Research Project

Globalization of Large Multinational Companies: Effects and Challenges

Contents
Introduction......................................................................................................................................3
Part-1: Research Proposal................................................................................................................4
LO1: Demonstration of appropriate research methodologies and approaches as part of the
research process...........................................................................................................................4
P2: Demonstrate the appropriate research methodology and adopted primary and secondary
research data............................................................................................................................6
Conclusion.......................................................................................................................................7
Part-2: Research project and statements..........................................................................................8
LO 2: Organizing and examining research important for a business research project..............11
P3: Directing primary and secondary research utilizing appropriate techniques for a
business research project that think about costs, access, and moral issues...........................11
P4: Applying suitable investigative tools, analyses research findings and information........12
LO3: Communicating the results of a research project to recognized stakeholders..................12
P5: Communicating research results in a suitable way for the target group.........................12
LO4: Reflect on the utilization of research techniques and ideas.............................................16
P6: Reflect on the effectiveness of research techniques used for meeting goals of the
business research project.......................................................................................................16
P7: Acknowledge different research strategies and lessons learned in perspective of the
results.....................................................................................................................................16
Conclusion.....................................................................................................................................17
 Introduction
Globalization is the process of growing independence of the world economics by creating border
free market among different countries of all over the world. It allows interexchange of products,
technology, information, and manpower across national borders and cultures. It helps to make
interconnection and interdependency among nations and allow free trade. Globalization indicates
not only the interexchange of businesses but also the interexchange of politics, laws, cultures out
of national boundary. In today’s rapid growing and competitive business world, globalization
plays a vital role to spread business worldwide. Multinational companies and industries getting
success for their strategic business operation based on globalization. It makes them able to get
international co-operation and global economic inter-dependency that leads them to achieve their
goals and objectives. The assignment is based on this topic dividing into two parts research
proposal and individual reports.
 Part-1: Research Proposal
LO1: Demonstration of appropriate research methodologies and approaches as part
of the research process

P1: Producing a research proposal that clearly defines a research question or hypothesis
supported by a literature review

Research title: “Globalization of Large Multinational Companies: Effects and Challenges

Introduction: Globalization is a very familiar word in today’s business world. As it reduces the
national boundary people can consume any products from all over the world easily within a
shortest possible time. It also helps businesspersons to expand their business all over the
countries. It makes the business environment more competitive, that’s why the companies put
emphasis on strategic business planning to gain competitive advantages among the rivals. The
lifestyle of people gets easier because of globalization. Not only positive sides globalization has
some negative sides too. Sometimes it creates monopoly markets that dominate consumer’s
markets.
Background study: Globalization makes interconnection among the markets all over the world.
It seems like globalization makes link among worldwide businesses into one market. It makes
the connection among the nations with globalize network. The business environment is being
changed from day to day. Multinational companies being more strategic and up to date to cope
up with this changing context to achieve their goals and getting competitive advantages.
Assessing the market condition multinational companies produce their product globally to
capture a strong market position. Not only the economy it also makes interexchange among the
countries about politics, cultures, social matters, population, technologies, information, jobs, etc.
Problem statements: Sometimes globalization makes multinational companies aggressive in
operating business. In some cases, there exist monopoly business. The rules and regulation of
both local and international are not being abided by them in operating their business. There have
some rules and restriction in the local and global market, every company should maintain these.
Without maintaining these the market can loss its balance. But globalization sometimes fails to
ensure this side.
The aim of the assignment: Every research has some motives and objectives. Without motive
or target vision a report cannot get conclusion properly and is being failed to produce any output.
The aim of this report is to show the balance between national and multinational companies in
local markets and identify the positive and negative impact on global markets.
Objectives of the research: The objectives of the research indicate the direction of the research.
The goals and objectives what a researcher want to achieve from the study are being described
here. From the objective of the research the aims of the research and the methodology to achieve
these targeted aims can be learned. The objectives of this report are as follows-
  To show the balance between local and multinational companies in local markets.
 To identify the positive and negative impact on global markets for globalization.
 To show the benefits and losses of globalization both nationally and internationally.
Research Question: The research question of this report are as follows-
a. Has there any positive impact of globalization on organizational context?
b. What are the challenges of an organization to become globalized?
c. What are the advantages and opportunities for an organization to become globalized?
d. Has there need any progress in globalization to offer more advantage and benefits to each
sort of business organization.
Purpose of research: Research is a systematic investigation to test own and each other
investigation based on primary and secondary data. The purpose of research is to prove a theory
and correcting, refining and developing knowledge in a study. The main purpose of this research
is to investigate local and national markets to identify the opportunity and challenges on the
context of globalization.
Literature review: The business environment and industries are being changed rapidly for
globalization. Globalization marge the local and international market in one platform. Before
industrial revolution products are produced locally within a boundary but all countries do not
produce the same product. There was a barter trade system. But gradually after globalization, the
market achieves borderless free market for trade. The industries produce a product to capture
both local and international market. There have some rules and restriction both in locally and
internationally to ensure balance in the business environment. These rules and obligation have to
maintain by the companies to operating their business in local and international markets.
P2: Demonstrate the appropriate research methodology and adopted primary and secondary
research data.

Research Methodology: Research methodology is a systematic process to collect data and

information to take decision properly. Research methodology related to identification, collection,
processing and analyzing data to produce the desired output.
Research Philosophy: Research philosophy is the thought of researchers that indicates the belief
and way of allocating data, analyzing them and producing research outcome. It is an important
part of research methodology.
Research Approach: Research approach is a plan and procedure to make an assumption for a
detailed method of collecting data, processing, analyzing and interpreting them. Research
approach can be three types-
a. Deductive Approach
b. Inductive Approach
c. Abducting Approach
Research Design: Research design is the overall framework to collect data and analyzing them
to answer the research questions. This research follows the explanatory research process.
Research strategy: Research strategy indicate the step by step process of activities that give
direction for the research. Both qualitative and quantitative data processing is being ensured here
for conducting research.
Data Collection methods: Data collection method indicate the way of collecting data for the
research. In this research, both primary and secondary data collection method is being used.
Primary data is field-level data and secondary data conduct by other information and statistics.
Anticipated outcomes: The expected outcome is to know about globalization to use that in
business success.
 Part-2: Research project and statements

Introduction: Globalization is a very familiar word in today’s business world. As it reduces the
national boundary people can consume any products from all over the world easily within a
shortest possible time. It also helps businesspersons to expand their business all over the
countries. It makes the business environment more competitive, that’s why the companies put
emphasis on strategic business planning to gain competitive advantages among the rivals. The
lifestyle of people gets easier because of globalization. Not only positive sides globalization has
some negative sides too. Sometimes it creates monopoly markets that dominate consumer’s
markets.
Background study: Globalization makes interconnection among the markets all over the world.
It seems like globalization makes link among worldwide businesses into one market. It makes
the connection among the nations with globalize network. The business environment is being
changed from day to day. Multinational companies being more strategic and up to date to cope
up with this changing context to achieve their goals and getting competitive advantages.
Assessing the market condition multinational companies produce their product globally to
capture a strong market position. Not only the economy it also makes interexchange among the
countries about politics, cultures, social matters, population, technologies, information, jobs, etc.
Problem statements: Sometimes globalization makes multinational companies aggressive in
operating business. In some cases, there exist monopoly business. The rules and regulation of
both local and international are not being abided by them in operating their business. There have
some rules and restriction in the local and global market, every company should maintain these.
Without maintaining these the market can loss its balance. But globalization sometimes fails to
ensure this side.
The aim of the assignment: Every research has some motives and objectives. Without motive
or target vision a report cannot get conclusion properly and is being failed to produce any output.
The aim of this report is to show the balance between national and multinational companies in
local markets and identify the positive and negative impact on global markets.
Objectives of the research: The objectives of the research indicate the direction of the research.
The goals and objectives what a researcher want to achieve from the study are being described
here. From the objective of the research the aims of the research and the methodology to achieve
these targeted aims can be learned. The objectives of this report are as follows-
 To show the balance between local and multinational companies in local markets.
 To identify the positive and negative impact on global markets for globalization.
 To show the benefits and losses of globalization both nationally and internationally.
Research Question: The research question of this report are as follows-
a. Has there any positive impact of globalization on organizational context?
 b. What are the challenges of an organization to become globalized?
c. What are the advantages and opportunities for an organization to become globalized?
d. Has there needed any progress in globalization to offer more advantage and benefits to
each sort of business organization.
Purpose of research: Research is a systematic investigation to test own and each other
investigation based on primary and secondary data. The purpose of research is to prove a theory
and correcting, refining and developing knowledge in a study. The main purpose of this research
is to investigate local and national markets to identify the opportunity and challenges on the
context of globalization.
Limitations:
To prepare this report I faces some limitations. These are mentioning in bellow-
Lack of time: I don’t get enough time to complete this research since it is very time consuming.
It was hard to gather data, take interview, analyzing and examining these within limited time
duration.
Lack Of financing: As there has no financing to accomplish this research, I was not able to use
more resource to prepare this report.
Restricted information: There were various types of information that the organizations can not
disclose due to the security and other corporate obligations.
Other limitation: As I have not enough experience, so my own observations may vary from
person to person.
Literature review: The business environment and industries are being changed rapidly for
globalization. Globalization marge the local and international market in one platform. Before
industrial revolution products are produced locally within a boundary but all countries do not
produce the same product. There was a barter trade system. But gradually after globalization, the
market achieves borderless free market for trade. The industries produce a product to capture
both local and international market. There have some rules and restriction both in locally and
internationally to ensure balance in the business environment. These rules and obligation have to
maintain by the companies to operating their business in local and international markets.
LO 2: Organizing and examining research important for a business research
project.
P3: Directing primary and secondary research utilizing appropriate techniques for a business
research project that think about costs, access, and moral issues

Research Methodology: Primary research is the first hand and fundamental research. It is new
research so previously doing research is not used here. Researcher collect raw data and
information using various technique directly from real world based on research purposes.
On the other hand, primary research uses as source of data for analysis in secondary research.
Secondary research is the examination and interpretation of primary data to get the desired
output.
Here, I use both primary and secondary research strategies. I interviewed some representative of
various multinational companies and collect some basic information regarding the impact and
influences of globalization in business environment of large multinational organizations. This
basic research and collected raw data helps me to learn about the utilization and management of
huge manpower, working forces and resources to operate business beyond national boundary of
multinational organizations.
Different journals, articles, and the websites of different multinational organizations are used to
gather information for secondary research. It shows different business strategies and structures of
multinational companies in this globalized economy.
In organizations in which I went to collect necessary data and information, where helpful and
agreeable minded to provide and share data. This helps me to get a clear picture about the
circumstance of these organizations. Besides, the collected journals, articles and websites helps
me to capture information and analyze them in more clear way to get desired output.
I found, although the organizations are not similar in their products and services but they have
some similarities in their business operations and strategies in this globalized economy.
Tools used: The necessary data is being written down at the time of data collection. The
interviews were recorded with an audio recorder. Then these collected data and information is
being analyzed using computer and blended up with collected data from journals, articles and
websites. Microsoft word and Microsoft excel is being used to prepare this report.
Cost, access and moral issues: This paper has been made free of cost. Because all the necessary
things were provided by the constructor of the academy. Besides all the participants of this report
were aware about their presence and the process of preparing of this report.
P4: Applying suitable investigative tools, analyses research findings and information.

Data Analysis:
The collected information from interviews shows that, the organizations faces different barriers
in operating and expanding their business. They follow different strategies to overcome these
problems but the strategies and techniques are vary from organization to organization. Gathered
data and information from meetings and secondary sources are put into examination and
analyzes based on the research purposes and the unnecessary data has been removed and the
necessary data is being used for further processing for generating desired output. I used
Microsoft Excel for all the illustrations and charts.
Findings:
After analyzing all the data and information it is found that, to gain competitive advantages
among rivals organizations take various strategies and plan. In this globalized economy all the
organizations faces problem in expanding businesses and opening new branches to other
countries. Most of the companies take help from smaller regional organization and offer
partnership to set up branches. They utilize local employee to run the organization but the
employees from original country play role as higher level employee.
LO3: Communicating the results of a research project to recognized stakeholders.
P5: Communicating research results in a suitable way for the target group.

To open new branches on other countries, multinational companies have to faces some problems.
Some charts and graphs are utilized following to indicate what and how they face issues-
1. To open new branches taking help and offer partnership to the regional organizations: It
is found that 79% of multinational companies take help from or have a partnership with
regional organizations while opening a new branches to another countries and operate
business. That means, almost four-fifth global organizations take help from local
organizations.
 No; 20%; 20%

Yes
No

Yes; 80%; 80%

2. Facing problem in the globalization procedure: 90% of the multinational organizations

face some problem in the globalization procedure, another 10% of the organizations don't
confront any issue while globalization happens.

Faced Problem in Globalization

No
11% Yes

No

Yes
89%

The outcomes of this report is being mentioned in bellow using graphs and charts-

Q1: Has there a positive impact on globalization?

 80%
70%
60%
50%
40%
30%
20%
10%
0%
Yes Not Sure No

Answer Percenage

From the above graph it can be seen that, 75% of the respondents think there has positive impact
of globalization on business. 10% of the respondents are not sure whether it is positive or
negative, 15% of the respondents think globalization has a negative impact on business.

Q2: What challenges does a company face in order to become globalized?

Various Kinds of Problems

40%
35%
30%
25%
20%
15%
10%
5%
0%
Financial Cultural Marketing Employment

Here, 22% of the respondents say that, they faces challenges in financial sector. 12% faces
cultural problem, 40% faces challenges in marketing sector, 26% faces challenges with
employment. The marketing sector is the most challenged sector.

Q3: Do you agree that globalization needs some kind of progress to offer more advantages to
each sort of business organizations?
 Answer Percentage
Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

0% 5% 10% 15% 20% 25% 30% 35% 40%

Answer Percentage

From the above graph, we can see that most of the respondents agree with this statement. 28%
respondents are strongly agree with this statements. 36% agree with this statements, 12% are
neutral, 21% of the respondents are not agree with this statements, and they don’t want any
changes. 5% of the respondents are totally disagree with this statements.
LO4: Reflect on the utilization of research techniques and ideas.
P6: Reflect on the effectiveness of research techniques used for meeting goals of the business
research project.

Reflective Statement:
The primary motivation of this research is to find out the actual impact of globalization in
today’s business world and the challenges of globalization that multinational organizations have
to face. By this research I learnt that there has a noticeable impact of globalization in this present
market. Multinational companies expand their business beyond border because of globalization.
Globalization also create some challenges and difficulties in operating business of the
multinational organizations. Facing these challenges and difficulties to achieve organizational
goals and getting success organizations have to take various strategies and working plan based
on the challenges.
P7: Acknowledge different research strategies and lessons learned in perspective of the results.

Recommendations:
Multinational companies operate their business in different countries among worldwide. The
culture vary from nation to nation, region to region, there has a great impact of it in business.
While I performing this report, I found that many organization are not aware about this issue.
They operating business without caring cultural sensitivity, that’s why they become fail to get
success. They should concentrate on this issue more carefully to achieve organizational goal.
Many organizations think that if a policy work in a country, it will work in all other country, but
it may not happened too. The policies and procedures of business should be set based on the
regional issues. The organizations have to be up to date with this changing market context to
faces challenges and difficulties effectively and efficiently. They should improve their products
and services based on customers’ needs and demands.
 Conclusion
Globalization makes a new shape on the business environment. Now the organizations expands
their business among the worldwide and can enter in any other country without boundary. In this
report, the impact of globalization in business and the difficulties of globalization that are faced
by the multinational companies is being discussed. The collected data from primary and
secondary sources provide various outcomes based on the research purposes.