Managerial issues in the global business environment

Abstract

It is becoming passé to say business world is going global. Globalisation is wide spread and is an ongoing phenomenon. The key factors driving the globalisation process are Foreign Direct Investment, falling international trade barriers, revolutions of information technology, joint ventures and mergers and acquisitions.Even though there is a tendency to assume globalisation is confined to large companies it is not only for the big and mighty.

The managerial process in companies is changing to achieve global efficiency of the assets and resources employed by meeting the new demands of this global business environment. However, one hundred percent globalisation is a myth (Kapferer, 1992b). There is no such thing as global management approach that is conceptually different to a domestic management approach in an absolute sense. This paper supports this view and seeks to discuss some of the dimensions such as knowledge element, leadership that are relevant to shaping the global management strategies, and the demands of cultural foundations on the globalisation process. It concludes with a discussion on ethical and moral issues of globalisation.