The Promise of Global Business

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Recommended: Chesbrough, H. (2010) ‘Business model innovation: opportunities and barriers’

The Promise of Global Business

With the obvious growth of technology in what seems to be a shrinking proverbial planetary topography, it would appear as though we already live in a world dominated by global business. To some extent, this is true; however, the general population fails to realize, whether it be due to its own naiveté or credulity, that the business world is only at the brink of realizing the new capacities in which all undertakings may be handled more efficiently or cost effectively if it is done with a global perspective. As with all new potential work systems, there are many obstacles to be hurdled. These are challenges that will not only be faced by business leaders and corporations, but also by the self-employed, entrepreneurs, and free-lance workers.

Businesses have faced a great challenge over the course of the last decade – keeping up with the internet. Just in the U.S., major retailers have found themselves competing in the ever growing online market. While online sales still don’t outshine their in-store sells on the income statement, they are at risk of losing their grasps on the market as online retailers like Amazon sell more online than its next 12 biggest competitors combined (Banjo). As online retailers continue to branch out to international markets, U.S. based retailers will face new challenges to maintain their relevancy in online commerce. However, “it’s useful to ask ourselves, ‘Just how global are we?’ before we think about where we go from here”, says economist Panjak Ghemawat. And the answer to that for now is only slightly. Nevertheless, for businesses who were passed in the last decade to reach the internet goldmines, it can be expected that reaching new international markets will happ...

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...y benefit others (those who reside in the areas that allow them to offer cheaper services).

Because of examples like this, I personally believe Ghemawat and Friedman were both correct in their assertions. Ghemawat discusses that while yes we are indeed globalized, it is at a very limited capacity. Friedman counters this stating we are more globalized than we realize, and it is only going to grow as time passes (Bricklin). As discussed in this essay, individuals and corporations who already have access to the technological advances and know-how to expand globally are doing so this very moment. They will continue to do so over the next decade and will meet great challenges, as well as rewards, while doing so. It may be a smaller percentage of the world than we realize that is undertaking globalization, but they’re doing so at a rate faster than ever anticipated.

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