How does globalisation impact on the management of Chinese firms Essay

How does globalisation impact on the management of Chinese firms - Essay Example The role of globalization in the competitive economic scenario and the environment cannot be underestimated. The firms have to advance themselves with the ever rising challenges in the market and accordingly build up their strategies. It is here the role of globalization plays the prime effect. The foreign policies practiced by China as well as the economic situation across the globe are all factors for a firm to sustain in the market. The focus of the paper will lay upon the needful to be done by the management to be in line with the impacts of globalization. In fact this is the reason behind inclusion of both and negative aspects of globalization. Introduction Globalization and its impact on the management of firms have attracted an effective attention of the international business’ scholars in the past decades. Small family run private owned business organizations have been at the middle of various international discussions on the how the globalization impacts the managemen t of the organizations. Liberalisation of markets, services, standardization and integration of economies are considered as the hallmark of the globalization. Opening of economy and increased interdependence on global market has contributed effectively to the economies of both developing and developed countries. China is considered as one of the emerging economies around the globe. The small family run private owned hospitality firms are achieving significant growth rate due to China’s open economy policy and globalization. On the other hand, it is quite challenging for an organization within this sector to manage the workforce and business performance inside or outside of the country. Recently china achieved potential economic growth rate due to globalization, open door policy and economic reformation. It is true that the business environment in China is becoming highly potential as well as competitive. Several organizations within the small family run private owned hospital ity organizations are adopting different strategies in global market place in order to develop potential client base and gain significant competitive advantages. Despite the financial advantages, the management of these Chinese firms faces several issues in foreign market places due to globalization. Several Chinese small family run private owned hospitality firms are trying to aiming on global expansion strategy. However, globalization has several advantages and disadvantages on the management of these firms that will be discussed in the discussion part. This essay will determine the impact of globalization on the management of small family run private owned hospitality firms outside China. Discussion It s true that globalization and open door policy of China is motivating several small family run private owned hospitality firms to adopt and implement global expansion strategy. These organizations are considered as one of the important contributor of the economic growth of China. C hina is highly focusing on the growth of these business firms due to high potentiality and strong market demand. Therefore, the government of China is supporting these organizations to adopt and implement global expansion strategy. There are several negative and positive consequences of globalization on the management of these firms that are discusses below. Positive Impacts of Globalization Several leading organizations are trying to capitalize on the opportunities that are developed due to