British Airways: International Business and Globalisation Report

This report examines the international business operations of British Airways, focusing on its strategies for maintaining a global presence in the face of increasing globalisation. It explores the positive and negative impacts of globalisation on the airline, including the effects of increased competition, market expansion, and technological advancements. A SWOT analysis is presented, identifying the company's strengths, weaknesses, opportunities, and threats, to provide a comprehensive understanding of its position in the global market. The report highlights the importance of developing effective strategies to navigate the complexities of international business, including infrastructure development, marketing, and mergers, to maintain a competitive edge and achieve higher profit margins. The analysis considers factors such as currency fluctuations, terrorism, and legal issues, which can impact the company's performance. The conclusion emphasizes the need for businesses to analyze both internal and external market factors to develop effective strategies for growth, acknowledging the opportunities and risks associated with globalisation.

INTERNATIONAL
BUSINESS AND
GLOBALISATION:
REPORT-1

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
GLOBALISATION.........................................................................................................................3
STRATEGY IMPORTANT FOR MAINTAINING GLOBAL PRESENCE.................................3
POSITIVE IMPACT.......................................................................................................................4
NEGATIVE IMPACT.....................................................................................................................4
SWOT ANALYSIS.........................................................................................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
International business and globalisation are related with one another as it facilitates to
increase the productivity of all businesses in different countries. Globalisation is the
interrelations between different countries for resources to grow their economy and provide their
citizens effectively. This report provides brief case study of British Airways strategies for global
presence, its negative and positive impact which can impact the performance of the country.
GLOBALISATION
Increase in the globalisation has helped British Airways to increase its business in the
global market by increase in the tourism from across the world (MISHRA, 2019). Due to various
mergers and investments from businesses it developed effective market in UK to generate more
profits and increase the size of the business effectively. British Airways increases its potential by
implementing effective strategies and appointing high performance workforce to achieve their
objectives effectively.
STRATEGY IMPORTANT FOR MAINTAINING GLOBAL PRESENCE
It is very essential for British Airways to develop effective strategies to maintain its
position in the global market as there are many leader airlines competitors across the world
which can impact British Airways negatively. British Airways developed effective infrastructure
and also attracted many investors to increase the capital to grow. This helps to increase the
potential of company to invest in the effective technology and improve the decision making
process effectively. British Airways develops effective marketing strategy to attract right
customer segment and improve their potential to grow in the market. Company maintains their
position in the market by merging and acquiring different businesses to gain control over market
and reduce the cost of operation to generate higher profit margins effectively.

POSITIVE IMPACT
Company has increased its opportunities to increase its market size by investing in
improving its global presence. It is very essential for the company to understand all the factors
which can help business to make effective decision and with the help of new technology and
right resources it is possible to achieve effectively. this helps to reduce the cost of operation for
the company and increases the economies of scale to generate higher profits and also provide
higher customer satisfaction.
NEGATIVE IMPACT
Global presence has impacted current market share of British Airways due to exposure in
the global market (Hosfall and Lawson, 2019). This increased the competition for the company
and also impacted its profit margins negatively. This also increases the many threats for the
company like terrorism, fluctuation in the currency from the different markets. This also impact
the overall revenue generation of the company and reduce the quality of services for its
customers.
SWOT ANALYSIS
 Strengths
British Airways has effective global presence and brand image in the global market which
helps company to support its growth and generate better returns. British Airways has effective
technological resources which help company to analyse all the factors present in the business
environment and act accordingly to achieve the objectives effectively.
 Weaknesses
British Airways has ineffective management which leads to increase in employee turnover.
This also reduces the effective potential from the company due to effective HR. Company is
more focused on its domestic market which is UK which reduces their opportunity to grow and

compete in the global market effectively. This also impact motivation level of employees to
achieve their objectives.
 Opportunities
As British Airways has effective and larger fuel capacity airplanes it is very easy for
company to develop more international routes and improve its market expansion rate
effectively. Due to change in the technology rapidly, British Airways has the opportunity to
develop new technology and gain competitive advantage in the market to survive and
improve the brand name effectively. Company can also increase its service portfolio
according to customer segment to attract more customers and increase the customer base
(Hernández-Lara and Gonzales-Bustos, 2019). This also helps to increase their satisfaction
and brand loyalty in long run effectively.
 Threats
Competition is the biggest threat for British Airways as there are many companies in the
world which is trying to become leader in the global market. The risk of legal issues and
change in policies is also very high in multinational markets that can impact the performance
of the company negatively.
CONCLUSION
This report concludes that it is very essential for business to analyse all the internal and
external market factors to develop effective strategies to grow in the market. Globalisation has
impacted several business activities and hindered various operations however it has also
improved the opportunity for the business to grow and gain higher profit margins with higher
risks.

REFERENCES
Books and Journal
Hernández-Lara, A.B. and Gonzales-Bustos, J.P., 2019. The impact of interlocking directorates
on innovation: the effects of business and social ties. Management Decision.
Hosfall, H. and Lawson, S., JOURNAL OF AFRICAN CONTEMPORARY RESEARCH A
QUARTERLY COLLECTION ON MUL TIDISCIPUNARY STUDIES VOLUME 7.
JULY 2011 NUMBER 1. 25-30 THE EFFECTS OF GLOBALISATION ON CO-
MARKETING ALLIANCES AND FIRMS PERFORMANCE.
MISHRA, S.K., Impact of Globalisation on Human Resource Management.
Online
SWOT analysis of British Airways – British airways SWOT. 2020. Online. Available Through:
<https://www.marketing91.com/swot-analysis-of-british-airways/>.