Question

Globalization occurs when an organization:

1) actively participates in other countries and cultures.
2) serves diverse customers within the firm's home country.
3) has a diverse workforce within the firm's home country.
4) All of the answers are correct.
5) serves diverse customers within the firm's home country

Answer 1

1) actively participates in other countries and cultures.

Globalization occurs when an organization actively participates in other countries and cultures, integrating into the international economy and world market. This process includes economic, philanthropic, entrepreneurial, and cultural efforts, with both historical roots and modern manifestations. Globalization can involve diverse customers and workforces and even extend to sensitive cultural interactions within the business environment.

Step-by-step explanation:

Globalization occurs when an organization actively participates in other countries and cultures, thereby integrating into the global economy. This involves buying and selling in markets that have increasingly crossed national borders, which is a trend seen throughout history and has amplified in the modern era. Corporations such as Walmart, McDonald's, or Ford engage with international trade, utilizing labor and resources from various countries to sell products and services across the globe. The phenomenon is not only limited to economic realms but also encompasses cultural, governmental, and financial market integration into a single world market.

Globalized trade has ancient roots, with societies in Greece and Rome engaging with other parts of the world. This process has accelerated since World War II, with advancements in technology and communication. Today, globalization results in scenarios where different cultures interact within a business setting, often leading to a diversity of workforces within firms and requiring a sensitivity to cultural differences for effective communication and collaboration.

Market expansion and other motives, like improved access to healthcare, often initiate globalization efforts. However, this snowball effect brings a mixed bag of economic, philanthropic, entrepreneurial, and cultural efforts. Despite concerns such as xenophobia and cultural colonialism, many globalization efforts, like campaigns to bring clean-water technology to underserved areas, demonstrate clear benefits.