Globalisation Impact: Virgin Atlantic Business Analysis

This report examines the impact of globalisation on businesses, using Virgin Atlantic as a case study. The introduction provides an overview of globalisation, its background, rationale, aims, objectives, and research questions. The literature review explores factors contributing to globalisation, its benefits such as enhanced innovation and foreign direct investment, and drawbacks including job mobility, trade imbalances, and loss of cultural identity. The report also analyzes the relationship between globalisation and business functions, such as marketing and human resources, and proposes ways for Virgin Atlantic to mitigate the negative impacts of globalisation through better communication and ethical practices. The research methodology outlines the use of a qualitative research method, interpretivism philosophy, an inductive approach, and a descriptive research design to gather and analyze data effectively.

RESEARCH ETHICS

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Topic: The benefits and drawbacks of a global business environment.
INTRODUCTION
Overview of Research
Globalisation is explained as procedure by which world is becoming enhancing
interconnectedness as outcome of enhance trade and cultural exchange. It is a greater movement
of products, ideas, people and capital because of increased economic integration that in turn is
prompt through maximised trade as well as investment (Alejandra Gonzalez-Perez, 2013). The
globalisation has enhanced production of the products and services.
Background of Research
Globalisation is ongoing procedure that linking people, regions, cities, neighbourhood
etc. more closer together. It is process of developing as well as expanding service, technology
and business all through world. It is a kind of expansion of different businesses to global markets
in all over the world. It needs more international investment in order to develop the large
multinational organisation for worldwide economic integration. Virgin Atlantic is trading name
of Virgin Atlantic Airways Limited ( Appel, Franz and Hassler, 2014). This company uses mixed
fleet of Boeing wide-body aircraft and Airbus and it also operates to the destinations in Asia,
Middle East, Caribbean etc. On the other hand, firm also globalise its business operations in
some of the other countries. Other than this, in globalisation, firm face some advantages and
drawbacks which will aid them in conducting business at global level in a successful manner.
Rationale of Research
The major reason behind choosing the research topic is to analyse affect of globalisation
on the business operations of Virgin Atlantic and various benefits and drawbacks of
globalisation. It is biggest concept that aids a researcher to increase their knowledge regarding
specific topic. Along with this, this investigation will also support a researcher through
enhancing its literature review skill, data analyse and interpretation skill also (Axelrod and
VanDeveer, 2014). All these kinds of skills will support a researcher in completing each
activities of study successfully and systematically. In context to personal, the research skills, data
collection skills of a learner will be enhanced in a better manner. Through this, it can able to gain
the better understanding related to particular research area. In terms of professional, knowledge
base and the research capabilities of a learner will be increased.
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Research Aim
Main aim of this investigation is “To ascertain the benefits and drawbacks of
globalisation upon business functions”. A case study on Virgin Atlantic.
Research Objectives
 To understand factors which are covered under concept of globalisation.
 To identify minimum 2 benefits of globalisation on business functions of Virgin Atlantic.
 To ascertain drawbacks of globalisation on businesses functions of airline company.
 To examine and determine the relationship between globalisation and its influence over
business functions.
 Recommend various ways by which Virgin Atlantic can overcome from drawbacks of
globalisation in an easy manner.
1.6 Research Questions
 What are different factors which are covered under globalisation concept?
 What are minimum 2 benefits of globalisation on business functions of Virgin Atlantic ?
 What are drawbacks of globalisation on businesses functions of airline firm?
 What is relationship between globalisation and its influence over business functions?
 What are various ways by which Virgin Atlantic can easily get over drawbacks of
globalisation?
1.7 Timescale
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LITERATURE REVIEW
Factors which are covered under the concept of globalisation
On the basis of Will Kenton, 2018 globalisation has began as enhancing economic
cooperation among nations at the regional level. In this, Economic cooperation among countries
was result of accumulation of the capital through leading firms operating in national market.
Procedure of globalisation consists elimination of the fiscal limitations as well as barriers on
movement of human resource, products, commodities and capital. Enhancing economic
cooperation among nations is stimulated growth of the multinational organisations which operate
business. Globalisation has different factors which contribute towards it for an instance
technological change, containerisation, less protectionism, variations in tax system etc. These all
factors give their positive contribution in globalisation. On the other hand, economic contribution
is better for the developed nations because they have capital, well capable or qualified employees
and advance technology which are main key factors which contributing to competitive benefit of
firms in global market.
As per view point of John Williamson 2019, it has been stated that globalization is
manifested in success of world trade as a dimension of output (the ratio of global imports to
GWP (gross world product), has increased from some 7% in 1938 to around 10% in 1970 to over
18% in 1996).
Benefits of globalisation on business functions of Virgin Atlantic
According to view point of Tejvan Pettinger, 2017 it has been consider that globalisation
has change competitive marketplace by providing the different benefits. It can give the
tremendous opportunities for an economic development to make improvement in quality of life
for the several people. Under this, there are various business functions of Virgin Atlantic
consisting research and development, human resource management, finance, marketing, IT,
operation and many other. Benefits of globalisation given below:
Enhanced creativity and innovation- Under this, global competition can be encourage
innovation and creativity that aids company to retain one step than competitors. It drive towards
cost and quality that can make improvement in products and also keep cost minimum. Free
movement of capital and labour means that the ideas from Virgin Atlantic can be drive
innovation in all over world.
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Foreign Direct Investment- In this, Foreign Direct Investment tends to increase more
than development in world trade, help in enhancing technology transfer, development of the
global firms restructuring of industries.
Drawbacks of globalisation on businesses functions of airline company
According to Vidya Sethy, 2018 globalisation is process of the international integration
arising from interchange of ideas, views, products and also some other cultural aspects. The
major drawbacks of globalisation for company is improper laws and regulations. It highly as well
as negatively influences on functions and operations of company directly. Drawbacks of
globalisation on Virgin Atlantic given below:
Job mobility- Under this, globalisation develops the negative impact on production jobs
on ships. The low skilled employees which lose manufacturing jobs face some complexities in
finding the new jobs and compensated work. Job loss develops double- strain on countries which
have the social welfare systems.
Trade Imbalances- The global trade has developed but more trade imbalances. In some
of the countries, there is a big trade surplus and these kinds of imbalances developing pressures
as well as tensions in order to introduce the protectionist policies for an instance new form of the
import control.
Loss of cultural identity- While the globalisation has made international culture easier to
be access then it has started to be meld the culture together. In addition to this, success of the
culture throughout world have to be caused the other countries for simulate culture and lifestyles.
When the culture starts to lose its distinctive features, then it can lose its global diversity.
Relationship between globalisation and its influence over business functions
According to viewpoint of KUEPPER, 2018 it has been stated that Globalisation is
necessary as well as significant process for airline sector in order to gain the better outcomes
within set period of time. It will help company through help them to enhance their sales and also
profit for make improvement in customer base within predetermined time duration. The
globalisation provides benefits to business by providing them better opportunities. Through
globalisation, firm can target the new market place and provide them better quality of services
and products through determining their needs and demands. In Virgin Atlantic, there are many
functions which working like human resource, research and development, marketing, operations
etc. If Virgin Atlantic conduct business operations of business at the global level then in this case
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marketing department need to create better marketing strategies for attract the large number of
consumers at global level. Company need to provide training to those employees which give
their contribution in the business operations. With the help of this, staff members of Virgin
Atlantic can able to communicate with international clients and provide them better experience.
Various ways by which Virgin Atlantic can get over from drawbacks of globalisation
Ad per opinion of Angel Gurría, 2019 it has been stated that Virgin Atlantic face the
different issues in business. In order to overcome from the drawbacks, there are various ways to
overcome mention below:
Adopt better communication channels- Communication is one of the most effective way
to developing the relationship among employees, customers and managers. It is necessary for
Virgin Atlantic to adopt better communication channels which aid in attract the large number of
tourists and also gain the positive outcomes within given period of time.
Follow all rules and ethics- The ethics as well as rules should be followed through
Virgin Atlantic while conducting the business at global level. In this, manager needs to follow
the ethics and conducting activities in an ethical and systematic manner. It will be necessary for
future development as well as success with in given period of time.
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CHAPTER 3: RESEARCH METHODOLOGY
Type of Investigation
It refers process mainly used to collect data and information for motive of making
effective business decisions. There are two various kinds of research methods for an instance
Quantitative and Qualitative (Bailey and et al., 2018). This investigation report is based on
Qualitative investigation methods because it aids in give detailed description regarding specific
research area. The main reason behind using this methodology is that it gives the better and
detailed information regarding the particular area in an effective manner. Its main focus on the
less on metrics that can be in the place.
The strengths and weaknesses of qualitative research method
Strengths Weaknesses
 It aids in provide the better quality of
information regarding particular aware.
 It gives an in- depth information on the
individual cases.
 It is time consuming.
 In this, interpretation of the results is
normally biased because this is
influenced through perspective of
investigators.
Research Philosophy
It refers to set of beliefs about methods through which information and data can be
gathered, analysed and then used. Interpretivism and positivism are two various kinds of research
philosophies (Baud and Durand, 2012). In this investigation, interpretivism research philosophy
has been used because it provides proper analysis or description about opinions of authors. The
reason behind using this philosophy is that it integrates the human interest in to study.
The strengths and weaknesses of interpretivism philosophy
Strengths Weaknesses
 It is subjective in nature.
 It helps in develop the rapport with
participants.
 It has low reliability.
 Sometimes this research philosophy is
not generalise.
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Research Approaches
Research approach is explained as plan and process that consists steps of broader
assumptions to detailed methods of data collection, analysis and interpretation. There various
kinds of investigation methods and these are deductive and inductive (Belás and et. al., 2014).
This report is based in inductive approach because it provides the briefly description related to
particular area. This research approach gas been mainly used in execution of analysing the
available information and the data that consists facts and the figures.
The strengths and weaknesses of inductive research approach
Strengths Weaknesses
 It establish the probability.
 It aids in considerable an extent in
developing the scientific outlook.
 This process is more time consuming.
 Sometimes the observations are
incorrect and get the bad conclusion.
Research Design
It is defined as overall strategy that select to incorporate various study components in
logical manner (Beuving, 2013). Experimental, exploratory and descriptive are various types of
the research design. This investigation is considered descriptive research design because it gives
proper description regarding particular subject. The descriptive research design helps in explain
the characteristics of phenomenon that is being studied. This research design aids in gives better
opportunities to primer the qualitative to reconstruct.
Strengths and weaknesses of Descriptive research design:
Strengths Weaknesses
 It helps in in-depth analysis.
 It provides the rich data that gathered in
the large amount.
 The confidentially can be main
problem.
 Outcomes are not the unrepeatable.
Data Collection
This is procedure of collection and also analysing information on basis of some variables.
This is integral and important component of any research process in any field of study. It is
further categorised as primary and secondary data. The data collection method choice is based
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