Please enable JavaScript.
Coggle requires JavaScript to display documents.
Economic Impact on Companies, WHY?, HOW?, Example, HOW?, Solution - Coggle…
Economic Impact on Companies
Higher Profits/Market Share
Setting up their operations in different locations.
Allows not only access to new markets abroad, but accessing to lower labour costs and cheaper resources
Example
Land
Raw materials
There are MNCs that obtain their components from one location but assemble them in different parts of the world
WHY?
Production cost is much cheaper
Many Singapore companies have gained higher profits by going global as they expand their operations overseas.
They provide a wide range of products and services, from healthcare, food and fashion to technological expertise.
Lower Profits/Market Share
While globalisation has increased access to new markets for campanies, they faced increased competition from other companies in the global economy.
The impact of globalisation
Harder for them to compete for a share of profits from the global economy.
A company needs to constantly innovate and reinvent itself or risk losing its share of the market or profits.
Introducing new features into its products and services
Businesses must always anticipate how a market might change and ensure that their products and services remain relevant
WHY?
HOW?
Example
HOW?
Solution