What Do You Think About Globalization and Its Effect on Business?

IELTS Speaking Part 3

Globalization

Business

What do you think about globalization and its effect on businesses?

Well, it’s something which has been happening and will continue to happen. As more information and culture are shared globally, larger global business markets will develop.

Large multinational companies have been operating globally for many decades but now even smaller enterprises can sell their products and services across the world with few problems.

The net result is that business has become more competitive for everyone and especially in terms of e-commerce and such like; small companies can compete with large companies in any market irrespective of where they are based.

Globalization and technology has made it far easier to do business in any part of the world, and while there may still be some challenges – they are far fewer than in the past. Things will likely be even more open and competitive in the future.

How has globalization affected family businesses?

Increased competition: With the rise of globalization, family businesses have had to compete with businesses from all over the world. Global competition has forced them to become more innovative and efficient to stay competitive.

Diversification: Many family businesses have expanded operations into new markets to survive in a global economy. This strategy has led to a more diversified business portfolio which can be risky and profitable.

Mergers and acquisitions: Some family businesses have merged with or acquired other enterprises so that they can grow. This strategy has helped them expand their reach and become more competitive in the global market.

How would you respond to this question about globalization and its effect on business?

Will big companies replace smaller companies?