Globalization and the Global Business Environment Analysis

This report provides a comprehensive analysis of the global business environment, focusing on the concept of globalization and its impact on businesses. It includes a PESTEL analysis to evaluate political, economic, social, technological, environmental, and legal factors influencing global business operations. The report identifies key driving forces of globalization, such as the digital revolution, socio-cultural convergence, and intense competition, and examines the impact of digital technology on globalization, highlighting benefits like improved communication and reduced costs. It also evaluates the challenges and complexities of globalization, offering recommendations for companies to overcome these hurdles, emphasizing research and development, technological advancement, and sustainability. The report concludes that globalization is crucial for business growth and provides opportunities for market expansion and increased market share. The document also references various sources to support its analysis and recommendations.

Global Business Environment.

Table of content
• Introduction
• Introduction and concept of globalization
• PESTEL analysis
• Key driving forces of globalization
• Impact of digital technology on globalization
• Evaluation of challenges and complexities of globalization
• Recommendations to overcome the challenges.
• Conclusion
• References

INTRODUCTION
• Globalization is one of the major aspects of businesses
nowadays. With the help of internet and different
platforms the people are able to get goods and services
of their choice from anywhere and at anytime.
• It is important for the companies to opt for
globalization in order to reach to their potential
customers and to make sure that the products and
services of the company is having wider reach.
• The company will get an opportunity to explore the
market other that their home markets and will also be
able to capture the market share.

Introduction and concept of globalization
• Globalization refers to the distribution of products,
services, jobs, people across national borders which
helps the companies in capturing a bigger market
share and will also hep the company in having a
wider reach to the audience.
• It enhances the brand image and will also help the
company in spreading brand awareness among
different markets which helps the company in
attracting large amount of customers looking for the
similar products and services.

PESTEL Analysis

Political factors:
• it refers to the factors which tells the company about
the degree up to which government can intervene in
the free market or in the workings of an industry. It
includes government policies, taxation policies of
government, trade related policies, etc. In case of Mr
Bigg’s, the company is needed to follow all the rules
and regulations regarding hygiene, wages and
quality of food that they are serving to their
customers.

Economical factors:
• it refers to the factors which tells the company about
the economic performance off the country or the
industry . The food industry generates and annual
revenue off above 570 billion dollars globally . In
context to UK disposable income have increased
significantly but it is important for the restaurants to
make sure that they are providing exceptional
customer services and are keeping cheaper options
in the menu .

Social factors:
It refers to the factor which are which are related do the rules and
norms of the society in which the company is operating . In case
of UK’s fast food industry , recent concern towards health
awareness created an impact on the food industry significantly .
People are more concerned about their health and want healthy
options in their menus.

Technological factors:
It refers to the factors which tells the company about the
technological advancement that is prevailing in the
market . In order to get competitors advantage in the
market it is important for the company to make sure that
they are upgrading technology according to the trends .
In context to Mr Bigg’s , the company need to make
sure that they are having the necessary technology
which can help them in the markets of UK as they are
highly advanced markets and are providing best in class
services to their customers.

Environmental factors:
• it refers to the factors which are coming into concern
recently. It is important for the company to make
sure that they are becoming more and more
sustainable. In context to Mr Bigg’s, the company
needs to make sure that they are not providing any
harm to the environment. The major target audience
of the company will be millennial and they are
highly concern about sustainability. The people are
willing to pay higher charges for the products and
services that are sustainable and are not providing
any harm to the environment.

Legal factors:
It refers to the factor which tells the company about the rules
and regulations prevailing in the market of the country in
which the company is going to enter . Every country have their
own set of rules and regulations which is needed to be
followed by each and every company. In context to Mr Biggs it
is important for company to make sure that they are working
according to the rules and regulations of the market so that
they can protect themselves from unnecessary penalty and
punishments.

Key driving forces of globalization
• The digital revolution:
• Socio-cultural convergence:
• Global education providers:
• Cross-border political influence:
• Intense competition:
• Financial liberalization: