GLOBALIZATION – THE OPPORTUNITIES WITHIN!

(‘This is a very exciting time in the world of information. It`s not just that the personal computer has come along as a great tool. The whole pace of business is moving faster. Globalization is forcing companies to do things in new ways.’ – Bill Gates)

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Critics of globalization firmly believe that the pandemic and its effects are enough to reverse the trend of globalization.

My take on this is sweet and short – NO.

?Globalization is the new norm and will continue.

How is it possible that the growing interdependence of the world’s economies, cultures, and populations, brought about by cross-border trade in goods and services, technology, and flows of investment, people, and information, will suddenly reverse because of the issues faced during the pandemic?

The benefits of globalization far out weight the negatives.

The biggest for me is that globalization has lifted millions out of poverty over the past three decades.

A?recent report by the United Nations Conference on Trade and Development (UNCTAD) on global trade offered just one snapshot of where we are headed. World trade hit a new record of $32 trillion in 2022, UNCTAD reported.

Goods trade hit $25 trillion, a 10 percent increase from 2021, and services trade clocked in at a record $7 trillion, rising 15 percent from the previous year.

So, how can companies take advantage of globalization and increase their influence and improve profitability.?

1.??Access to new markets.

Globalization helps companies find new markets for their products and services by expanding beyond national borders. Another benefit of globalization is increased trade, which has led to greater access to goods from all over the world. This has created a more diverse marketplace for consumers and an opportunity for businesses to reach new customers.

2.??Evading market competition

Global markets are often less saturated than local ones, and they also tend to be more profitable. Smaller companies and countries can target those markets overlooked by larger ones.?

3.??Diverse talent pool

One of the primary benefits of globalization is that it allows companies to hire employees from all over the world. Hiring global professionals brings different skills and experiences to the table.

4.??Cost-effective growth

Setting up a business in a new country can become cost-effective. This is because an organization can lower operational costs, acquire more affordable talent for the likes of manufacturing roles, or even expand the reach of products and services to new audiences.

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5.??Enjoying competitive advantage.

Remaining competitively relevant is an anxiety for any business. Reaching and engaging new markets can help businesses gain a competitive advantage ahead of other businesses.

As technology continues to advance and innovations in business and economics continue to be made, the concept of globalization will continue. It has had many hurdles and criticisms, but it’s continued to soldier on, producing many benefits as well.?

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