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Positive and Negative Effects of Globalization on Nestle

1. Globalization has been a very important force in shaping modern business, moreover, it has also rapidly changed the way the world functioned. With this it is also very important to note the fact that it has rendered the world and business with both negative and positive results. Having said that it is very important to note that globalization has been the reason which has increased the transportation of goods. This is because globalization has opened up new markets where anyone can sell and buy labour and goods. It has also made raw materials and other components accessible. Thus, for this to occur without any hindrance, it is very important that the transportation factor is enhanced (Imhanzenobe, 2021). Because of these aspects collectively, finished products that companies are producing are being sold across the world at a greater rate and at a greater pace. Before the world was hit by globalization, the approach of the organizations was very local, the products rolled out by different organizations was produced, sold as well as consumed more locally. However, globalization has its downside as well, the increased transportation, increased emissions which has been affecting the environment, along with this it has also led to habitat destruction as well (Radovi?-Markovi?, et.al, 2019). 

With this it is also important to note that globalization has paved way for economic specialization. This has happened as countries have focused on their economic strengths which has turned them to become trading partners. Thus, the economic boost has helped a lot to increase productivity as well as efficiency. The same kind of aspects can be traced in Nestle as well with regards to how globalization impacted the business (Ani?i? et.al, 2019). 

The evolution of Nestle has from a local company to a leading global brand has occurred because of globalization.  Nestle is a Swiss company which was established in Vevey in the year 1866. The very first product launched by Nestle was called ‘farine lactee’ which meant ‘flour with milk’, it was invented by pharmacist Henry Nestle as an alternative of breastfeeding. It became popular because it was invented as an alternative of breastfeeding which could tackle infant mortality rate caused by malnutrition (Tica, et.al, 2021). With globalization, Nestle started selling in Austria, Belgium, Italy as well as Russia, Spain, Serbia, Sweden, the Netherlands as well as it began selling in United Kingdom as well. Soon it had manufacturing units in Hong Kong, Singapore, Calcutta, Bombay as well as in Colombo. It was beginning to manufacture new products and it further diversified in the year 1977 through the acquisition of Alcon Laboratories. As today it has acquired several brands like Friskies, as well Herta, Perrier and as of today it is the largest food company of the world (Dobrea et.al, 2021). 

Evolution of Nestle as a Global Brand

Thus, through this trajectory one can understand how globalization enabled Nestle to spread across its products across the world through transport accessibility and open and free markets. This has immensely helped Nestle to grow to become a global brand. However, it is also important to note how the globalization of Nestle induced both negative and positive effects on the environment as well as the economy, society and culture and larger politics (Kee, et.al, 2021). 

From the environmental perspective the organization ensures that they use reusable and recyclable plastic water bottles. Along with this the research & development department of the organization is responsible for ensuring that they bring in innovation with how they manage their waste.  In fact, the R&D department has also been very successful in helping the company reduce its greenhouse and non-renewable emissions because they actively use renewable sources of energy. On the other hand, there are complaints against the organization for flouting environmental regulations in China (Wijesinghe, 2018). 

From the economic perspective, globalization has been very important to because it has increased the sales of the organization and because of the same its operation around the globe has been successfully. Thus, not only did it positively impact the brand but it has also ensured that it improves the economy of the other countries as well through their business participation. It is also responsible for increasing employability in various countries. However, with regards to this one criticism that has been levelled against the company is that it has been complacent in encouraging child labour in developing countries. This is because one of the main tenants of globalization is the fact that it is only focussed towards increase in production, thus if that is the focus expecting ethical standards with labour and productivity can only lead to disappointment (Kee et.al, 2021). 

On the other hand, the globalization of Nestle has also helped the company to bring together societies and cultural practice together. The edibles that are produced by Nestle are very popular in many third world countries which to a greater extent has increased their sales and production. However, this has also affected the health of many children in these regions. Moreover, there has been a baby milk scandal which also affected the reputation of the organization to a great extent. It resulted into the product being boycotted. However, in order to brush off the bad reputation it also worked towards educating the health care professionals as well as parents on the benefits that breastfeeding has (Kee, et.al. 2021). 

Global Interdependency and InterContinental Geneve

Moreover, with respect to culture, the biggest advantage of globalization is the fact that it allows a lot of room for cross culture participation to flourish. The Swiss company too took advantage of this and inculcated the production and promotion of coffee in different parts of the whole which resulted in the increase of its coffee sales. Being exposed to different cultures allowed the organization to make interventions with the Vietnamese farmers and helped them equip themselves with the understanding of sustainability, especially how it can be practiced in farming (Baker, et.al, 2021). 

This, the success and global brand reputation of the company happened only through globalization. Globalization as a phenomenon has both positive and negative effects in how it plays out in the society which is what the organization faced as well. Having said that since it is a global company and because globalization has rendered the organization with accessibility it must strive to make constructive changes in the societies (Mala and Ziaeian, 2019). 

2. With regards to this analysis the object of investigation is InterContinental Geneve, which is a five-star international hotel, that is also eco-friendly hotel is very different from the other hotels of the region. It is under the chain of IHG hotels a British multinational hospitality company that has its headquarters in Denham, Buckinghamshire. The IHG brand has many hotels and resorts under its chain across the world and the one located in Geneva is also under the administration of the larger IHG group. One of the most interesting aspects of the international hotel is the fact that even if this falls under the administration of the IHG group, yet it includes certain elements which is Swiss in nature, thus it is the subject of investigate. Moreover, it is also visibly very distinct because it represents the global economy through the way it is designed (Voegeli, 2021).

To proceed further with the analysis, it is also important to unpack the concept of global interdependency. Global interdependence is the concept which refers to the phenomenon when a lot of things in the world functions under mutual dependence between different countries. Thus, this concept promotes the idea of mutual dependence across the globe through the strategic decisions that countries make (Cuervo-Cazurra, Doz and Gaur, 2020).. The core idea comes from the fact that no country is independent.  They have to depend on other countries for resources of some kind or the other. This is how a web is created where each country in the world depends on others for something in return for the mutual growth and development of both.  One of the most interesting aspects of this is the fact that when countries depend on each other they positively impact the growth of the other nation. Often a times through such efforts, energy, food, as well as global interdependence evolves (Vlados, et.al, 2018). 

Distinctive Elements of InterContinental Geneve as a Swiss Hotel

The source of global interdependence is actually induced by international trade, which occurs through the import and export of products and services. Along with this through the exchange done through international trade, many businesses also exchange many valuable ideas as well. These valuable ideas have been responsible for creation of many successful ventures (Oatley, 2019). 

However, globalization has transformed the world market and made it accessible for all, which has enhanced the scope for everyone to be successful. With this it has also introduced the concept of global economy. To simply put it, a global economy is an umbrella term which sees all the economies of the country as a whole and thus works towards developing it together, even it is operations are done accordingly, keeping the framework in mind (Steger and James, 2019). 

This also points out the fact that the economy of each country, their businesses depend on each other they are intertwined and they are interdependent, the operate in different parts but for a collective cause. That one collective cause is global economy, thus it is a cycle where global economy, because they are interdependent on each other has been assisting the economic growth of a country. One of the biggest achievements of global interdependency is the fact that it trades with other countries thus making the nation richer. However, another crucial point that must be noted is the fact that it has its own disadvantages as well. For instance, nations who are in need of strategic goods are very vulnerable in the hands of global interdependency (Bhambra, 2020). 

With this global interdependence that has promoted and it is accepted because it effectively reduces trade barriers. It is like a platform that encourages makes initiates to ensure that international trade is successful. Because it creates a culture where countries are dependent on each other for their individual growth, they are bound to be transparent and accountable which is a great way through which trade disputes can be handled well. Fourth reason as to why it is a very great system it ensures that economic stability is equalized in the world and finally it has created the culture of multinational companies which has boosted employability to a great extent (Holland, 2018). 

Thus, keeping these points in mind, Intercontinental Geneve is a perfect example of a global interdependent venture. Mostly because it has shown the example of how the culture of two regions coming together to boost the economy. While it is a part of the IHG hotels and resorts, the fact that it is operating in Switzerland has enhanced employability to a great extent, which has had a positive effect on the economy of the region as well.  It reflects a great instance which showed how international trade can function (Heath, 2019). 

Moreover, IHG is a multinational company which has its hotels across the world which helped the organization to set up business in Geneve as well.  Thus, even if there are Swiss cultural nuances with regards to how the hotel runs its business, but the features, the outside façade of the hotel resembles the signature styling of the IHG hotels which are found across the globe. In fact, the hotels are designed in a particular way which marks its identity. This aspect renders the place with a unique international approach. And this has been possible because of the concept of global interdependency. Therefore, globalization and the concept of global interdependency should be credited since it has been responsible in transferring cultural values through trade and business which has been instrumental in helping the local economy grow as well (Milner, 2021).

3. Technological advancement has been a major force behind furthering the cause of globalization.  The progress of technology truly has been a driving force of globalization. It has been encouraging companies to make breakthroughs in order to turn themselves into global enterprises. Thus, it also has resulted and encouraged organizations to increase their sales, expand their scope of work and venture into new markets. This especially has helped organizations to optimise their business and at the same time has reduced cost of transportation (Qadri and Bhat, 2018). One of the most important aspects which is required to run an organization successfully is the fact, businesses should understand the importance of communication. In this context as well, technology has been of great help. Globalization has made the world an open stage that organizations can use to their advantage. In this context technological advancements play a very important role in setting the stage as well as equips the organizations with tools for them to compete in the global space. It has helped in overcoming different barriers like international trade barrier which was caused by expensive transportation cost etc (Lund and Tyson, 2018).

With regards to this, it is also very important to note patented technology is also very important and effective as it encourages globalization. With the patent, organizations can embark on foreign markets, patents allow companies to take risky decisions because it also reduces chances of competition.  While globalization has opened up markets, when this is backed with technology it has created a global village (Lund and Tyson, 2018). In such a situation buyers and sellers can make transactions and engage in business whenever they want without any barrier. It has also changed the form and nature of investments. Moreover, it is very important to note that technological advancement has made businesses very simple, this has encouraged organizations to focus on innovations. These innovations in return have an overall positive impact on the organization (Lewandowski, et.al, 2019).

While technology has been an important tool in driving the agenda of globalization. Globalization has also been very instrumental in the democratization of the technological advancements in different parts of the world. Previously, technology was limited in rich countries who had the means to innovate and use them. Because the market is free and open, technology is accessible in all the countries because it is the most important element that keeps businesses afloat. This has been instrumental in developing countries where technology with low wages has helped in boosting the productivity and profit of the organizations (Qadri and Bhatt, 2018).

Thus, it can be said that technology to a greater extent is responsible for revolutionizing the global economy and is a very vital source through which organizations can enhance their competitive strategy. Along with this it is also important to note the fact that globalization has made the functioning of organizations more transparent and has enhanced the level of ethical standards which organizations must abide by. Thus, it can be said that technology is responsible for reshaping businesses for better (Euchner, 2020). 

As a leader in order to ensure that business does well in an international market it is very important that an international strategy is set up first.  With regards to this strategy, it is very important to note the fact that exporting strategies are focused on. This will be helping the organization to export their products and services in the foreign markets, while the production and the operations of the company can be managed in the headquarters. In the initial phase keeping the production in the home country is very important as it helps in maintaining the checks and balances (Wilburn and Wilburn,2011).

However, the areas which requires supervision includes, the overseeing of the sales offices which is set up abroad. Along with this it is also very important that the global logistics are managed well and most important an efficient leader would ensure that the organization is complying with the standards of foreign trade regulations. Maintaining these aspects would help the organization to avoid any issue in their operations (Nummela, et.al, 2014). 

The next important strategy which would help the company grow and sustain in a global market can be achieved through the multi-domestic strategy. With respect to this strategy, it is very important that the focus is established on creating a brand presence of the company. Moreover, a lot of research should go on to studying the needs of the foreign market that and accordingly the organization can tailor products to suit the demands of the markets. Another important aspect of the multi-domestic approach is the fact that in order to establish a company in the global market it is very important that the leader creates competitive advantage for each country (Bowonder, et.al, 2010). 

The other crucial approach is the fact that the leader should take the global strategies where an integrated an approach is established for the company to sustain in different countries. With this it is also very important that homogenized products are developed which can help towards minimizing the cost and can also be used by a variety of consumers. Finally, it is also very important to make some small adjustments to suit the needs of the different countries where the organization would be functioning from (Borisova). 

Next for effective business transactions it is also very important to ensure that certain strategies are adopted which will help the organization to address the global as well as the domestic needs. For this it is essential that separate research and development teams are created in different countries who can provide detailed information about the particular market and suggest products and services which that market would require. This will also help the organization to benefit from the chosen market that they are trying to penetrate. 

With this as mentioned before as well, technology plays a very important role in helping companies establish themselves in foreign market. Thus, technology must be judiciously used in order to understand the market and the needs of the country as well as a tool through which communication should be made to build trust amongst the consumers for the organization to grow (Bowonder, et.al, 2010).

4. The 2030 Agenda with its 17 sustainable goals adopted by the United Nations is truly remarkable because nothing of this sort was envisioned ever before which aimed to collectively address a number of human rights issues.  Thus, it can be considered a radical plan for the better of humanity and also paved way to think about human development in a new light. The most important aspect of the 2030 Agenda is the fact that unlike the other plans it does not address the needs of the developing countries only. But it takes into consideration the issues and consideration of all the countries who fall under the middle to low incomes. It also addresses the need of those people who come from countries where inequalities are rising (Miola and Schiltz, 2019).

Thus, it can be said it is applicable for all the countries and all of their concerns including the emerging issues as well. This is why it can be called universal as well. For instance, the agenda also address the issue of climate change as well as environmental degradation by industries which has direct impact on the lives of the communities. Most importantly the agenda not only has intervention programs they also have guidelines and laws which is applied to respond to any kind of violation be it with human beings for with the environment (Diaz- Sarachaga, Jato-Espino and Castro-Fresmo, 2018).

In fact, the agenda actively pushes countries to take responsibility of responding to the issues like that of climate change, reduction of unemployment, as well as should work towards strengthening gender equality as well as should ensure that the citizens thrive in a peaceful society. With this the agenda also pushes to eradicate poverty as well as encourages sustainable development. The other important feature of the sustainable development goals is the fact that they are interlinked. With this it is essential to focus on the strength of the agenda when compared with others, the traditional interventions to address these issues looked at one issue at a time (Diaz- Sarachaga, Jato-Espino and Castro-Fresmo, 2018). Whereas the 2030 Agenda in order to bring in development one should take an interdisciplinary and intersectional approach. This would encompass economic concerns as well as social and environmental concerns together. This is because the core idea of the philosophy is based on the fact that addressing these aspects is together is very important because addressing one at a time will have an impact on the other outcomes. For instance, one must make sure that if women and girl empowerment is the concern the local economies are also taken into consideration (Miola and Schiltz, 2019).

The intervention strategy should ensure safe childbirth and built resilience within community to make them safer for women to thrive. Thus, because the agendas are indivisible and it should be seen as an integrative process, the intervention programs are left with no option but to address the issues holistically. Moreover, the plans of the agenda are well researched and takes into cognizance that development measures must be well informed and should indulge in risk assessments as well before implementation, otherwise it is not sustainable.  Finally, the strength of the agenda 2030 lies in the fact that it includes everybody in its processes and solicits the involvement and participation of all the stakeholders of a society (Agbedahin, 2019).

Switzerland is ranked to be amongst the top five countries who has been working actively towards achieving the 17 Sustainable Development Goals. With regards to fulfilling the goals the Swiss has shown the world that they prioritize sustainability and they have been continuously working towards improving environmental degradation, control emission of green house gases in order to respond to climate change. With this the country has been very active while connecting and helping urban and rural mobility. However, it is very important to focus on eight goals especially through which it can the greatest impact (Szopik- Depczynska, et.al, 2018). 

The Swiss should focus on goal 3 Good Health and Wellbeing. This is more so because the country needs to focus on road safety as well as reduce road accidents through training the drivers effectively. With this it should also work towards the reduction of noise pollution and emissions from the vehicle to improve the air quality and expand electromobility (Breu, et.al, 2021). Moreover, the well being of the larger workforce should also be prioritized the other SDG that the country should focus on is the goal 7. This would help the country to work towards the reduction of high annual energy consumption through different important strategies. Followed by this is SDG 8 which would ensure that economic productivity increases and in order to so the Swiss should focus more on modernization and innovation especially in the peripheral regions, with this the equal pay of the workers needs to be established (Dietler, et.al, 2019). Having said that in order to achieve this goal it is important that discrimination at workplace is addressed and done away with. And inclusive measures for people with disabilities should be ensured in order to include them in workforce as well as the intervention should devise ways through which young people can be encouraged to work (Saric, et.al, 2019).

The two most important goals that the country should be focusing on is SDG goal 4 and SDG 13 which is on education and climate action respectively. These two areas are of utmost importance it is directly responsible for making people more skilled as well as informed. This is very effective in ensuring that the other goals are fulfilled. The other SDG’s that the country should focus on includes SDG goal 9 that aims to work towards industry, innovation as well as infrastructure (Cramer, et.al, 2019). Focusing on SDG 11 is also very essential because in order to create a healthy society it is very important that the citizens have access to social services like housing, public transportation and others. Finally, the other SDG which is the goal 12,  should be focussed by the country which is aimed at responsible consumption and production.  This connection is very crucial because it has the potential to avoid and reduce waste, to attain this the country should focus on reusing and recycling products (Pham-Truffert, et.al, 2020).

Reference

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