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Describe The impact of global factors on business organizations ?



The implication of global integration on business

UK is integrated with OECD countries the biggest trade block of Europe. It is a steady member of IMF and G8 countries since their inception. UK is also associated with European union and WTO. The market size of UK is £2 trillion domestically where exports numbered £0.5 trillion. The country has a record of holding offices of almost all the foreign company’s’ office in their domestic market differentiating the employment opportunity in different subjects (, 2015).

Assessment of impact of international trade on domestic products and service

For the UK business holders there are ample of opportunities to develop their business in Asian emerging markets. The growth of country has survived from recession of 2008 while government has no protectionism policy for the big MNEs in the country due to free trade policies. However, it has taken measures for controlling the business of SMEs from the foreign companies. The trade duties and tariff rates are same for the domestic and international business except there is some precautionary measures for

to quality for agricultural and food products imported from other countries (, 2015).

Impact of global economy on business

The free trade policy of country has increased the competition for the domestic producers as seen in the low manufacturing workers in nation. It has also increased the rate outsourcing due to increase rate of wages. Globalization has provided the customers many choices for them as there are many products sold in UK of many prices. It also increases rate of innovative development in UK to compete with the foreign low cost products.


The facilitation of globalization using ICT

Using ICT has enabled industry to outsource many jobs from low wages country where relevant skills are cheaper than in UK. Further, it has increased the employment problem of country too. Internet marketing has increased communication at lower cost and also a different profession for the country as well as it is a meaning for easy communication with remote area (, 2015).


Reference lists, (2015). EUROPA – EU website | Choose your language | Choisir une langue | Wählen Sie eine Sprache. [online] Available at: [Accessed 27 Apr. 2015]., (2015). - OECD. [online] Available at: [Accessed 27 Apr. 2015]., (2015). Home - HESA - Higher Education Statistics Agency. [online] Available at: [Accessed 27 Apr. 2015].


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