GLOBAL TRENDS 1
Globalforces tend to affect how the business environment and organizationsinteract with its markets and also their response to competition.Culture of business is mostly dictated by dynamic events that involvetechnology and religious fundamentalism, thus companies are left withzero choice but to adapt to the changes. This brings aboutglobalization which ultimately defines uniformity and aggressivecompetition.
Someof the major trends include technology including social appsonomicsand internet, population growth whereby the world’s population ispushing to 7 billion with Asia accounting for 60 percent of theworld’s population. Another trend is that the world is increasinglyurban this means that the urban areas are more populous and aregrowing at a fast rate (Done, 2011). For instance, in the US by theend of 2011 it was established that 22 of the 30 fasted growing areasare located in the fifteen most populous states. In addition to this,political and economic dominance of the emerging markets also makecompanies rethink their trading strategies.
Globaltrends have become immense surprising, complex and challenging thisis because of the immediate, fast changing events and also the longterm trends that affect the business culture. In their bid to curbthese trends, companies have resolved to focus on sustainability ofenvironmentally friendly practices and also advancement intechnology.
Inthe research there was no mention of how different ideologies andcultures affect the world economy. In many cases, ideologies competefor peoples’ time, resources and attention and in most instancesdictate how, when and where the businesses will be conducted. Forinstance, the United States of America has diverse strategies foropening within the world setting due to its political, cultural andindividuals who hold strong convictions and thus fight to defendthem. In this regard it is correct to say that some products andservices are decreed due to religious reasons in some countries evenwhere it’s clear that the market is available.
Amajor aspect of globalization is definitely the emergence ofinternational commerce which enhances interlinking thus creating apower force in the market. An increase in manufacturing and buyingpower has led to fierce competition among companies for raw materialsand consumers as well (Bezjak, 2010). In comparison with the researchdone provides that while Latin America is becoming more influentialin trade China has been on the move towards the top.
Inline with the above sentiments, over the past years the west has beenin record for being the economic powerhouse. Currently, the trendkeeps on changing as other countries become more influential intrade. This is mostly due to increase in population, innovation andexports. These countries trade and invest among themselves makingthem grow at a fast rate. China is leading due to its increase in ofmiddle classes. The exchange in economic power leads to morecompetition globally and reduction in western markets. Furthermore,companies tend to move to the emerging markets so as to have a breakin taxes.
Inaddition to what has already been found, it is worth to note thatglobal trends are important in that companies can view them asbusiness opportunities and also use the trends to spur innovation.This is because a company is trading globally which means that it isopen to different challenges, ideas and solutions.
Bezjak,F. (2010). GlobalEconomic Trends and their Impact to Corporate Development.Lohmar: Eul.
Done,A. (2011). Globaltrends: Facing up to a changing world.Basingstoke: Palgrave Macmillan.