British Gas in the Global Business Environment: Drivers and Challenges

This presentation provides an overview of the global business environment, focusing on the drivers and challenges of globalization with a specific analysis of British Gas. It includes a PESTEL analysis of the external factors impacting British Gas, key factors contributing to globalization, and the impact of technology on the company's operations. The presentation also addresses the challenges and complexities faced by British Gas in its globalization efforts, such as increased capital needs, public relations, international employee expectations, and legal compliance issues. Recommendations are provided to enhance British Gas's globalization approach, emphasizing the use of social media for improved public relations and strategies to foster employee loyalty and engagement. The presentation concludes that globalization involves expanding business beyond domestic boundaries, influenced by macro-environmental factors, and that leveraging cultural exchange and technology is crucial for success, while also highlighting the importance of addressing challenges proactively. Desklib offers this and similar solved assignments to aid students in their studies.

GLOBAL BUSINESS
ENVIRONMENT

TABLE OF CONTENTS
 INTRODUCTION
 MAIN BODY
 PESTEL analysis
 Key factors of globalization
 Impact of Technology
 Challenges and Complexities
 Recommendations
 CONCLUSION
 REFERENCES

INTRODUCTION
 Globalisation refers to the developing the interdependence of world's economics, cultures and
population. It is spread of products, technologies, services, information and job across the national
borders and culture (Gygli and et.al., 2019).
 It leads to the greater interaction among the population.
 The business is globalized to increase boundaries of market in order to develop growth of the
business and to reach bigger market.
 British Gas is an energy and home gas service provider in United Kingdom. Service provided by
the company include gas, electricity, boilers and boiler cover (British Gas, 2021).

PESTEL ANALYSIS
 PESTEL analysis refers to the impact of the external environmental factors on the
growth of the business (Pan, Chen and Zhan, 2019). Following is the PESTEL analysis of the
British Gas.
 Political Factors
 Economical Factors
 Social Factors
 Technological Factors
 Environmental Factors
 Legal Factors

KEY FACTORS OF GLOBALIZATION
 Following are the factors that have contributed to the globalization. These factors impact the
globalization of the business in both positive and negative ways.
 Technological Change
 Cultural Exchange
 Improved transportation
 Differences in Tax system
 Natural Resources

IMPACT OF TECHNOLOGY
 Technology has influenced the globalization at large level. The role of digital technologies in the globalization of the
business has impact the every process in the organization.
 Industries started to adopt the technological changes in order to grow fast in the international market. Technology
reduced the work burden of the companies.
 It also impacts the British Gas in various ways as most of the operating process were being completed with help of
technologies Globally the transformation of the information also became easy and reduced the cost of the company.
 Cost improvement with the help of new technologies model were done by British Gas that include an organization
redesign, improvement in procurement process, improvement in productivity and cost of doing business.

CHALLENGES AND COMPLEXITIES
 Globalization of the business or to expand the business out of
the domestic boundaries is not an easy task.
 Company had to face challenges and complexities in order to react the
international market.
 Many barriers occur for the international companies such as British Gas
in the globalization of the business.
 Increase in capital
 Public relation
 International Employee Expectation
 Legal compliance issues:

RECOMMENDATIONS
 From the above examination, recommendation can be given to the British
Gas in order to improve the globalization approach of the company.
Following are the recommendation British Gas should implement in the
internationalization.
 Use of Social Media: The barriers of the public relation in the globalization
can be reduced with the help of social media.
 Company can increase the public relation before the globalization that will
decrease the challenge of public relation in specific area.
 Social media is the most affective marketing platform that had a great
impact on the people. It will also help the company in customer
engagement and employment engagement will also increase.

CONT.
 Employment: It is the major barrier to the
globalization of British Gas.
 Company should encourage the employee in
order to make them loyal that will change the
expectation of the employee according to the
company.
 Employees of the organization are the most
essential asset. Motivation in the employees leads
to the increase in loyalty and engagement.

CONCLUSION
 From the above presentation it can be concluded that globalization refers to the expansion of the business outside
the domestic boundaries of the company.
 Various factors of the macro environment affect the growth of the business that included political, economical,
social, technological, environmental and legal.
 Key factors of internationalization helped the business to understand the global market.
 British Gas also took advantage of the cultural exchange in the globalization of the business. Impact of technology
reduced the world load of the companies and helped in various ways of globalization such as allocation of
resources, ease in communication, reduction in cost.

REFERENCES
 Abdulmajid, A.F.A., 2019. Impact and challenges of digital market due to globalisation. Sumedha Journal of
Management. 8(3). pp.207-212.
 Babenko, V., and et.al., 2019. Factors of the development of international e-commerce under the conditions of globalization.
In SHS Web of Conferences (Vol. 65, p. 04016). EDP Sciences.
 Catling, A., and et.al., 2021. Trade Globalisation in the Last Two Centuries. Geography.
 Çitilci, T. and Akbalık, M., 2020. The Importance of PESTEL Analysis for Environmental Scanning Process. In Handbook of
Research on Decision-Making Techniques in Financial Marketing (pp. 336-357). IGI Global.
 Flew, T., 2018. Post-globalisation. Javnost-The Public. 25(1-2). pp.102-109.
 Gygli, S., and et.al., 2019. The KOF globalisation index–revisited. The Review of International Organizations. 14(3). pp.543-
574.
 British Gas, 2021. [Online]. Available through <https://www.britishgas.co.uk/business>