Management in Context Essay Example | Topics and Well Written Essays - 3500 words - 6

Management in Context - Essay Example romotion of trade liberalization (World Trade Organization, 2008), the modern business trend has gradually shifted from multinationalism to globalization. Globalization is â€Å"a process of interaction and integration among people, companies, and governments of different countries which is driven by international trade and investment through the use of information technology.† (The Levin Institute, 2008) In other words, the concept of globalization allows business people to maximize their available financial resources by taking advantage of the low-cost products and services that are readily available from developing countries. Because of the differences in monetary exchange rate, large-scale businesses from developed countries are able to purchase more homogenous products and highly competitive human resources at a much lesser price. Globalization theorists like Giddens (2000) and Waters (1995) suggest that globalization causes â€Å"social change†. Based on this theory, this study will examine the overall impact of globalization over the role and responsibilities of modern managers. discussed: (1) the need to implement and promote a strong cultural diversity within the business organization; (2) the shift from a traditional management style to the promotion of self-efficient employees; (3) the need to continuously update one’s own learning and promote organizational learning culture; (4) the shift from authoritative or transactional leadership style to transformational leadership style; and (5) importance of selecting the best motivational strategies. Globalization opens new business opportunities by increasing the size of potential markets for existing companies. However, globalization also increases pressure in market competition. For this reason, companies today are facing new business challenges not only within the domestic markets but in a global perspective. (Jain, 2003: p. 53) The tight competition within the domestic and international markets