Globalisation Flashcards
what is globalisation?
the process of integrating and interconnecting economies worldwide, creating an interdependent global economy
what are the 3 components of globalisation?
Markets, Production and Services
what is the role of market mechanisms and managerial techniques in globalisation?
managers use tools likes accounting, finance, HR and operations to efficiently navigate global operations and achieve business goals
what does efficiency mean in the context of globalisation?
focuses on:
-maximising resource use (longer working hours)
-doing things right (efficient)
-doing the right things (effective)
why is profit maximisation central to globalisation?
drives business growth, increases market share and sustains operations in competitive global markets
how does innovation relate to globalisation?
involves creating and improving products or services to remain competitive in dynamic global markets
what is the bottom line focus in globalisation?
businesses prioritise net earnings and profits over factors like social and environmental concerns
what is the triple bottom line?
-Profit (financial gains)
-People (social impact)
-Planet (environmental sustainability)
what is the ideology of capitalism in globalisation?
capitalism is seen as inevitable, focusing on wealth accumulation and private ownership, often prioritising profits over other considerations
what does ethical management focus on in international business?
-Parity and equality
-Respect for human rights
-Ecological sustainability
how does globalisation affect supply chains?
requires supply chains to focus on ethical practices, sustainability, and ensuring responsible sourcing and distribution
why are social and environmental factors often deprioritised in globalisation?
companies prioritise profits and survival, often treating social and environmental considerations as secondary
how is human behaviour viewed in the ideology of globalisation?
is considered predictable and manipulable, enabling businesses to influence consumer demand through marketing strategies
what are the market-driven strategies in globalisation?
businesses respond to consumer demand and adapt to changes in global market dynamics to remain competitive
what is the role of information and knowledge management in globalisation?
involves effectively managing data and insights to support ethical decision-making and efficient global operations