The Combined Effects of the Internet and Globalization

751 Words3 Pages
1. The impact of globalization and the internet presents real challenges for corporate strategic planners across the world. What is the impact of globalization and the internet on the corporate world? Explain the important role of strategic planning in todays' competitive business world in light of these two forces? The combined effects of the Internet and globalization have made the challenges of implementing strategic plans and initiatives even more challenging and difficult. The long-standing assumptions of foreign markets being comparable to domestic ones of a given corporation have long proven false, leading to significant shifts in the strategic planning process for enterprises globally today (Hassan, 2010). In reality the Internet has made every business a global one; each has the opportunity to attract, sell and serve customers globally over e-commerce platforms that can be enabled and operational within weeks. The speed of competition is increasing due to the combine effects of globalization and the Internet. The focus has now shifted away from mass production to mass customization due to the Internet and its ability to reach foreign markets with relative ease. This shift from mass production to mass customization has also been accelerated by a global prioritization of services, as they are capable of generating greater gross margins and have business models that require greater tailoring to specific foreign market needs (Luo, Chang, Su, 2012). The Internet and
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