Global Business Environment Report: Challenges and Strategies

This report delves into the intricacies of the global business environment, exploring the concept of globalization, its driving factors, and the impact of digital technology. It includes a PEST analysis of SASOL, examining political, economic, social, and technological factors. The report identifies challenges associated with globalization, such as organizational structure, leadership, and ethical business practices. Recommendations are provided to overcome these challenges, emphasizing the importance of a well-defined organizational structure. The report concludes by summarizing key findings and referencing relevant sources, offering valuable insights into the global business landscape and providing strategic solutions for businesses operating in this environment.

Global Business
Environment

Table of Content
 Introduction
 Concept of globalization
 Driving factors of globalization
 Impact of digital technology upon globalization
 PEST analysis of SASOL organization
 Challenges of globalization and strategic challenges
 Recommendations on how to overcome these challenges
 Conclusion
 References

INTRODUCTION
Environment refers to overarching an environment under which
firm operate its business. It consists wide range of factors which
can impact on business involving politics, culture, location,
economic status of global environment etc. Global business
environment refers to environment in various sovereign
countries with exogenous factors to home environment of firm,
influencing the decision making on capabilities and resource
use.

Concept of globalization
Globalization refers to process of
integration and interaction among
organizations, people and
governments. It is a procedure
through which regional and
national economies, cultures and
also societies have integrated by
global network of the
transportation, communication
etc.

Driving factors of globalization
Firms go global in order to expand their markets as well as
enhance sales or profit level. Variety of factors which
contributed towards globalization process are mention below:
 Technology
 Trade flows
 Liberalization

Impact of digital technology upon
globalization
Technology plays a vital role in
modern form of the business
globalization. It has change
global economy and also
became critical competitive
strategy. Advancement in the
technology helps SASOL
organization to enhance
development of the global
market.

PEST analysis of SASOL organization
PESTLE analysis is strategic tool to examine macro environment
of company. Changes in macro- environment factors have direct
affect on activities as well as operations of company. PEST
analysis of SASOL company mention below:
 Political
 Economical
 Social
 Technological

Continue...
Political factor- This factor
plays a necessary role in
identifying factors which
can be affected the long
term profitability of SASOL
limited in certain country.

Challenges of globalization and strategic
challenges
Globalization is new contemporary development stage of
capitalism over world. It is process of the social change under
which cultural and geographical barriers are minimized.
Different challenges related to globalization mention below:
 Organizational structure
 Leadership
 Ethical business practices

Recommendations on how to overcome
these challenges
It has been recommended from above given detail that SASOL
business firm should develop the better organizational
structure in the other countries so that business operations of
this company can be conducted in an effective or better
manner.

Conclusion
It has been concluded from above mention report that
globalisation explains way people and countries integrate and
interact. In this mention presentation discussed about the
globalisation and their driving factors. Challenges of
globalisation and strategic challenges has been also discussed
in this presentation.

References
Black, J. S., Morrison, A. J. and Gregersen, H. B., 2013. Global
explorers: The next generation of leaders. Routledge.
Botha, A., Kourie, D. and Snyman, R., 2014. Coping with
continuous change in the business environment: Knowledge
management and knowledge management technology.
Elsevier.