Global Business Environment Analysis and Expansion Opportunities

Verified

Added on  2023/01/11

|8
|2091
|62
Report
AI Summary
This report provides a comprehensive analysis of the global business environment, focusing on the opportunities presented by emerging economies such as China, India, and Brazil for business expansion. It examines the strategies companies employ to capitalize on these markets, including Foreign Direct Investment (FDI), and the impact of economic growth and government policies like 'Make in India'. The report also assesses the rising risks global social media firms, including Facebook, Twitter, and Instagram, face from government regulations, particularly GDPR, and its influence on user base and financial investments. Furthermore, it explains how governments utilize fiscal and monetary policies, including interest rates and taxation, to stimulate economic activity and growth, with a focus on the UK. The report concludes by highlighting the interconnectedness of these factors in shaping the global business landscape and the importance of adapting to changes in the environment.
Document Page
Global Business
Environment - CW2
Table of Contents
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
MAIN BODY........................................................................................................................................3
Discuss and interpret how emerging economies are presenting opportunities for global expansion
for businesses using examples to illustrate your work.......................................................................3
Introduction...........................................................................................................................................3
Main Body.............................................................................................................................................4
Conclusion.............................................................................................................................................5
Summarize the rising risks global social media firms such as Facebook, Twitter and Instagram, face
from proposed or actual government regulation and explain the possible impact this could have on
the firm..............................................................................................................................................5
Introduction...........................................................................................................................................5
MAIN BODY........................................................................................................................................5
Conclusion.............................................................................................................................................6
Explain, using examples from your own research, how Governments use both fiscal and monetary
policies to stimulate economic activity and growth using trickledown economics............................6
Introduction...........................................................................................................................................6
Main Body.............................................................................................................................................6
Conclusion.............................................................................................................................................7
REFERENCES......................................................................................................................................8
Document Page
MAIN BODY
Discuss and interpret how emerging economies are presenting opportunities for global
expansion for businesses using examples to illustrate your work.
Introduction
All such economies that are not considered as developed in nature but are growing
rapidly are indicated as the emerging economies. Such economies are developing in nature
and are going through major economic growth in order to develop the associated nation.
Emerging economies play an important role in global business environment for all
companies. Big corporate houses look for attractive market that can cater effective business
opportunities to meet their business objectives. In the process of globalisation emerging
economies considers as the priority choices for all companies. Based on the economic and
GDP growth rate India, China and Brazil are considers as the most emerging economies in
the world. Based on the economic growth rate China’s GDP growth rate is denoted by 6.8%
recently and at other hand India GDP growth rate is denoted with 6.6%. Brazil is growing at
the rate of almost 2% in its economic development (Ascari, Florio and Gobbi, 2016).
Main Body
Emerging economies are considers as the effective market for the growth and
development of big companies all across the globe. Due to economic growth per capita
income of the peoples living in emerging economies also get increase. Due to economic all
big multinational companies has the growth opportunity to channelize the open market serves
by emerging economies. In order to trace the economic growth GDP is analysed by
companies. Big organisations assess the growth rate of country’s GDP to identify the
emergence of such economies. The biggest advantage serves by emerging economies are in
form of market. Companies get to channelize the open market of such emerging economies in
order to improve the growth potential. FDI is an indicative tool that analysis how many
globalised companies are entering into the market of emerging economies. This indicative
tool project how effectively the multinational companies are entering into the market of the
emerging economies (Ashraf and et.al., 2019). All big companies facilitate the market of the
emerging economies whenever they enter into the market of the developing country in form
of quality products and services. Company also caters discount in prices to attract customers
in the emerging economies. As the companies also needs to establish the business empire and
Document Page
in such a process companies give attractive discounts to potential customers in emerging
economies. This also improves the purchasing capacity of the buyers associated with the
emerging economies apart from inflation in economy.
Big company enters in the market of any emerging economy also addresses the
unemployment issue. This can be indicated as among the major issue associated with the
emerging economies that also restricts the economic growth of such economies. Companies
also support government in such economies to deal with unemployment issues. Globalisation
also brings innovation in such countries. Due to all the luxuries associated with the Foreign
Direct Investment governments also support such companies to achieve the business
objectives in such countries. Government in India are very supportive towards all globalised
company’s operating business operations in India. Government launched plenty of campaigns
to attract foreign or big multinational companies (da Silva and Vieira, 2017). Campaigns like
“Make in India” initiative of Indian Government. Taxation benefits also cater to such
multinational companies. Government also work on skill development in order to cater
skilled work force to such companies. Government in China are also very keen towards
facilitating business development opportunities to globalised companies. Government
focused over skills development and facilitating effective business environment in China to
attract all multinational companies in China. Due to economic growth of such countries
company like Google, Microsoft, Tesla and other globalised company’s get immense
business development opportunity.
Conclusion
This part of the report concludes about the role of emergence economies in the growth
of globalised companies. China, India and Brazil are among the major emerging economies
all across the globe. Such economies has provided business expansion opportunities to
company’s like Google, Microsoft, Tesla and other globalised companies to expand the
businesses. Due to effective GDP growth rate such countries are considers as the emerging
economies.
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Summarize the rising risks global social media firms such as Facebook, Twitter and
Instagram, face from proposed or actual government regulation and explain the possible
impact this could have on the firm
Introduction
Social media is an application that supports connectivity of people over internet.
Government in United Kingdom has issues regulatory for all social media applications to
ensure the security of the personal information of all users actives in United Kingdom.
MAIN BODY
European Union has launched the new regulation in April, 2016 for all social media
applications in regards to the General Data Protection Regulation (GDPR). This regulation is
treated as the solution against the data leakage over such social media application. This
regulatory compliance will be applicable on the different social media applications like
Facebook, Instagram, Twitter and other application that enables user’s connectivity over
internet. This regulatory compliance has improved the data security of all users over such
social media applications which have also turned into the positive results for such application.
As due to data protection number of users over such social media applications has also
increased in United kingdom (Leung, Sun and Bai, 2017). This regulation has improved the
sustainability of all existing active users over such social media sites along with it attracted to
new users over such platforms. It can be stated that GDPR has been proven as the revolution
for such social media application sin form of number of active users over such sites.
Apart from positive impacts due to GDPR negative impacts like investing more
financial resources in order to ensure the data protection has also notices in respect to such
social media applications. This regulatory requirement also influenced such organisations to
reveal the list of the major stakeholder associated with them. This regulatory compliance not
created much impact as all companies project all the crucial stakeholders associated with the
business in order to owner them.
Conclusion
This part of the report has concluded the impacts like increased user base of different
social media applications like Face Book, Instagram and other due to GDPR. Number of
active users has increased in the United Kingdom due to the regulations opposed by GDPR.
Document Page
Extra investment of financial resources also needs to attach by such applications to ensure the
compliance of the GDPR in order to improve the data protections of users.
Explain, using examples from your own research, how Governments use both fiscal and
monetary policies to stimulate economic activity and growth using trickledown economics
Introduction
In order to boost the economic growth government launch the fiscal policy. Fiscal
policy is about to provide economic growth by adjusting the spending of government and also
with the support of taxation policy of government.
Monetary policy is claimed as the micro economic policy of government. All policies
frame by government that affect supply chain of money in economy is call as monetary
policy (Sok, O'cass and Miles, 2016). It also includes fluctuation in interest rates and further
the demand of currency in market.
Role of monetary and fiscal policy in order to boost the economy will be projected in
this report. This report will also emphasis over the role of both monetary and fiscal policy in
the growth of United Kingdom.
Main Body
Monetary and Fiscal policy role in economic boost
Following role play by monetary and fiscal policy in economic growth.
Stabilise economic reforms: Stabilising economic reforms is among the primary objectives
behind the monetary and fiscal policy frame by government. Both policies support the
stability of economy by strengthening the economic reforms of the country. Stability in
economy directly improves the growth potential of the GDP in country.
Control inflation: Monetary and fiscal policy play crucial role in adjusting the flow of
currency in market. Inflation directly influenced with the currency flow in market. With the
support of monetary and fiscal policy government controls the inflation rate in economy
(Luthra, Mangla and Yadav, 2019). By controlling the inflation purchasing capacity of the
people in the country also increases. Fiscal policy directly controls the interest rate which
controls inflation in economy.
Document Page
Attract companies: Monetary and fiscal policy also supports government in order to attract
multinational companies in country. Both the polices impacts over economic growth and also
over the purchasing capacity of the peoples in country. Companies always look for economic
growth, per capita income and other aspects to expand the business. With the support of both
the policies government aims to improve the business environment in country.
Role of monetary and fiscal policy in United Kingdom
In United Kingdom monetary policy is controlled by Monetary Policy Committee of
Bank of England. The committee has set the inflation rate of 2% to adjust both the policies
(Rashidi and et.al., 2017). Based on the fluctuation in inflation rate government make
adjustments in its monetary and fiscal policies to control the inflation rates. Government also
set budget as a part of both the policies in order to meet different needs of government.
Conclusion
This report has projected the role of monetary and fiscal policy in the economic
growth of the country. Both the policies play crucial role in stabilising economic reforms,
control inflation and attracting companies. In UK monetary policies are controlled by Bank of
England.
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
REFERENCES
Books and Journals
Ascari, G., Florio, A. and Gobbi, A., 2016. Monetary and Fiscal Policy Interactions: Leeper
(1991) Redux. Department of Economics Discussion Paper Series. 788.
Ashraf, J. and et.al., 2019. Researching and publishing on accounting in emerging economies:
an experiential account.
da Silva, C. G. and Vieira, F. V., 2017. Monetary and fiscal policy in advanced and
developing countries: An analysis before and after the financial crisis. The Quarterly
Review of Economics and Finance. 63. pp.13-20.
Leung, X. Y., Sun, J. and Bai, B., 2017. Bibliometrics of social media research: A co-citation
and co-word analysis. International Journal of Hospitality Management. 66. pp.35-
45.
Luthra, S., Mangla, S. K. and Yadav, G., 2019. An analysis of causal relationships among
challenges impeding redistributed manufacturing in emerging economies. Journal of
cleaner production. 225. pp.949-962.
Rashidi, T. H. and et.al., 2017. Exploring the capacity of social media data for modelling
travel behaviour: Opportunities and challenges. Transportation Research Part C:
Emerging Technologies. 75. pp.197-211.
Sok, P., O'cass, A. and Miles, M. P., 2016. The performance advantages for SMEs of product
innovation and marketing resource–capability complementarity in emerging
economies. Journal of Small Business Management. 54(3). pp.805-826.
chevron_up_icon
1 out of 8
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]