Business论文模板 – Business Questions

Response to Question One

The main theme discussed in the book changes in the global economic scenario. The authors talk about four forces that are shaping the direction of this world change. These forces are the increase in urban populations, increase in the influence of technology on the business scene, the rising aging population and the increasing flows of trade globally (Dobbs, Manyika & Woetzel 2016).

The authors of the book offer several examples of how the recent global trends have been brought about by changes in these four forces. They go from the movement of Chinese urban populations towards becoming the global leaders in consumption of leisure products, to the development of technologically-enabled business models that govern the fastest growing firms such as Ali Baba. The increasing percentage of pensioners in industrial powerhouses like Germany, to the development shift in technological leadership to countries like India as a result of globalization. All these examples go to explain the major theme of change that is currently occurring in the world’s economic front.

Response to question Two

We are living in a world that is experiencing changes in virtually all aspects. The four forces are real and are virtually shaping how the world is turning out. A UN report estimates that 54 percent of the world lives in urban areas, a figure that will balloon to 66 percent in 2050 (WHO 2014). Urban areas tend to hold the bulk of a nation’s active economic resources; from securities markets, company headquarters and research and educational facilities, urban areas will ultimately shape the future trends in human activity now as in the future. Dobbs et al. (2011) estimate that 600 cities will generate 60 percent of the world’s GDP by 2025. Interestingly, that this wealth will be located towards the nonconventional places such as the industrial megacities of China and tech hubs of India.

The role of technology cannot be ignored. An easy way of assessing the power of technology is using numbers; the top ten IT companies alone made over half a trillion dollars in revenues last year (Griffith 2015). These would not be possible were it not for the significant role that Information technology plays in our society. ‘Googling’ has become a verb and there are Smartphone applications for virtually anything that can be done by phone. Research can now be done online to assess potential markets (Stanley 2011)

The increase in the size of the aging population has several necessary consequences for the economic scene. The relationship between age and economic activity is quite complex. On the lighter side, older workers are associated with more experience and loyalty. However, the aging is associated with less technical skill, more resistance to change, slowness, and less creativity. These are a problem considering that these latter factors are crucial to surviving in the modern global scene (Gobel & Zwik 2008).

Globalization is also an important molder of our society. Trading and interaction have increased greatly for many nations that were practically isolated from each other a few decades ago. These are mainly due to improvements in transport and communication technology. One instance of the influence of globalization is on its reduction of the time between the development and launch of products into the market. This is because globalization shortens the research process (Griffith & Harvey 2007).

Response to Question Three

In the study of international business, we observe many aspects of these four forces come into play. The study of globalization has focused on aspects such as technological change and its role in eliminating traditional barriers to global trade. Moreover, the role of technology in improving global value chains whereby production processes are distributed across boundaries is an important theme that is explained in the book. The role of technology is also an essential factor in accessing entry mode. The advancement in technology means that the cost of entering a brand new market is significantly lower. Many firms are outsourcing to India, China, and Brazil as these countries have a high level of technical capabilities thus the MNC will not spend too much time on research or training in this new markets and foreign centers of operation.

The trends in urbanization bear great importance to the study of international business theory. The development of megacities like Tianjin as discussed in the book illustrate the role that MNCs play in directing their investment and client focus onto Urban centers. The book shows evidence of how the changes in consumption and trade patterns are moving towards rapidly urbanizing areas particularly in the eastern and southern hemispheres. 

Globalization is a topic discussed in depth in the book. The authors have linked globalization to the topic of MNC’s and economic development of countries and regions. According to the book, countries that have properly embraced globalization and transformed it to their advantage have experienced significant levels of poverty reduction. Outsourcing also played an important role in the generation of wealth in previously poor countries. The book gives the example given of how the Asian middle class has become the new big consumer. Moreover, the role of globalization toward corporate governance has been mentioned. The global approach to business has exposed corporate executives to a new form of thinking and running of operations.

References

Belfrage, CA 2016, International Business, MKIB225. University of Liverpool Management School. Liverpool, England.

Dobbs, R, Manyika, J & Woetzel, J 2015, No Ordinary Disruption: The Four Global Forces 

Breaking All the Trends by Richard Dobbs. Public Affairs. New York, USA

Dobbs, R., Manyika, J, Remes, J, Restrepo, A, Roxburgh, C  & Smit, S 2011 Urban world:

Mapping the economic power of cities. McKinsey & Company. Available at: www.mckinsey.com [retrieved 24 Feb 2016]

Griffith, DA & Harvey, MG 2007, The Role of Globalization, Time Acceleration, and

Virtual Global Teams in Fostering Successful Global Product Launches. The Journal of

Product Innovation and Management. Issue No. 2007;24:486–501

Griffith, E 2015, The Top Technology Companies Of The Fortune 500. Available at: http://fortune.com/2015/06/13/fortune-500-tech [23 Feb 2016]

Gobel, C & Zwick, T 2011, Age and Productivity – Sector Differences. Center for European

Economic Research; ZEW Stanley, D 2011 How Much Should Market Research Cost? Available at http://researchaccess.com [24 Feb 2016]

The WHO 2014, World Urbanization Prospects. Department of Economic and Social Affairs.

The World Health Organization. ISBN 978-92-1-51517-6

Scroll to Top