The Impact of Information Technology on Globalization

As the enterprise expands ventures into the global market, there is need for implementation of an information technology solution for effective competition. Technological developments involves improvements in both hardware and software systems. Information technology helps in the security of the firm’s financial data and the confidential decisions by the executive. This is due to the huge sizes of the business and the many decisions in the business on a daily basis. Technological solutions such as the Enterprise Resource Planning (ERP) systems help in effective management of the human resource. Globalization of the business implies huge number of employees requiring efficiency in the management. Information systems also improve the general business operations by enabling easy flow of cash and the preservation of resources that are vital to the organization.

Information technology improves customer experience by satisfying their needs (Majra, 2016). The customer service technology, websites, and e-mails help in the interactions with the customers. Information technology helps in the management of customer data and analytics, automating marketing to reach the customers with the information faster, and improving self-service systems.

The Cultural, Social, and Technological Impacts of a Company in Globalization

            Globalization of business has social, economic, and technological impacts both to the company and the business environment. Globalization leads to heightened competition in the market due to increased products for sale in the new market. When selling a product in a foreign country, it is most likely that other businesses are operating in the same product. Globalization acts as an equalizer as the internet gives access to business information and marketing tools to all businesses. Globalization leads to innovation, entrepreneurship, and improvement of technological infrastructure of business as they try to counter the competitors (Petrova, 2013). The social aspect of globalization is in increased tourism and subsequently growth of travel and tourism companies. Globalization can also lead to changes in the consumption of products due to the introduction of new products into the foreign market.

References

Majra, H. (2016). Structuring Technology Applications for Enhanced Customer Experience:

            Evidence from Indian Air Travellers. Global Business Review, 17(2), 351-374.

Petrova, K. (2013). The Effects of Globalization on Entrepreneurship. International Advances in

            Economic Research, 19(2), 205-206.