Business Project: Exploring Globalization's Impacts on Functions

This project report investigates the positive economic, cultural, and ethical impacts of globalization on various business functions, using Accor Hotels as a case study. It defines globalization and examines its economic effects, such as increased international trade and foreign investment. The report also analyzes cultural factors, highlighting the importance of adapting to diverse customs and languages, and ethical considerations, emphasizing the need for corporate social responsibility and ethical business practices. The findings suggest that globalization offers businesses opportunities for growth and market expansion, but it also requires them to navigate cultural differences and maintain ethical standards to achieve a competitive advantage. The study recommends that businesses adopt marketing strategies tailored to host countries, develop separate marketing strategies for different markets, and prioritize food quality reflecting local preferences to enhance their global presence and success. Desklib provides access to similar project reports and solved assignments for students.

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Table of Contents
Background, Aims and Objectives:................................................................................2
Analysis of the Scenario:...............................................................................................2
The Concept of Globalisation:...................................................................................2
Economic Factors Related to Globalisation:..............................................................3
Cultural Factors Related to Globalisation:.................................................................4
Ethical Factors Related to Globalisation:...................................................................5
Analysis of the Findings:...............................................................................................6
Conclusion:....................................................................................................................6
Recommendations:.........................................................................................................7
Communication of Recommendations to Stakeholders:................................................7
References......................................................................................................................8

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Background, Aims and Objectives:
This century is considered as the time of the globalization and the impact of the
globalization has become diverse based on the cultural, economical and the ethical values.
The organization is required to maintain the business sustainability by the proper business
plan. Accor Hotels is one of the largest multinational hospitality company that owns,
manages and franchises hotels, resorts and vacation properties.Accor hotel is considered as
the leading group in the hotel industry and it has 4300 hotels in 100 countries. This group’s
growth and dynamic are the missions which are driven forward every day by 250,000
employees working in the various place around the world. The company’s success has been
increasing in skyrocketing manner and it continues its increase in the globalization age.
This study aims to find out the positive impacts based on the economical, cultural and
the ethical values of globalization on the marketing field of the business.
The objectives of this study are:
i. To understand what is globalisation.
ii. To determine the economic impacts of the globalization’s effect on marketing.
iii. To determine the cultural impact of globalization on business marketing field.
iv. To determine the ethical impacts of globalization on the business marketing field.
Analysis of the Scenario:
The Concept of Globalisation:
On the broad concept globalization can be defined as the term for describing the
integration and the people interactions on the global scale (Ampuja 2015). Based on the terms
of the business and economics, globalization is considered as the way of integrating
international markets and connecting the world economy (Bende-Nabende 2017, Balassa

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2013). Because of the increasing of emerging business trends, the globalization initiates the
free transfer of the goods, services and the financial resources across the national barriers for
developing the business relationship among the organization and the countries(Bende-
Nabende 2017). Globalization also helps to boost the business the economic sector of the
developing countries and it increases the living quality for the population of the developing
countries. Globalization enables the multinational companies for gaining the competitive
advantages through the free and the open business market.
Marketing is one of the effective method for promoting the business and sell the
goods and services. This will also include the advertising and the market research and it is all
about managing the exchange of relationship in the business. The important objectives of
marketing is to promote the business for creating the exchange of relationships with the
stakeholders and globalization has the most important impacts on it. This opens the door of
the international market for developing the ground of the business for selling the goods and
services and reaching to large number of customers. The globalization is to closely relate the
world economy as it includes the interaction of the international people, the cultural and the
ethnical factors are also the integral parts of the business.
Economic Factors Related to Globalisation:
This is found out that among the various economic factors, the globalization and the
development of the global business is important for the business. This can be segmented into
the two main components that is the export and import of the goods and services from
different countries. (Cavusgil et al. 2014). Because of the recent trend of globalization, the
exchanging goods and the capital between the countries has increased a lot and this became
noticeably easier (Intriligator 2017). The development of transportation and the internet
services has bring success in the global trade. Various multinational companies are adopting
the free trade systems for increasing the scope of the international business (Cavusgil et al.

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2014). The free trade system also helped the business to look after each other by paying taxes
for the goods that has no limit on the imported products (Orbie 2016).
The significant factor of the globalization is the transactional corporations. There are
various organizations that is growing by opening up the branches all around the world. Most
of the organizations are growing by opening up the branches all over the world and this also
brought the rapid changes in the economic scenario. Therefore having the orgin of the
business in the United States, the Accor hotel has various branches the multiple countries.
Thus the globalization has increased a lot thereby increasing the number of foreign
investments and the financial transactions (Sauvant 2015). There are various companies in the
business market those are used to trade in the developed countries as the business market is
becoming the potential market for the business.
Cultural Factors Related to Globalisation:
Globalization can be considered as the process that enable the business integration
and the communication among the people in various countries(Giddens 2018). Therefore this
can be stated that the cultural aspects is important in globalization. Because of the increasing
phenomenon the globalization concepts means that most of the people belong from the
diverse cultures, which are interacting and communicating with each other in a daily basis
and they could share more and the social cultural values than before (Giddens 2018). This
concept could also be referred as the ‘culturing melting pot’(Berry and Sam 2013). Various
languages, different food habit and the social values would fall under the different cultural
factors that affected globalization. This is a common notion as because of globalization,
people are aware of different cultures that existed in different countries. The organization
should use different cultural choices and different themes for developing the profitable
business in various countries.
Accor hotel provide the different services as per the various choices of various

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countries for developing the exclusive and the innovative menu. This is so because they need
to provide the services based on the cast and the religious values of people living in different
countries. Like in many countries people have different preferences in food and in other
sectors thus the hotel services should provide the services accordingly. Like the hotel services
could improvise the food menu by bringing the vegetable items like the aloo wraps for the
vegetarian customers and they could have introduced the dishes like ‘nasi lemak’, this is the
most famous dish in Malaysia, in the Malaysian menu. The business should use different
languages in different countries as language is one of the important cultural factors so that it
can be concluded that globalization leads the English language like the common medium of
the communications among the global organization (Aughey 2013).
Ethical Factors Related to Globalisation:
Ethics are considered as the moral principle and the moral believe which helps to
construct the human behaviour for conducting any social activity. On the context of business
ethics could be regarded as the organizational policies and the ethics should be involved in
the practices for governing the organizational activities (Dussel 2013). The business ethics
are required to include the corporate governance, discriminations, corporate social
responsibility and the judiciary responsibilities of the organizations (Cramer 2017). The
business objectives is to ensure the business reliability for the organization towards it
stakeholders (Dussel 2013).
The globalization also offer a global growth for increasing the market size and also by
providing various opportunities to profit as this is essential for the organization to maintain
the appropriate ethical operation. The controversies regarding the unethical business
operations that includes child labour, environmental problems and the poor quality products,
services and the money laundering affects the broad image of the organization and also
destroys the business reputation. On another context, the business follows proper ethical

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structures that organization achieves the competitive advantage, positive reputations and the
global recognitions. This will lead to healthy business environment and the strong working
force that will increase business profit.
The multinational company Accor Hotel claims that the business is effectively built
on the business ethics, truthfulness and the dependability. This has also developed the hotline
and the customer service system from where the customers around the globe that provides
suggestions and complaints as well. The business also introduced the websites for the
customers to complaint on the service quality and this also provides every related information
regarding the service quality to the customers.
Analysis of the Findings or results (P5):
The study analyses the economic factors, cultural factors and the ethical factors of the
business based on the globalization condition. This is considered as one of the immense
valuable factors for the achievement of goals. The globalization provides the organization a
broader scope based on the marketing terms. The free trade system is considered as the
effective process of boosting up the national economy and could improve the livelihood of
the people. The system helps in mitigating the manufacturing cost as well as the final product
cost. The increment in the sectors of foreign investment, financial transactions which
indicates the amount of the financial transactions that indicates the profits in the international
trades. This is found out that there are various cultures in the organization which relate to the
global customers thereby customising the products and the services as per the choices of the
customers. This has also helped to achieve the marketing objective that is to satisfy the
customers.
The globalization factor has also increased the business competition in every industry.
Thus it became crucial for the organization to maintain the ethical ground for obtaining the

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competitive advantages. The globalization has also helped to create the global scope of the
business thereby assuring the proper business practice that would help the business to achieve
good will in the business market and by avaoiding the unethical practices that would earn
negative reputation in the business market. Therefore it has become of the significant
obligations for the business to maintain the business ethics. The organization should
understand the growing competition, the business ethics for maintain business competitive
advantages. The marketing practice like the green marketing is one of the useful way of
attracting the customers as the recent trade shows that the customers usually demands for the
environment friendly goods and the services.
Conclusion:
Therefore this can be concluded that the globalization has provided an opportunity for
the business to grow internationally and it also have the multiple positive effects related to
marketing. The economic, cultural and the ethical value have provided positive effects related
to marketing field of the organization. The first giant forms the marketing strategies for
showing the readiness to its host countries. Thus the mentioned recommendations in this
study will help the organization to develop its project and future business.
Recommendations (P6):
Adoption of marketing strategies with the host countries: This is mostly
recommended for the business to find out the implications of the marketing strategies with
the host countries. Accor hotel is found to be lacking on the various specific markets on
which they are required to focus.
Formation of separating marketing strategies: This is also recommended that the
Accor hotel is required to separate the marketing strategies for catering into the business

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market. The marketing strategies is required to cover all aspects of the marketing mix like the
product, price, place and promotion.
Foods as per the particular markets: The hotel is required to be concerned with the
products and the services. The quality of foods is one of the important strategies for
representing the food habits of the people in the particular host market.
Communication of Recommendations to Stakeholders:
This is recommended that for enhancing the communication facilities the business is
require to undergo through the technological advancement for mitigating the communication
barriers. Thus it is recommended for the business to communicate with the stakeholders
through emails. For communicating effectively the business should divide the stakeholder
base into the external and the internal stakeholders through the registered email ids.

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References
Ampuja, M., 2015. Globalisation and Neoliberalism: A New Theory for New Times?. In
Second International Handbook on Globalisation, Education and Policy Research (pp.
17-31). Springer, Dordrecht.
Aughey, A., 2013. The politics of Englishness.
Balassa, B., 2013. The theory of economic integration (routledge revivals). Routledge.
Bende-Nabende, A., 2017. Globalisation, FDI, regional integration and sustainable
development: theory, evidence and policy. Routledge.
Berry, J.W. and Sam, D.L., 2013. Accommodating cultural diversity and achieving equity.
Cavusgil, S.T., Knight, G., Riesenberger, J.R., Rammal, H.G. and Rose, E.L., 2014.
International business. Pearson Australia.
Cramer, J., 2017. Corporate Social Responsibility and Globalisation: an action plan for
business. Routledge.
Dussel, E., 2013. Ethics of liberation: In the age of globalization and exclusion. Duke
University Press.
Giddens, A., 2018. Globalization. In Sociology of Globalization (pp. 19-26). Routledge.
Intriligator, M., 2017. Globalisation of the World Economy: Potential Benefits and Costs
and a Net Assessment. In Economics of Globalisation (pp. 85-94). Routledge.
Irwin, D.A., 2015. Free trade under fire. Princeton University Press.
Jenkins, R., 2013. Transnational Corporations and Uneven Development (RLE
International Business): The Internationalization of Capital and the Third World.
Routledge.
Orbie, J., 2016. The European Union’s role in world trade: harnessing globalisation?. In
Europe's Global Role (pp. 51-82). Routledge.

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Sauvant, K.P., 2015. The negotiations of the United Nations code of conduct on
transnational corporations: experience and lessons learned. The Journal of World
Investment & Trade, 16(1), pp.11-87.