Globalization's Impact on H&M: A Business Project Report

This report delves into the impact of globalization on H&M's new product development, specifically focusing on a summer shoe launch. It begins with an introduction to globalization and its effects on businesses, followed by an overview of H&M. The report outlines the aims, objectives, and research questions, along with a project management plan, including cost analysis, quality control, resource allocation, communication strategies, and risk assessment. A work breakdown structure and Gantt chart are presented to visualize the project timeline. The research methodologies, including qualitative research, an inductive approach, and a descriptive research design, are thoroughly discussed. The report explores sampling techniques and data collection methods. The findings and recommendations are presented, offering insights into the challenges and opportunities faced by H&M in a globalized market. The report concludes with a reflection on the research process.

Managing a Successful
Business Project

TABLE OF CONTENTS
TOPIC .............................................................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK ..............................................................................................................................................1
P1. Aims and Objectives........................................................................................................1
P2. Project Management Plan.................................................................................................3
P3. Produce a work-break down structure., Gantt Chart and Time Scale..............................4
..........................................................................................................................................................6
..........................................................................................................................................................7
P4.Research Methodologies...................................................................................................8
P5.Finding and Discussion...................................................................................................10
P6.RECOMMENDATION..................................................................................................20
P7.REFLECTION................................................................................................................21
CONCLUSION..............................................................................................................................22
REFERENCES..............................................................................................................................23

TOPIC
To determine the impact of globalization on new product development of company. A
case study on H&M.
INTRODUCTION
Globalisation is the process by which businesses or other organisation develop
international influence or start operating on an international scale. After the centuries of
technological progress as well as advances in international cooperation, the world is more
connected than ever. It is because of globalisation and describe the growing interdependence of
the world's economies, population and cultures, brought about by cross border trade in products
and services, flow of investment, information and technology (De Brentani and Kleinschmidt,
2015). Businesses are greatly influenced by globalisation as they gain the opportunities to trade
across the boarders (Strategies for new product development on global scale, 2017).
Globalisation leads to increase in transfer of capital including the expansion of foreign direct
investment (FDI) by transnational companies (TNC's) and the rising influence of sovereign
wealth funds. In terms of production there was greater outsourcing as well as offshoring. Further,
globalisation also leads to greater level of labour migration both within and between nations. In
addition to this, innovation is also increases because spending on innovation, capital investment
as well as infrastructure is also raised across the world. Thus, globalisation results in bringing
positivity in the businesses.
This present report will cover, aims and objectives, overview of the company,
background of the research and rationale. After that, project management plan will also be
depicted in this research paper. Research methodology and data analysis and finding will be done
in this study. Afterwards, recommendation and reflection part will be done.
TASK
P1. Aims and Objectives
Aims and Objectives
Aim: “To determine the impact of globalisation on new product development of company. A
case study on H&M”.
Objectives: To determine the concept of globalisation.
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 To determine the factors of globalisation that affect H&M in the development of new
product. To analyse the challenges faced by H&M after globalisation in the new product
development of the company.
 To provide recommendation on successful launching of new product in the market.
Research Questions:
1. What is the concept of globalisation?
2. What are the factors of globalisation that affect H&M in the development of new product.
3. What are the challenges faced by H&M after globalisation in the new product
development of the company.
4. What are the recommendations on successful launching of new product in the market.
Overview of the company
H&M is being chosen for assessment. Henns & Mauritz (H&M) is a Swedish multinational
company. It is recognised and known for its fast fashion clothing company for men and women,
children and teenagers. It was founded in 1974 by Erling Persson. Its headquarter is located in
Sweden. The operation of H&M is in 62 countries and there are 148000 employees are currently
working (Charles Jr, Schmidheiny and Watts, 2017). In this present report, H&M is going to
launch a new product (summer shoe) in London fashion week.
Background of the Research
The present research is based on the impact of globalisation on the new product
development of H&M company. Globalisation is a very popular topic in context of businesses
because it has great impact on the profitability, sales, market share, operations as well as entire
organisation. After the globalisation it becomes easy for the organisation to trade across the
boarder by which they can expand their business (Kawakami, Barczak and Durmuşoğlu, 2015).
Thus, the study of research will identify the factors and challenges that affects the organisation as
a whole as well as in development of new product. H&M is one of the biggest fashion brand
company working at global level thus, there are various situations arise where sometimes it
becomes very difficult for them to operate and sometimes it creates ample of opportunities to
expand them at global level.
Rationale
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Around this topic, the impact of globalisation on the businesses, there have been
extensive researches are done. This present study will analyse the impact of globalisation on the
new product development of H&M. Company is going to create and develop a new product
which is summer shoe in the market. So, it is very important to identify the challenges along with
opportunities that company gain from the global market. The reason for selecting this topic is
that globalisation a very broad term but there are many factors such as technology, political,
differences in tax system, production issues, resource and markets, industrial organisation and
many other factors are there which affect the operation of company (Gachoka, 2015).
P2. Project Management Plan
Project Management Plan.
Project management plan is very important part when it comes to conducting research on
any topic for the study. It is the document that is used to guide both execution of the project and
project control. The main elements of project management plan includes standard for scope, cost
and schedule, quality, communication, risk and resources. Here are the elements described below
which are used to create a project management plan-
Cost- This is the fundamental work of the researcher that scholar have to set the cost or
plan the budgeted cost in which the study is completed. Thus, proper management of costing is
needed so that all the activities of research carried in effective manner. In conducting this present
research, £5000 is requires reaching the aim and objectives by performing all the tasks because
globalisation is very broad topic and researcher has to study all the narrow aspect so that result
obtained will be authentic (Postelnicu and Dabija, 2015). Further, in the production of new
product which is shoes, the cost will be £50000 as it includes start from beginning of market
research.
Quality- Quality is very important to reach the aim and objectives as well as to solve the
issues in the research. All the information or data which are collected by the researcher should
have reliability and authenticity. Researcher should ensure that from gathering data to
interpretation, quality must be maintain. Further, Company will use key performance indicator
and benchmarking so that the quality of shoes or new priduct can be monitiored.
Resources- Adequate resources are required to conduct the entire research in a
systematic manner. If researcher does not have adequate resources than the quality of study will
be affected. So it is very important that required resources should be gathered. Resource includes
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laptop, storage devices, stationery items. Further, the resources required to complete shoes are
trained professional for conducting market research, raw materials, fund, time etc.
Communication- Communication is the backbone when it comes to conducting any
research on any topic. There should be effective communication between the function of
business and all the activities related to the purpose of globalisation. Researcher will use emails,
circulars are selected for effective communication. Further, in the communication of new
product, H&M will use social media advertisement, fashion maximum, will conduct fashion
shoes etc.
Risk- In order to conduct the research effectively it is very important that there should be
proper assessment of risk that will help the organisation and investigator to maintain the
effectiveness of the study of the investigation (Okrepilov and Leonidovich, 2015). There are
many risks such as theft of data, security issues etc. thus, it is very essential that researcher
should ensue and mitigate the risk by making proper plan and management. In addition to this, in
the production and the launching of shoes H&M also faced some risk like cost of production
might be increase, theft of design before launching, customers will like or not etc.
P3. Produce a work-break down structure., Gantt Chart and Time Scale.
Task
Mode Task Name Duration Start Finish Predecessors
Auto
Scheduled Identification of market 8 days Mon 03-12-18 Wed 12-12-18
Auto
Scheduled Selection of market 9 days Thu 13-12-18 Tue 25-12-18 1
Auto
Scheduled
conducting market
research 9 days Wed 26-12-18 Mon 07-01-19 2,1
Auto
Scheduled
formulating of goals and
objectives 7 days Wed 26-12-18 Thu 03-01-19 2
Auto
Scheduled
identification of audience
in new market 4 days Tue 08-01-19 Fri 11-01-19 3,4
Auto
Scheduled creating marketing plan 6 days Tue 08-01-19 Tue 15-01-19 3
Auto
Scheduled
implementing of
marketing plan 10 days Wed 16-01-19 Tue 29-01-19 5,6
Auto
Scheduled testing of product 8 days Wed 30-01-19 Fri 08-02-19 7
Auto final launch of product in 5 days Mon 11-02-19 Fri 15-02-19 8
4

Scheduled market
5

GANTT CHART:
Critical Path:
6

Illustration 1: WBS
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P4.Research Methodologies
Introduction
Research methodologies are the most important part as it is directly linked with executing
the aims and objectives of the research study. With the help of research methodologies it
becomes easy for researcher to collect authentic data for the purpose of taking right decisions.
Research methods include philosophies, approaches, type, design data collection, data analysis,
sampling and ethical consideration. The type of research methodologies chosen by researcher
underpin the work as well as methods uses to collect the data.
Research Type
The careful consideration of the study regarding a topic or problem using scientific
methods are called as research. There are two types of research which are qualitative and
quantitative (Woodhouse, 2016). Qualitative research is based on the numeric figures or
quantities whereas qualitative research are those that is based on words, emotions, sounds,
feelings and any other unquantifiable elements. The present research is based on qualitative
research as researcher has taken views of respondents and for that thematic analysis will be done.
Research Approach
It is very important for the researcher to select the best approach to conduct the research.
It is the plans as well as the procedure for research that span the steps from broad assumption to
detailed methods of data collection, analysis and interpretation. It is very essential for the
research to select the best approach to collect the data so that relevancy of study is maintained.
There are mainly two types of research approach which are deductive and inductive. Deductive
approach is testing and aimed theory. On the other hand, inductive approach is mainly concerned
with the generation of new theory emerging from the data. This present research is based on
inductive approach because the result obtained best when study is qualitative. Thus, researcher
effectively and efficiently determine the impact of globalization on new product development of
H&M by using inductive approach.
Research Design
Research design is defined as the framework of methods as well as techniques selected by
the scholar in order to combine different elements of the study in a logically and reasoning
manner (Yusuf, Adams and Dingley, 2016). There are four types of research design which are
descriptive, correlational, semi- experimental and experimental. In this present research,
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descriptive research has been chosen by researcher. Descriptive research design is a scientific
method involves describing as well as observing the behaviour of a subject without influencing it
in any way and participants in the research are depicted in accurate manner. Thus, researcher
effectively and efficiently determine the impact of globalization on new product development of
H&M by using descriptive research design.
Sampling
Sampling is very important section when it comes to conducting research on any topic. It
means the process of selecting a small part of the population. It is very important to select the
group of sample from the population because it is not possible to study the entire population
because it is very large as well as it also required time, cost and energy. So, in order to make the
research easy and convenient, researcher has selected a small part of the population for the study
instead of studying entire population (Skinner and Engelberg, 2018). There are two types of
sampling probabilistic and non-probabilistic sampling. In this present research, researcher has
used probabilistic sampling in which random sampling techniques has been used because in this
type of sampling each respondents have equal chance of being selected in the sample. Researcher
has selected 20 senior managers of H&M.
Data Collection
When it comes to conducting the research, it is very important to collect the data from
authentic sources. It is the process of collecting information from all relevant sources in order to
find answer to the research problems, test hypothesis as well as to measure the results. Primary
and secondary are two methods by which data are collected. The data which are fresh and first
hand are called primary data for example survey, questionnaire, force field, etc. on the other
hand second, second hand or used data are called as secondary data, for example, internet
articles, blogs, books and journals etc. Research has used both the methods in order to determine
the impact of globalization on new product development of H&M by using descriptive research
design (Greenhalgh and et.al., 2016).
Data Analysis
When the data is collected it is required to inspect, clean and mould the data because the
information which are collected are meaningless and useless without its proper analysis. There
are tow methods for analysing the data which are qualitative and quantitative data. Researcher
has used to analysis the data by qualitative methods in which thematic analysis has been done.
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Researcher has prepared tables, charts and graphs and interpret the data in a very systematic and
logical way.
Ethical Consideration
Ethics are the norms, standard which makes distinguish what is wrong and right. It is
very important for the scholar to understand the norms and standard that makes the study very
authentic and valid (Nash and Browne, 2016). Here are the ethics which needs to consider the
before and during the research are as follows-
 All the participant in the study were not subject to about harms in any ways
whatsoever.
 No any participants are force to participate in the study and they have right to
leave the sample wherever they want.
 Data are collected for the authentic sources. Wikipedia and invetopedia sites were
excluded.
 The dignity and respect of the respondents are maintained.
 The level of confidentiality was adequate.
 Any type of communication in respect to the study was done with transparency
and honesty (Fox and Alldred, 2015).
 The protection and privacy of data was ensured by the scholar.
P5.Finding and Discussion
QUESTIONNAIRE
Name of Organisation:
Name of Respondents:
Gender:
Age:
1. How long you are working in H&M?
 1 to 5 years
 5 to 10 years
 10 to 15 years
 15 years and above
2. Do you know the actual and detailed concept of globalisation?
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