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1.9 Globalisation - notes


So far we have examined the nature of business activity, types of organisations and objectives and investigated the nature of stakeholders. We have also considered the impact of the external environment on the firm in terms of the opportunities and threats it provides and prepared and evaluated a range of decision making tools. We then considered the driving and restraining forces for growth and evolution of different businesses and the management of change.

In this section we will examine the growth of globalisation and multinational organisations and explain the impact of regional trading blocs.

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By the end of this section you should be able to:

  • Discuss reasons for the growth of multinational organisations in response to increasing globalisation
  • Analyse the role played by multinationals in the global business environment
  • Evaluate the impact of multinationals companies on the host country
  • Explain the impact on a business of a country that is a member of a regional economic bloc