University:
University of Greenwich
Course:
BUSI1602 | Global Business and Sustainability
Academic year:

2024
Views:

209

Pages:

2
Author:

Jesly V.

GLOBAL ECONOMIC TRENDS EMERGING MARKET GROWTH Multinational companies need to understand these forces to thrive in our interconnected world. I'll try to overview the key points in a conversational way. First up is the rise of emerging markets. Countries like China, India, Brazil, and Indonesia are growing at rapid rates and represent huge new consumer markets. For example, China's middle class now exceeds 300 million people - that's a massive customer base! However, doing business in emerging markets also poses challenges. Things like inadequate infrastructure, bureaucratic red tape, and cultural/language barriers take getting used to. But the scale of the opportunities outweighs those hurdles. So most global corporations are investing heavily to develop brands and sales in these regions. They want the profits from all that growth! Automation and the Future of Work Another big economic shift is technology disrupting the nature of work. Automation and AI are handling more routine, repetitive tasks - think factory robots or virtual assistants providing customer service. Significant job displacement is happening and workers must constantly gain new skills to stay relevant. But technology also enables new business models, improves efficiency, and connects companies to new global customers. The key is how businesses manage these tech disruptions, retrain employees, and tap into emerging opportunities. It requires agility and strategic workforce planning. Sustainability Becomes Critical Sustainability and climate change are now crucial business factors too. Consumers and investors demand that companies implement planet-friendly practices - reducing carbon footprints, using renewable energy, eliminating waste, etc. This is partly due to genuine environmental concern. But it also reduces costs, risks, and boosts reputation. Being seen as a "green" company is a competitive advantage across industries. Sustainable operations are becoming essential for global businesses. Evolving Cultural Values Shifting cultural attitudes are another trend to note. Younger generations like Millennials care deeply about corporate social responsibility and ethical stands from the brands they purchase. Companies must now consider their broader societal role beyond profits - their messaging, hiring, community engagement, and business practices. In our hyperconnected world, corporate character and values matter. Demographics Driving Decisions Lastly, demographic changes require tailored business strategies by market. Developed countries have aging populations while emerging nations experience youth booms. Products and messaging must align with the needs of different age groups across geographies.