Discuss with. (K4b)Part 1Introduction International business can be traced back to many of the earliest civilizations and the Egyptians, Greeks and Romans were all to a great extent involved in trade across their borders. Nevertheless, due to different driving forces globalization has had a huge effect on the world (Yip, 1992). This has had an intense effect on the economy and caused many businesses to become internationalized and then globalize. Whereas the internationalization has not hit every company, some companies prefer to keep the process slow as they do have much experience of the international market.
When their home market becomes restricted they may be forced to enter the realm of globalization. In this situation it has been necessary for the company to attempt to reduce uncertainty by exporting to neighbouring markets. Limited resources may make the company enter the market forcefully, and thus that company will have little financial back up. Nevertheless, since the past two decades, companies have started getting involved in international activities on unpredictable basis. The globalization of the market behaviour has affected the market so much that no businesses take complete advantage of the opportunities so that they can fulfil the needs of the global customer.
Because of the competitive situation it may also have been essential to launch products at a rapid speed in the marketplace or launch products at the same time in a number of different markets. Many researchers have started to research the effect of globalization on marketing Thus this paper will be based on how globalization has affected internal marketing and what the outcomes maybe. It will also include an analysis of an organization which ahs taken advantage of globalization, in order to enhance their growth.
Analysis Globalization has affected the market so strongly that if the market gives a business chance to take advantage of their competitive advantages the speed of change has greatly increased in the last decade. The reason behind these changes is an increased globalization and the business environment is greatly effected by the economic as well as political factors. Along with the changing economic environment social attitudes and consumer value have also changed, this is due to the marketing management of companies all around the world (Evans, etal 1996 p45).
Due to globalization new technology has also affected marketing. Every organization will have to develop their own marketing plan according to their company's own abilities and experience, apart from this they will also have to keep the competitive environment of globalization in mind. Globalization is not a phenomenon. It is not just some passing trend. Today it is an overarching international system shaping the domestic politics and foreign relations of virtually every country, and we need to understand it as such. " (Friedman 2000, p. 24)As stated as above by Friedman, "we" refers to the managers of today.
Globalization has taken the world of business to yet another phase, a phase where it requires the understanding from managers to take opportunity of it. As the buying and supplying of products and services are becoming more global in the sense of business, the concept of markets that are separated nationally are no longer relevant, except the point where strong differences in consumer preferences and taste exist.