TRENDS IN THE

WORLD OF
BUSINESS
BY: Cassandra Esquivel

Globalization refers to the changes in the

world where we are moving away from selfcontained countries and toward a more
integrated world. Globalization of business is
the change in a business from a company
associated with a single country to one that
operates in multiple The effect of globalization on

business and the job market are that

Rise in Competition, technology,
opportunities, investment levels

7 influencing factors of
globalization
Historical:
The trade routes were made over the years so that goods from one kingdom or country moved to another. The well known

silk-route from east to west is an example of historical factor.

(2) Economy:
The cost of goods and values to the end user determine the movement of goods and value addition. The overall economics
of a particular industry or trade is an important factor in globalization.
(3) Resources and Markets:
The natural resources like minerals, coal, oil, gas, human resources, water, etc. make an important contribution in
globalization
. (4) Production Issues:
Utilization of built up capacities of production, sluggishness in domestic market and over production makes a manufacturing
company look outward and go global. The development of overseas markets and manufacturing plants in autos, four
wheelers and two wheelers is a classical example.
(5) Political:
The political issues of a country make globalization channelized as per political bosses. The regional trade understandings or
agreements determine the scope of globalization. Trading in European Union and special agreement in the erstwhile Soviet
block and SAARC are examples.
(6) Industrial Organization:
The technological development in the areas of production, product mix and firms are helping organizations to expand their
operations. The hiring of services and procurement of sub-assemblies and components have a strong influence in the
globalization process.
(7) Technologies:
The stage of technology in a particular field gives rise to import or export of products or services from or to the country.
European countries like England and Germany exported their chemical, electrical, mechanical plants in 50s and 60s and
exports high tech (then) goods to under developed countries. Today India is exporting computer / software related services
to advanced counties like UK, USA, etc.

Technology has changed the business environment

by Cloud Computing, Mobile Solutions, Extreme

Customer Segmentation, Connectivity, Decreasing
Cost/Increasing Functionality and all of those have
made it easier for businesses to connect and
contact their customers.
The new technology has created a new form of
business because with all the new advances they
can post anything on social media for their
customers and they can show their ad on TV or
they can email people just for them to get
themselves out their its more easier
Some advantages of diversity creativity increases,
Productivity increases, languages skills, new
processes

PRINTER: Invention of the print machine with moving letters by Gutenberg was the most

important revolutionary technological development, which made possible even a larger

global geography was (1938)

NEWS PAPERS: The emergence of the newspapers marked an important era of

globalization when the news both commercial and political became an indispensable
element for the decision makers.(1605)

TELEPHONE: Telephone of Graham Bell in 1861 also contributed to communication

networks. Railways also networked to reach to larger distances. Invention of radio as a
wireless communication technology solved this problem and opened a new era of
globalization. (1876)

RADIO : With radio it became possible to communicate with places where you cannot go
and even with places where no one can travel (1900)

JET PLANE AND TELEVISION: jet plane and television of 1950s were also important steps
toward greater globalizations. The first reliable transatlantic telephone cable TAT-1 was laid
in 1956. 1957 marked the most important step in the history of globalization
(1930) and (1925)

SATAELLITE: Satellites made it possible to build a fully reliable global network,

compensating the radio networks ionosphere fading problem. However global networks
still required stronger global networks WITH SOLID CONNECTIONS (1957)