MBA Thesis Excerpt Sample

Globalization and Business

              Globalization is very important to small and large business if they expect to continue surviving. There are many reasons why this is important and many positive situations are coming out of collaborations with other countries. Some of the reasons why businesses find a need to go over seas to build collaborations include:

1. They can collaborate with businesses that my have been competitors in the past.
2. They can gain a larger market share.
3. They can promote a wider selection of goods and services for less money.
4. There are many opportunities that are available as time goes on.

              The Internet has made it possible for globalization to make an impact on the world. Now companies that are multinational can explore various opportunities in other countries that they couldn't do before now. As an example, McDonald's was able to take the golden arches to Europe and other countries because they understood that to expand to foreign countries made a difference for them. They found that in foreign countries a McDonald's hamburger was a delicacy instead of Western food so this made it important for them to expand. Also, the exchange rates can be different and in some places they will benefit by making more money.

Benefits of Globalization

              According to Geddes (2004) women benefit from globalization because it allows them more opportunity. In countries where women are treated as second class citizens and excluded from full participation in the global economy, the countries fall behind the rest of the world. For women who are able to participate, they are getting educated and finding that there is more to life than only having babies. He suggests that when a society decides to embrace the ability for women to gain education they see "dramatic social progress" (Geddes, p. 1). Another interesting point he makes is that women spend money differently then men. They tend to focus on areas like "education, health and nutrition of their families" (Geddes, p. 1) which makes them move involved with social progress. According to Sorman (2008) globalization is "redefining civilization as we know it" (Sorman, p. 35). He points out that there are six characteristics that factor into globalization: economic development, democracy, cultural enrichment, political and cultural norms, information and internationalization of the rule of law (Sorman, p. 35). He suggests that the most important aspect of these six is the fact that people are actually moving towards an "enhanced welfare" that is allowing them to live better by giving them better schools, better access to healthcare and they gain more information through exchanges with other countries. He also suggests that although many people think that this is Americanizing cultures it is actually a situation that creates more dialogue amongst people and a better exchange of ideas that allows people in other countries to see how life is outside of where they live (Sorman, p. 36).  Although globalization should not be looked at as something that is a "must have" situation it does work for a variety of people.

Problems with Globalization

              Although many people paint a very positive image of globalization there can be problems as countries consider what to do and how to go about change within their businesses. A large challenge for countries as they go global is the issue of culture. Each country has a different way of dealing with the world and they have different values, customs and ways of dealing with people. As an example, the 2008 Olympics held in Beijing were well received by people all over the world. However, China violated human rights of their own people in order to build the required platforms and "Olympic Village" that was required for them to be the hosts. They are a country where "the good of the whole" is more important than the individual. The United States is a "the good of the individual" country and was appalled at the idea that the Chinese would put people out of their homes in order to make room for the Olympics. However, this is one of the issues that the United States has to understand about China as they go to do business in that arena; other countries will have to understand this as well.

              Culture is a very important aspect of globalization. Tuleja (2008) suggests that in order for countries to come together they must be educated on the various cultures and that some of this can be done through international education through universities and some of this needs to be in the field. In other words, if the individual is going to work in a country, they need to live there at least for a short time. Many MBA programs in the United States are beginning to use study tours as part of their requirements so that students can get a better understanding of how business works within the country. This is valuable information for new students entering business. She also points out, through a study of her own university, that it is a good idea for business people to pick up another language from a country that they are going to be working within so that they can understand on different levels. This seems to be something that would be important for anyone to learn. Goldman (2008) brings the point of view that many Americans have about business going global. He suggests that the people in the United States need to look at themselves as entrepreneurs because there are a number of people in other countries who are young and who are ready to move forward in business based on their own initiative instead of a feeling of entitlement. He suggests that if young Americans do not create a different attitude they will be out of jobs due to globalization. Many Americans seem to fear this situation.

              One of the ways that businesses can work better internationally beyond education and learning each other's language is to build strong partnerships with other countries. They would have to find ways to collaborate with partners that they can work with or this becomes another challenge. Collaborative arrangements can work and they have been shown to do so for many companies. These arrangements can:

1. Bring businesses together so they become partners instead of competitors.
2. The more volume they produce together can gain discounts with some suppliers of goods or services.
3. A business can create a strategic plan that brings one country into a market where they were not able to go without the assistance of their collaborative partner.
4. A business has a chance to actually globalize in ways they have never done it before and may actually be able to diversify products in ways that were not available in the past.

As an example, Isaac (2008) found that within the electronics industry he had to change the way he did business in different parts of the world. He found that he could not use the same materials or the same versions of what he created. He found that in China, businesses outsourced for the materials that they needed. This brings up another way that collaborative partnerships can work: businesses that know the area can also help the new business find the resources to make the products necessary for each region. He suggests that if you develop a product globally, you can then sell it to a global market (Isaac, p. 24).

The Internet

              The Internet has resolved many problems within globalization because it has enabled countries to talk together across borders. The use of technology has allowed anyone to create a website to show their company and their products and services. People are able to meet together from all over the world, they can interact as teams and they can collaborate with each other on a deeper basis. Countries such as China, Japan and India are being heard from in venues that they were unable to reach before technology. Many experts are acknowledging that China is rapidly learning on the global market and will be a stronger country to deal with in the future.

              The Internet also allows groups to translate pages into their own language for easier reading when necessary. Those countries that lack technology will fall behind in the global market and could find a collaborative partner who could help them bring in technology and learn to use it.

Can We Get There From Here?

              Globalization is happening so quickly that most people never think about it. We are already purchasing a variety of products and services from other countries. We have done this for so long that we never think about the tags on the back of our shirts. Gone are the days when people would exalt that the only way to purchase anything was to "Buy American." We have a variety of electronics from televisions to mobile phones that are made in China or other "foreign" countries. The world has actually become smaller because of globalization. The Internet has allowed us to find anything we want from a library book on a specific topic (we do not have to go to the library except to pick up the book because we can order it online) to the current news in any country in the world. This means that this trend is going to continue because it is profitable. According to Ferrell (2008) the future of globalization is imminent:

              Since the latter half of the 20th century, the international community has become more interconnected and interdependent in economic, cultural and environmental matters than ever. It seems the world is rapidly becoming a single community, a global village. Some see this as a good thing; others are not so sure (Ferrell, p. 1).With this in mind we have to think that business will only get better if we can continue to understand how to work more collaboratively together and perhaps we will also find ways to help other countries become stronger and more competitive in the global market.  Many people feel that globalization is a good thing and has brought many good things to all countries involved. As an example, people with this point of view see globalization as a way that wealthy countries can help poor ones by creating jobs and helping to strengthen their infrastructures. For multinational countries it gives them an opportunity to outsource many of their goods and services to other countries like China and India to help their economy. However, those who are not in favor of globalization point out that it creates poverty in Third World Countries, creates job losses where the basic business is industrialized and creates an "Americanization of other cultures" across the world (Ferrell, 2007).

              Although all of this information is true on both sides of this issue, how we choose to look at globalization will determine how it occurs. I feel that globalization will continue to grow. In fact, some experts suggest that it will grow about 3% within the next 10 years. We as Americans fight very hard because we are afraid that people will come and take our jobs or those jobs will go to other countries. Usually the jobs that go or the jobs that get taken are actually the jobs that Americans really do not want to take. As an example, I have watched the various fast food chains as people come and go. About ten years ago it seemed that there was an influx of people who were from Mexico and did not really understand English well. Today, those same positions that were taken by Mexicans are now taken by people from India. This is just a casual observation but it seems that the Mexican people have moved into higher positions and the people from India have moved into the entry level positions. These are not jobs that Americans want to take because they have a different value system than people from other countries.

              I think the future of globalization will happen whether we like it or not and I agree that countries must expand into international waters in order to stay afloat. As an example, in America we have a variety of products and services so we can pick and choose what we want. If someone builds a better product, we have got to try it out. In many countries what we ignore, is a delicacy or an honoring in another country. It makes good sense then to go to the country where your goods and services are wanted, are cheaper to build and are more readily available to a target market of consumers.

References

Farrell, R. E. (23 February 2007). The Future of Globalization The real truth: a magazine restoring plain understanding. Retrieved from http://www.realtruth. org/articles/070223-001-globalization.html.

Geddes, Pete. (2005). The benefits of globalization. Bozeman Daily Chronicle

Retrieved from http://www.free-eco. org/articleDisplay.php?id=378.

Goldsmith, Marshall. (2008).  We're all entrepreneurs. Editorial.Business Week. Issue 4097. Retrieved from Business Source Premier (AN 33869807).

Isaac, J. (2008) Product development challenges in a global market. Printed Circuit Design & Manufacture. Retrieved from Business source Premier (AN 33908849).

Sorman, Guy (2008). Globalization is making the world a better place. Index of Economic Freedom Chapter 3. Retrieved from: http://www.heritage. org/Index/chapters/pdf/Index2008_Chap3.pdf.

Tuleja, E. A. (2008).  Aspects of intercultural awareness through an Mba study abroad program: Going "Backstage". Business Communication Quarterly. 71 (3).   Retrieved from Business Source Premier (AN 33886989).