Comprehensive Analysis of the Global Business Environment for CAMECO

This report provides a comprehensive analysis of the global business environment, focusing on the case of CAMECO, a growing energy and chemical company. It examines key factors driving global commerce, including cost, market dynamics, environmental considerations, and competition. The report explores the strategic complexities faced by organizations operating globally, using CAMECO as a specific example, and assesses the impact of globalization on organizational structure, culture, and ethical considerations. Furthermore, it evaluates various decision-making approaches and routes to internationalization. The report leverages models like McKinsey 7's and Hofstede's cultural dimensions to provide a structured analysis of the global business landscape and offers recommendations for navigating the challenges of globalization.

GLOBAL BUSINESS
ENVIRONMENT
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Contents
INTRODUCTION...........................................................................................................................3
LO 1.................................................................................................................................................4
Analyse key factors of cost, market, environment and competition that drive global commerce
and trade.......................................................................................................................................4
LO 2.................................................................................................................................................7
Explain the complexity of strategic challenges faced by organisations when operating in a
global environment, supported by specific examples..................................................................7
LO 3...............................................................................................................................................10
Evaluate the influence of globalisation’s structure, culture.......................................................10
Evaluate the influence of ethical and sustainable globalisation................................................13
LO 4...............................................................................................................................................14
Evaluate the different ways of decision making........................................................................14
Determine the ways of various routes to internationalisation...................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16
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INTRODUCTION
Global business environment is refers the environment in different countries, with the
various factors to environment of the organisation. It influences the decision making which are
based on the resources and capabilities. It refers then external and internal environment. The
external factors are refers social, political, tax, culture and technological environment. The
present study is based on the “CAMECO” which is fast growing energy and chemical company.
The company is expanded into various countries like Canada, Gabon and so on. Company
manager want to expand into the other country very soon. Study lays emphasis on the key factors
and strategic complexities with operating in new global era. Report will evaluate by the
influences of globalisation on the organisational like leadership, structure, culture and functions.
It will also evaluate the ethical and sustainable organisational function. Study will evaluate by
the different ways of decision making which are help to work in effective manner. It will also be
highlighted by determine the various routes to internationalisation and organisation may adopt
including key barriers.
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LO 1
Analyse key factors of cost, market, environment and competition that drive global commerce
and trade.
Notes:
It has grown advance and in communication technology and transportation by increasing
global interaction comes of international trade, culture and ideas. Economically, it includes thee
goods, services and economic sources data, technology capital. The globalisation is considering
in area which political, economic and culture globalisation. All have their own concept and key
factors. The economic globalisation is helps to increase interdependence of national economic
growth across world. The culture globalisation is referring the transmission of the ideas and
values in ways to expand social relation. Other hand the political globalisation refers the growth
of political system in size and complexity.
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Notes:
Liberalisation
It word is generally used by the different government like foreign direct investment. It is
the major tool in it and it gives permission each type of business to work freely entering into the
business market. It is the key driving factor of the globalisation and best ways of entering in new
market.
Technology
The technology is the drastic changes in the business which is international after the
technology advancement. Most of the country has their monopoly in different segments to
support technology advancement at work era. Technology is help to import and export the goods
and services of the particular company and business management.
Resources and market
The resources and market is preferred and most important key factor of the globalisation.
The resources like mineral, coal, oil, gas, chemical and human resources gives important
contribution in the globalisation.
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Cost
The cost is man key factor of the globalisation. Every country has their own currency
which is used against goods and services. It is impact to the business that is globalisation.
Notes:
Technology advancement is reducing costs of transportation and communication. The
patent technology is help to encourage the globalisation firm can exploit foreign markets without
any competition. Technology development is help to globalise the world and its economy. It is
the progress is key driving factor which improve in incomes and standard of living. Other hand
new knowledge and technology not necessary to develop same time and anywhere it takes time.
The technology is impact to the globalisation in negative and also in positive ways. It helps to
reduce barriers of time and place in business dealings. With the help of digital technology global
business done work in effective manner. Technology gives effective and valuable impact on
globalisation.
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LO 2
Explain the complexity of strategic challenges faced by organisations when operating in a global
environment, supported by specific examples.
Notes:
Political factors
The political factor plays significant roles for evaluate the impact of CAMECO long term
in market. This company is operating in the metals and mining and is impacted by the various
political factors and risk. The political factors are including a various factors like trade tax,
taxation, intellectual property framework. The government increase global pressure to adhere on
metal and mining industry. Company have to pay extra for their global pressures.
Economic factor
The macro environmental factors are impact to the CAMECO Company. This includes
various factors such as the inflation rate, saving rate, interest rate and so on. The exchanges rate
is impact to CAMECO Company’s investment plan not in short term and also in long term.
Social factors
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Thee social factor is impact to the company and its growth factor because culture of
every country is totally different. By this company face various problems. The attitude of health
and safety. This increasing liberalization in attitude of health and safety. Here is need to
CAMECO stay away by this attitude.
Technological factors
Technological factor is impact to the CAMECO Company by introducing high and
advanced technology at marketplace. In this company have to take new technology in their work
process. By this technological factor is impact to the business and its growth factor. The
technology in the metal and mining sector is not reached at maturity. In that most of the players
are trying innovate new technology for gain higher market share.
Environmental factors
Environmental factor is impact to the business and CAMECO Company in negative and
also in positive ways. This regular scrutiny by the environmental agencies is adding to cost of
operation of CAMECO. By this company is impacted by these factors.
Legal factors
The legal factor is highly impact to the CAMECO Company. This company is deals in
the metal and mining products. This factor is include various factors such as health and safety,
legal protection, data protection law etc. the health and safety norms is highly impact, in this
company have to meet these law and compensate to employees against of their injuries at the
time of work.
Those are the factors which impact to the business and its norms. By this company have
to take decisions as per those norms.
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Notes:
That are not happens automatically in the globalisation. It is deals with the various fears
which is leads towards the instability for particular mark at developing world. It is address the
real fear in industry which is increased competition lead race to the lower level wages,
environment, employment practices and rights of labour. The most critique challenge of
globalisation in the world which is affect to the business and growth especially with the
manufacturing jobs by oss developed country to developing country.
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Notes:
The company is easily deal with the fear about extends in all country then globalisation
easily deals with those fears in effective manner. Then the development is in effective manner.
With the help of this globalisation is able to deal with those fears in effective manner. Increasing
the global competition is also challenges of globalisation. In that globalisation use high advanced
technology to compete with their global competitors. By this, competition challenge is managed
in correct manner. Those are recommendation to overcome the challenges for grow in global era.
LO 3
Evaluate the influence of globalisation’s structure, culture.
To evaluate the influences of globalisation structure, here is help to McKinsey 7’s model.
This model is helpful and effective for evaluate the structure of globalisation. Structure of
globalisation is influences the CAMECO chemical company and its decision making process.
The McKinsey 7’s model is as follows:
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With the help of this model CAMECO company is able to improve performance of
company and help to align each and every department and process (Amankwah-Amoah,
Osabutey and Egbetokun, 2018). This model is divided into two element which are hard and soft
element. The hard element is considers strategy, structure and system elements. Other hand, soft
elements are considers skills, style, staff and shared values. The explanation of each element is as
follows:
Hard elements
Hard elements are defined and management directly influence those strategy, structure
and system of the work.
Strategy
The strategy is a plan which is help to maintain and build the competitive advantage in
the competition era. The globalisation has long and short vision and mission of work. By this
CAMECO company is affected with the decisions. This affect to the decision making process of
the company (Aras and Crowther, 2016). In this company have to take their decision as per
globalisation strategy process because every country has strategy to grow.
Structure
The structure is help to business for conducting the way of business. This includes yhe
various information and format of work. Globalisation is have their structure of work in this
CAMECO manager have too includes this structure of work in their process. By this, structure is
influence decision making process of chemical company.
System
System is the process of the company which is help to business for plays their daily
activities and decision making process. Globalisation business have their own system like their
legal framework, property planning. By this company is affected by this system because manger
makes their system of work as per country. By this, it can be affect to the business and its
decision making process.
Soft elements
The soft elements are more difficult to describe, that are more tangible and influenced
with the culture (Bruni-Bossio, 2018). Those are more important with the hard elements.
Skills
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Skills are the ability of employees who are work within the company and also give their
hard contribution to achieve goals and objective of firm. This includes capabilities and
competences. This can be affect to the decision making process of the company. Every employee
has their own skills and ability to work done. In that CAMECO manager have to organize
training program for their employees by this they are learn skills of work related to the company.
Staff
It is the main elements of this model staff, this include plan for recruiting employees in
organisation. Like company is expanding in other country in that they have to recruit staff
members for their company and work. By this globalisation structure is impact to the decision
making process of company because manager take decision for training, motivating and
rewarded.
Style
Style is represent the company is managed by the top level manager. It is the
management of the company’s leaders (Crane and Matten, 2016). In that company’s leaders and
managers are take decision as per their structure and needs of employees.
Shared values
Shared values are most important for the employees and company. In that manager of
CAMECO have to share values to employees. These values are related to the norms and standard
guide employee’s behaviour and actions.
With the help of McKinsey 7’s model company manager is able to structure of globalised
company. To understand the culture of company here is use Hofstede culture model.
The culture model is help to understand the difference in the culture across country and
ways of business in different culture ways. This considers the different categories which are help
to define culture by the power distance, uncertainty and so on.
Power distance is considered the extent the inequality and power are tolerated. With the
help of this model power culture may analysis and understands the values in high power
index and lower power index. This gives suggestion for the inequality of difference and
respect.
Individualism and collectivism is considers the degree of obligation and dependence of
group. Individualism is indicates is greater important for attending the personal goals.
Other hand, collectivism is important for goals and well-being of group.
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Uncertainty of avoidance is extent the uncertainty (Frynas and Mellahi, 2015). This is
depends on the situation and unexpected event dealt with the aspects. In this company
have to handle all situation which are happens in aspects.
With the help of this model company is able to understand the culture of globalisation. By this
manager is able to make strategy and schedule for the work. This impact of culture on work and
life.
Evaluate the influence of ethical and sustainable globalisation
Ethical decision making is influences the business and its decision making by various
factors like environmental, organisational factors, morale and personality, personal goals and
behaviour etc. evaluation of globalisation by ethical and sustainable grow are as follows:
Morale and personality
Morale and personality is affect and influence the ethics and sustainability of
globalisation business of CAMECO Company (Hamilton and Webster, 2018). Like company is
expand in other country, their person are have own morale and personality of work. Morale of
person is impact to the business and its growth. In that manager of company has to make possible
solution for the work and its growth in effective manner.
Behaviour
Behaviour is influence the ethics and sustainability of business. Like behaviour of
employees are not good then it impact to work and growth of CAMECO Company. Because
their behaviour is wrong then they are work in negative manner. By this it influences ethics and
sustainable globalisation. In that manager make strategy to make happy their employees then
their behaviour are changed and goods.
Personal goals
Personal goals are influence to the work and its factor because every employee has their
personal goals for work. In that employees of CAMECO Company done their work in their
manner. By this personal goals are impact and influence ethics and sustainability of
globalisation.
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LO 4
Evaluate the different ways of decision making
There are various ways which are help to take decisions for growth of CAMECO
Company. Those ways are as follows:
Directive decision making
Directive decision making is the best way of taking decisions for growth of company.
This way is based on situation which are happens in the organisation. It is very rational decision
making way. In this manager of CAMECO, take decision which are suddenly happens in
organisation (Hart and et.al.,2015). This can give the correct ways to manager and proper
guidance for work. In this requires the extra communication. In this leaders of company need to
handle situation direct and respond appropriate.
Analytic decision making
This decision making process is examine all the information before taking actions. In this
leaders of CAMECO Company direct observe the facts to support their decision. This is best and
effective ways of decision making in thee company. This decision making is helpful in each type
of decision making with right answer. With the help of this decision process manager and leader
are able to solve all the problems which are affect to company.
Determine the ways of various routes to internationalisation
There are various ways which are help to expand their business in global context and
internationalisation. The routes are as follows with its disadvantage:
Strategic alliance
It is the term which is used for describe the different relationship between the company
and international market (Kuada, 2016). It is the route which is help to CAMECO Company is
expanding their business in other country in effective manner. This help to speed in production
and overcome the legal trade barriers. This has barriers to expand their business in other country
which is build challenge. This have their own risk of work, especially with the parties are not
financial equal.
Joint venture
Joint venture is also the route of expand their business in other country. This help to
CAMECO Company to expand their business in other. This is tending to equity based because
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new company is set with the various parties’ proportion of new business. This help to gain entry
in foreign market. But this can create problems for the company which, it takes time and more
efforts to build right and correct relations with the business (Minto-Coy, 2016). It is challenge
for the company which is wanted to expand their business in other country.
Those are the routes of expanding business in new country. This help to CAMECO
Company for expand business but by creating problems.
CONCLUSION
From the above study it had been concluded that the global business environment has
effective concept for expanding the business. Report has covered by the key factors of
globalisation and significant impact of digital technology on it. Digital technology has impacted
to the business because new technology has high risk and but with high growth. With the help of
PESTEL model manager has able to analysis macro factors which has impact to the business.
There has mentioned the various challenges which has faced by the company with
recommendation to overcome those challenges. The McKinsey 7’s model has effective to
understand the structure of globalisation business and other hand, Hofstede culture model help to
understand the culture of business. By this manager has able to take correct decision for work.
Report had been covered by the various ways of decision making with the help of this manager
has able to make decision as per the situation which can happens in organisation. There has
mentioned the various routes for internationalisation the business which help to company for
expand their business in other country with creating barriers.
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REFERENCES
Books and journals
Amankwah-Amoah, J., Osabutey, E. L. and Egbetokun, A., 2018. Contemporary challenges and
opportunities of doing business in Africa: The emerging roles and effects of
technologies. Technological Forecasting and Social Change. 131,.pp.171-174.
Aras, G. and Crowther, D., 2016. The durable corporation: Strategies for sustainable
development. Routledge.
Bruni-Bossio, V., 2018. Corporate board decision-making: applying collective versus personal
values. Journal of Business Strategy.39(1). pp.15-23.
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
Frynas, J. G. and Mellahi, K., 2015. Global strategic management. Oxford University Press,
USA.
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
Press.
Hart and et.al.,2015. Resolving long-term issues related to surface water management and
monitoring associated with the Ranger Uranium Mine, Northern Territory,
Australia. Australasian Journal of Environmental Management.22(4).pp.417-431.
Kuada, J., 2016. Internationalisation of Firms in Developing Countries: An Integrated
Conceptual Framework. In Perspectives on International Business (pp. 71-99). Adonis &
Abbey Publishers.
Minto-Coy, I.D., 2016. The role of diasporas in the growth and internationalisation of businesses
in countries of origin. Diaspora Business, pp.121-139.
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