description is based on the impact on business success of BMW car
manufacturing due to globalisation. Globalisation is a multi-dimensional concept that requires
being distinct more accurately, especially to the extent that the activity of manufacturing Car
Company is concerned. Generally, it is estimated as a novel stage of financial integration within
international markets. Globalisation is modifying the economic geography of automobile
industry. However, BMW has been a large number of new suppliers and assembly in several
places like India, East Europe, America and China. BWM is being new investments policies as it
creates new opportunities as well as challenges for the corporate strategy. The primary focus of
the study is to analyse the factors of globalization on business success of BMW Car Company
(Shi et al., 2014). Globalisation is important for the developing the financial condition of nation
while the organization reside. There is also direct effect on the GDP of that nation and also
directs towards improvement of the business operations of the company
Background of the research
As opined by Maurer and Degain (2012), globalisation is considered as the most vital part of any
type of company, which support in financial growth of the nation. Besides, a tremendous
development may be observed within the entire performance of the organisation. For example,
BMW Car Company has contracted for developing engines for the planes in the time of World
War I. In the year of 1923, they added motorcycles to their list of manufactured items and
eventually increased into what they are now. BMW also produces and owns mini automobiles
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
and is the parent organization of Rolls-Royce cars. They are mainly known for their vehicle’s
streamlined performance, design and luxury. The industry of automobile has been undergoing
phase of large productivity because of numbers of incidences linked with Rolls-Royce cars, since
last few years. It has also notified that the main intention of globalisation is to impact on the
business success of BMW car manufacturing company.
Aims and objective
The research project aims on impact of globalisation that may drive business success for BMW
car manufacturing company. The research objectives are:
 To evaluate the impact of globalization on business success of BMW AG car
manufacturing company
 To identify the factors affecting globalization, this can drive business success for BMW.
 To explain the organisation challenges for emerging amidst path of success on BMW car
manufacturing
Rationale for choosing the topic
The main reason for selecting this critical topic is the taste as well as preference of the
consumers with its impacts to attain the firm and good grip within the marketplace. This report
would support to recognize post and pre-effect of globalisation in business success of BMW car
manufacturing company (Dongre, 2012). This particular research is recognized preferences as
well as specifications that may enhance and develop the industry of automobile. On the
globalisation level, it is prosperous accomplishment of this specific study. The following
research would mainly elaborate on the automobile section, which is BMW to affect the
operational strategy.
2. Literature Review
Impact of globalization on business success of BMW car manufacturing company
Since the year of 1980, the automobile sector has evolved out of a strong drive in the direction of
globalisation. For ongoing globalisation, the automobile sector countries are facing difficult
problems around the world with far reaching consequences for its future places. As discussed by
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
Underwood (2012), while globalisation operates in the region of USA to be closer towards its
largest customer marker, BMW determined to carry the state-of-art technology that is the most
advanced facilities in car manufacturing in the world. Their management developed a plant in the
region of USA using the water-borne systems. This fact is already given enormous advantages
for the company (Gastrow, 2012). The utilization of water-borne system is reduced the amounts
of solvents that are utilized within the processes. Thus, it reduces the emissions of harmful
substances towards painting the cars. In recent time, China is upholding the largest market of
BMW and most profitable in sedans. As cited by Zhao et al (2012), customer spending makes up
BMW just 40% of the gross domestic product of china as compare to 705 within U.S. and 56%
in the region of Germany. However, Chinese households save more than 25% of their disposable
income. Additionally, there is a political risk for performing business in autocratic government
whose activities may modify suddenly.
Factors affecting globalisation, this can drive business success for BMW
The success factors of Mercedes-Benz’s are based on its accumulation and past experiences. The
success of Audi is well known for its classical brand resurrection. Contrast with various brands,
brand strategy is the significant point along the pathway of the success of BMW. Their
management provides a particular importance for its own brand though the completion of brand
strategy. As opined by Freeman (2013), BMW group is dedicated to produce the distinctive and
outstanding items for the consumers. Their team management also makes several attempts and
efforts to achieve the maximum share of market within the market of luxury car, functioning on
global level. Through constant effort for several years, the team of BMW has developed an
outstanding and exceptional international brand image around the globe (Hoffmann and Kumar,
2013). For making an exceptional and renowned brand image in the world does not indicate that
it may be marketed within few specific market prosperously. For satisfying several demands of
dissimilar local marker, the team of BMW has decided towards implement a unified and
centralized brand strategy that is conducted and exercised by several nations. The following are
several marketing activities, which are undertaken by BMW group within three main markets,
including American, Asian and European markets (Timmer et al., 2015).
Organisation challenges emerging amidst path of success on BMW car manufacturing
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
For every kind of organisation functioning in the global market, numerous problems and
challenges are to be faced amidst the path of success. As opined by Freeman (2013), BMW also
has to face such challenges in its path of success. One of such problems faced by BMW is that
the fickle needs and taste of customers has to be taken care of while manufacturing the new car
models. The company has to make unique models as per the demands of customers belonging to
different regions and background. As cited by Zhao et al (2012), another challenge that the
company has to face is regarding the features and services provided by its major rivals in
automobile industry. BMW has to design and manufacture their cars in such way that they can be
superior or withstand their rivals (Diabat et al. 2013). The emerging awareness regarding
sustainability and global warming has been one of the biggest concerns for the company. As the
company manufactures automobiles, which emit high amount of carbon dioxide and toxic gases
in the environment is the major reason for increasing global warming (Timmer et al. 2015).
Therefore, the company has to bring more innovation in its manufacturing strategies and
manufacture its car models in more environment and eco-friendly way. These are few of the
challenges emerging amidst path of success on BMW car manufacturing.
P2: Appropriate research methods to conduct secondary and primary research
3. Methodology
Introduction
Research methodology is a very important and crucial part of any research as this could describe
the entire research procedure, which was taken out by the researcher. The researcher will
describe the entire process of data collection, research work and possible steps has been taken in
order to execute the particular research work.
Research Approach
The research approach is a significant part of this research methodology as this portrays the
approach of research in order to execute the research. Inductive and deductive are two types of
approaches, which includes in this research method. Deductive approach is mainly based upon
quantitative data that helps the researcher in order to execute the conclusion of the research
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
(Terrell, 2012). On that note, quantitative data will be required by the research in order to
execute the research by taking help of inductive approach. In this research, the researcher will
choose both Inductive and deductive approach to execute this research paper with precision. The
researcher will choose both quantitative and qualitative data in order to present the perfect report
based on the impact of globalisation on car manufacturing in BMW Company (Busch et al.
2012).
Main research techniques
Research techniques plays most important role along with data collection. This survey and
interview methods will be taken by the research in order to find relevant information regarding
the research paper (Ritchie et al., 2013). The researcher has taken both survey and interview
method based on few questionnaires on the relevant research. The sample size is very important
for executing the interview and surveys. Employees of the BMW company helps a lot the
researcher to collect more information about globalisation impact on the financial condition of
the BMW company in both survey and interview methods.
Data collection procedure
Data collection is the most important process of any research paper as data plays crucial role in
order to establish any though. Researcher needs to accumulate data’s from different sources in
order to make the research paper with perfection (Yilmaz, 2013).
Primary data collection based on survey or interviews taken by the researcher among the sample
size of the reach. Employees of BMW Company will be the sample in this research and they will
be discussing about the impact of globalization on their company. Secondary data are being
collected from various journals, newspapers and other magazines by the researcher (Creswell
and Creswell, 2017).
Possible difficulty in research
Every researcher faced many issues regarding the collection of data’s and other important facts
based on the research paper. Some ethical considerations are there as the research are not
supposed to interpret any company data before proper permission. Interview and survey takes
long time to collect possible information from different samples and the research may not have
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
possible time to collect all information’s from them. On this point, some information might not
be collected perfectly. BMW is a very renowned company and there is lots of information about
the company on internet. Therefore, the research need more time to find precise information
about the globalization impact on this company.
Data analysis technique
The possible outcome of already accumulated data is quantitative for the survey process. This
defined that, all data collected by the survey process based on quantitative data. On other hand,
data collected by the interview are based on content analysis skills that also analyses the
collected data by the end of any interview.
4. Timeline activity
Time in week Activity performed
1-2 Approval of proposal
3-4 Selection of methodology
4-5 Completing the research instruments
6-7 Data collection from the secondary sources
and primary sources
8-9 Data collection by the interview and survey
10-11 Data analysis
12-13 Review of literature
14-15 Interpretation and discussion
16 Submission
Table 1: Timeline of the research
(Source: Learner)
For this report, the 1st and 2nd week was given for the approval of proposal. Then the selection of
proper methodology took one week. Completing the research instruments, data collection from
secondary sources and primary sources were given two consecutive weeks’ time. Then the 8th
and 9th week were utilised to collection of data by interview and survey, and data analysis took a
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
week’s time. The review of literature was done after completing all the activities and it took a
week i.e. the 12th and 13th week. Interpretation and discussion were easy tasks and were done
quite early. The final submission was done in the 16th week. Thus, this report took a time of 16
weeks from approving the proposal to finally submitting it.
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
PART 2: RESEARCH PROJECT (LO2, 3, 4)
L02: Analyse relative research for the chosen project
Abstract
The trends of global connectivity, commonly known as globalization, have been affecting the
businesses of many global multinational organizations. The purpose of this research is to
determine how this globalization is affective the business growth of BMW AG in a global level.
To carry on this research, the opinions of a group of statistically selected employees and
managers will be collected using the methods of questionnaire surveys and personal interviews.
A clearly defined methodology for conducting this survey and interviews will be followed in
order to ensure the fairness of their opinions. Statistical analysis will be performed on that to
establish an understanding about the real-life level of growth that BMW AG has managed to
achieve, and whether globalization has boosted this growth or not.
P3: Primary and secondary research using methods that considers cost, and ethical issue
Methodology
In this section, the methodology that will be adopted for the research is described and analyzed
in detail. The research approach to be taken is discussed, followed by the design of the research.
The procedure of collecting the data will be discussed, followed by the sampling strategy and
sample size that will be adopted in this research. The procedure of the entire research will be
discussed, and the research tools to be used in this research will be described in detail, along with
their positive and negative aspects.
a. Deductive and Inductive approach
In this dissertation, the research approach to be taken has the aspects of both the qualitative and
quantitative research, and the results of the research will be determined mainly by deductive
approach. According to Quinlan et al. (2019), the research approaches of deductive and inductive
styles are different, since the inductive approach creates new hypotheses by analysing
experimental raw data, while the deductive approach is mainly concerned with examining the
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IMPACT OF GLOBALIZATION: A CASE STUDY ON BMW
effectiveness of a predetermined theory or hypothesis. According to Eriksson and Kovalainen
(2015), since the inductive approach instructs the researcher to keep an open mind while
analysing a set of raw data, this approach is mainly used during qualitative research. On the other
hand, Antwi and Hamza (2015) opined that the deductive approach is used mainly for
verification of an existing hypothesis or theory with the help of acquired raw data. Hence, this
approach is mainly used when the research is quantitative in nature. In this research, a survey
will be conducted among the employees of BMW AG, which will contain questions that can be
answered with their level of agreement with the given statements, and their level of agreements
with the given statements will be tabulated in statistical table. This type is quantitative research,
and the research approach to be taken here will be deductive, since that statistical data will be
used to determine the level of success that BMW has achieved in business due to globalisation.
On the other hand, the interviews that will be aimed towards the managers of BMW AG will
contain questions that heavily depend on their personal opinions and evaluations about the
progress of BMW AG in business, and these opinions will be evaluated to analyze whether
BMW AG has really progressed towards business success due to globalization or not. This
clearly indicates that the interview session will be qualitative, and will use an inductive
approach.
b. Role of descriptive research
According to Bell, Bryman and Harley (2018), the descriptive research is a research work that
aims to find and establish the facts about the various parameters of the research subjects. In other
words, descriptive research does not aim to find the cause or effects of the research subject.
Rather, Sarma (2015) opined that it aims to find out the status of the research subject without any
kind of hypothesis or assumptions. According to Walliman (2017), this kind of research
generally takes place before making any hypothesis, since the facts that are calculated from this
descriptive research, which becomes the foundation for making any qualitative or quantitative
inferences. In this research, the survey that will be conducted among the employees of BMW AG
will be a descriptive research, since the levels of agreement of the employees with the statements
given in the survey questionnaire will simply be tabulated in a frequency distribution table for
each statement. The later analysis and inferences drawn about whether BMW AG has really
progressed towards success due to globalization will not be descriptive, but this analysis will
take the raw data gathered from the descriptive research as its input.
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