Globalization

1. Globalization Globalization means expanding our company business dealings all over the world. It is a good move for the company as it opens new trading opportunities in the international markets. It will enable us to tap the numerous benefits of global market (Daniels, & Daniels, 2002).

2. Continued, Globalization creates numerous opportunities for domestic businesses thus enabling them to compete internationally. It has the potential to draw a massive customer base whereas at the same time maintaining low costs of goods and services. Globalization drives the need of companies to develop new products as they are motivated. In global markets, the competition is stiff; therefore, businesses become customer-oriented when developing new innovative goods and services (Daniels, & Daniels, 2002). Globalization gives all businesses around the world a chance to positively impact their own societies.

3. Why globalization? The reasons to why I opted we go global include: massive potential customer base, ability to maintain low cost of goods and services, cause businesses to compete for the lowest manufacturing and distribution price hence facilitating importation of these goods and services at a lower prices, promotes introduction of new products in the market through innovation, facilitate business expansion, promote spread of technology and benefits the society around it (Dell'Ariccia & International Monetary Fund, 2008). 

4. Continued, Globalization has shown throughout the years that it stands to be beneficial to the free trade movement among global markets. Globalization has opened the doorway to billions of potential customers. It reinstates the drive among businesses to compete competitively amongst them-selves, leading to the innovative development of new products. Globalization has also lead to cost cutting techniques of the manufacturing and distribution of products. This has allowed for products being sold to the general public to be priced consecutively low. Most importantly, globalization has shown over the years that its concepts benefit societies as a whole. For these and more other reasons I recommend the globalization of our company (Hill, 2005).

5. Target geographical location for global expansion I suggest Cape Town in South Africa as the most suitable geographical location for global expansion. Background Information In Support Of the Location The information include: Market economies, better internal communications, more rapid, reliable travel and shipping, ease of capital flow between countries, and high differences in labor cost (Hill, 2005).

6. Continued, Market economies. There is high population in the city that offers large customer base. Better internal communications. The working and business culture is simple and that can be easily integrated. More rapid, reliable travel and shipping. The town is well supplied with improved infrastructural network. Ease of capital flow between countries. South Africa has well developed monetary systems and therefore this will facilitate the company’s activities. High differences in labor cost. The labour cost is cheap in this country as compared to the mother country hence more revenue are likely to be realized.

7. In view of company’s goal This decision will promote the overall goal of growth and expansion of the company globally. It will tap more revenues hence providing more funds for investments in other countries (Hill, 2005). There is low competition in Africa as most countries are yet to realize full development. Business opportunities are numerous and by the company establishment in this country will enable it have further studies of neighboring countries that it can venture into in the near future.

8. Continued, The company’s goal can only be realized fully if all emphasis are directed towards opening new markets and expanding the business through all possible means. Every resource of the company that is spread internationally contribute to a great expense the overall goal of this company’s growth. Therefore, going global gives us a clear picture of the possible accomplishment of the company’s goals, vision and objectives.

9. Incase of opposing perspective If somebody had an opposing perspective, I will refute him or her by explaining the numerous benefits that can be realized in global business and free trade market. The company can only grow and expand by seeking new markets to acquire more revenues. The company can easily lose hold or even close down if it were to rely entirely on a single market location that is unpredictable thus the need for globalization.

10. References Dell'Ariccia, G., & International Monetary Fund. (2008). Reaping the benefits of financial globalization. Washington, DC: International Monetary Fund. Hill, J. S. (2005). World business: Globalization, analysis, and strategy. Mason, Ohio: Thomson/South-Western. Daniels, J. D., Radebaugh, L. H., Sullivan, D. P., & Daniels, J. D. (2002). Globalization and business. Upper Saddle River, N.J: Prentice Hall.