Globalization was considered the best means of bringing coun

Globalization was considered the best means of bringing countries together economically and therefore avert future economic or conflict crises. Review these three examples to decipher how times have changed drastically in the world. England walking away from EU and going ‘Brexit’, USA walking away from TPP, NAFTA under pressure,

What kind of strategies can companies now use to benefit from either new opportunities or minimize threats from the changing alliances of the world?

Solution

A lot of countries are facing the problem of unemployment and financial crisis so the governments are taking drastic measures to keep the economy strong. This might sound good for the general public but it affects the companies doing business. Most of the companies are multinational and they have business in different parts of the world. So when events like Brexit happen the businesses will take a hit. The companies make changes according to the new rules and regulations created by the country. They should start giving more preference to the local talent to keep the government happy. The companies also need to work with the local suppliers and identify the investment opportunities within the country to expand their business. At the same time, they also need to keep the employees in the other countries comfortable and that can be done by customizing the way of business according to the likes of the government of that particular country. The company also needs to adopt a localized business strategy and secure their place in the market. The companies like Amazon are good at customizing their business strategy and make it suitable for the local government. This kind of approach can also provide the company with new opportunities because the government might come up with new plans for their business and help them grow in their country. The Brexit also helped many companies in expanding their business in the United Kingdom through exports. Overall, these events can be both positive and negative for the companies but it is up to the companies to create a business out of it.