GLOBAL BUSINESS ISSUES
GBI 795
INDIVIDUAL ASSIGNMENT 1
REVISIT INTERNAL AND GLOBAL ISSUES
CLASS:
AA7002DF
PREPARED BY:
FATIN SYAFIRA BINTI ZAKARIA 2015464554
PREPARED FOR:
PROF DR SOFIAH BINTI ABD RAHMAN
SUBMISSION DATE:
8th AUGUST 2016
QUESTION 1
Explain the term globalization of markets and discuss its implication to businesses.
The globalization of market refer to the merging of historically distinct and separate national
market into one huge global marketplace which the falling barrier to across border trade have
made it easier to sell internationally. This process involves the identification of some norm,
value, taste, preference and convenience and slowly enables the cultural shift towards the used
of the common product. For example, McDonalds may still need to vary aspects of their product
mix and operation from country to country depending on the local taste and preferences. By
offering a standardized product worldwide, they help to create a global market for the company.
Besides, the impact of market globalization is to increased competition. The competition can be
related to product cost and price, target market, technological adaptation, quick response, quick
production by companies. For example, when a company produces with less cost and sells
