Impact of Global Business Environment on SASOL Limited in Netherlands

This report provides an analysis of the global business environment, specifically focusing on the challenges and opportunities faced by SASOL Limited when expanding into the Netherlands. It begins by defining the global business environment and the driving factors of globalization, such as economic integration, trade and investment, technological advancements, and market conditions. The report then examines how these factors influence SASOL Limited. A PESTLE analysis is conducted to assess the political, economic, social, technological, legal, and environmental factors impacting the company's expansion. The analysis highlights both positive and negative influences, such as the Netherlands' strong economy and strict environmental regulations. The conclusion summarizes the key findings, emphasizing the importance of understanding the global market and navigating ethical considerations. The report underscores the complexities of entering a new global market and the need for strategic adaptation.

Global Business
Environment

INTRODUCTION
 Global business environment refers the environment of businesses in
different countries. In which businesses are affected by the
international or global environment.
 All actions which are conducting at the global level, they all are
impacting to that businesses which are running at the international
level.
 All natural calamities, government guidelines and new innovations in
the world are influencing to each business which are implemented
their business activities in the different areas of the world.
 Globalization is the interaction and integration process within people,
businesses, governments worldwide.

Driving Factors of Globalization
 There are various driving factors of globalization which are influence SASOL Limited while enter new market
called the Netherlands. This country is one of the richest countries in the world. There are lots of business
opportunities to the new entrants. But country's some important factors are influence new business in both term,
positively or negatively.
 Economic Integration : Economic conditions are truly impacts the SASOL Limited during their business activities
implementation in the Netherlands. Currently this country is too good at their economic aspect, in that case there
are already that products are available which are company want to expand in the Netherlands.
 Trade and Investment : This factor is some challenging to the SASOL Limited for their expansion in this country,
because the trade policies of the Netherlands are some strict for energy and chemical type industries. Investments
aspect is also not much good towards this particular industry.

CONT..
 Technological Advancements : Technological aspect are some supportive to the new entrants in this country.
But it's challenging to first time deal with it, because arrangement of technological tools is little difficult to
new comers.
 Cost : Implementation of the business activities are become some costly in this place for SASOL Limited
because country's employees pay scale is some higher than other countries.
 Market : The Netherlands energy and chemical market is not much good for the new entrants because locals
are already depends on established companies.
 Environment : Environment for these type of companies are some difficult because these need to fulfil all
legal formalities always in the certain time period.
 Competition : In the energy and chemical industry the Netherlands already has well settled companies, so it
is challenging to the SASOL Limited to deal with already established companies in the same industry.

PESTLE Analysis of the Macro Environment
 There are many important factors which are impact to the SASOL Limited during their
expansion in the Netherlands.
 Political : Political factor is some challenging to the new entrants in this industry in the
Netherlands, because local leaders and politicians are gives primary support to the domestic
energy and chemical companies and then after outer companies.
 Economic : Economic factor is also impact the SASOL Limited negatively, because this
county is comes under developed countries, and there are that products are already existing
at the high level which this company wants to offer by expansion.
 Social : This factor is also put high impact on the company, because already settled
companies in this particular industry are known deeply the basic social needs of the local
peoples and work according to their social nature. In that case if company now start their
business in the Netherlands, Company need to high study about the country's social
emotions.

CONT..
 Technological : Technological aspect in this country are very good, but the arrangement of the technological
resources are some difficult to new entrants like this company. It is challenging to the company for
implementation of the technology in company's new industry plant.
 Legal : Legislation formalities are also some challenging for implementation of the new energy and chemical
type industry in the Netherlands. During establishment, company need to fulfil many legal documentation
process. It is hard to the company for facing it in another country.
 Environmental : This factor is the biggest factor which are highly influence to the company while
expansion, because SASOL Limited is a one energy and chemical company, and their side effects are some
harmful for the country's environmental aspect. The Netherlands government are already passes strict laws
for the environment protection. So, it is hard to the company for convince local government to take
permission of run business activities in the Netherlands.

CONCLUSION
 It can be concluded that there are various driving factors of the globalization which are
impact to the SASOL Limited during their business expansion at the global market.
 The other elements are also impacts the business model of this company which are
mentioned above.
 Company face many challenges while enter the new global market called the
Netherlands.
 Global market influence the company's leadership, internal culture, structure and
functions in both term, negatively or positively.
 It also includes some ethical terms which company need to follow during run their
business activities in the global market, and try to avoid unethical attempts

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