Gbm/489 Global Trends Paper
Global Trends
Debra Elliott
University of Phoenix
Strategic Topics in Global Business Management/GBM/489
Dr. Joanne Nesbitt
March 22, 2009
Global Trends
Globalization trends contribute a significant impact toward society and the development of specific markets. The entire world continues to experience the process of globalization and the effect on the country and society. No matter if the country is seen as developed or developing, by keeping apprised of trends in any market will affect a company’s performance (Daniels, Radebaugh & Sullivan, 2007).
Management and Functional Areas of Business
Management identifies global trends by researching “demographics, economics, politics …” of a country (FW9-Global Trends, 2005, Introduction, …show more content…
In any new business venture a firm must take risks to achieve objectives set. When expanding into a new country a higher degree of risk must be taken. However, a higher degree of risk does not mean the company will be venerable to losses because of changes in the economies or political situations in countries in which they are investing. Understanding the types of risk involved and properly planning for these risks will allow the company to mitigate most problems and prevent losses. As described by A.M. Best’s assessment (2009) of the three categories of risk, Japan has been rated low in economic, political, and financial …show more content…
1). Before expanding into another country, researching the economic structure of the country is important. Economic risk comes from the inability of a country to meet financial obligations. The political system of a country integrates different groups into a functioning, self-sustaining, and self-governing society (Daniels, Radebaugh, & Sullivan, 2007, para. 1). Creating a majority of people in society that accepts present political views can result in positive benefits including the attraction of foreign investment and international trade. When turmoil among the people and the roles of government exists, friction occur creating unpleasant unrest. This unrest becomes a deterrent to foreign companies doing business or about to do business within the country.
Over the past few decades an increase has been seen toward greater economic freedom. Neither geography nor size of a country has dampened the ability of transitioning to market economies with economic freedom. Countries with economic freedom have a substantially higher level of long-term growth. Economies have grown primarily because of global markets and global
Debra Elliott
University of Phoenix
Strategic Topics in Global Business Management/GBM/489
Dr. Joanne Nesbitt
March 22, 2009
Global Trends
Globalization trends contribute a significant impact toward society and the development of specific markets. The entire world continues to experience the process of globalization and the effect on the country and society. No matter if the country is seen as developed or developing, by keeping apprised of trends in any market will affect a company’s performance (Daniels, Radebaugh & Sullivan, 2007).
Management and Functional Areas of Business
Management identifies global trends by researching “demographics, economics, politics …” of a country (FW9-Global Trends, 2005, Introduction, …show more content…
In any new business venture a firm must take risks to achieve objectives set. When expanding into a new country a higher degree of risk must be taken. However, a higher degree of risk does not mean the company will be venerable to losses because of changes in the economies or political situations in countries in which they are investing. Understanding the types of risk involved and properly planning for these risks will allow the company to mitigate most problems and prevent losses. As described by A.M. Best’s assessment (2009) of the three categories of risk, Japan has been rated low in economic, political, and financial …show more content…
1). Before expanding into another country, researching the economic structure of the country is important. Economic risk comes from the inability of a country to meet financial obligations. The political system of a country integrates different groups into a functioning, self-sustaining, and self-governing society (Daniels, Radebaugh, & Sullivan, 2007, para. 1). Creating a majority of people in society that accepts present political views can result in positive benefits including the attraction of foreign investment and international trade. When turmoil among the people and the roles of government exists, friction occur creating unpleasant unrest. This unrest becomes a deterrent to foreign companies doing business or about to do business within the country.
Over the past few decades an increase has been seen toward greater economic freedom. Neither geography nor size of a country has dampened the ability of transitioning to market economies with economic freedom. Countries with economic freedom have a substantially higher level of long-term growth. Economies have grown primarily because of global markets and global