The market for goods and service have changed radically. It is due to the fact that geographical boundaries are no longer to much significance to trade. The 'WORLD IS ONE MARKET!' This large market has given rise to a process of globalization.
In short globalization means Business without boundaries where the field of operations is the world and there is a shift from local markets to global markets.
It leads to a boom in cross country trade, availability of products at your door step. This also means-a more Competitive Environment for the local companies, increased Quality of products, and increased focus on Customer and customer care, Products being designed as per the choice for the customer, use of financial power in marketing and use of updated technology.
With the proliferation of Global brands in a country the local companies are in a threat of being wiped out. They are normally ill equipped to sustain themselves under the impact of superior products with technological advances, financial muscle and use of latest techniques of customer care and satisfaction. In order to sustain their products in such an environment, the product has to be looked at from an altogether different aspect ie.comparing with the best in the world instead of with the locally available products.
Global Benchmarking is the comparison of local products and to products and service which are recognized and regarded universally as having world class standard and positioning .E.g. Rolls Royce in Cars, De Beers in Diamonds, Rolex in Watches,IBM in Computer, Nike in Sport shoes,CocaCola in soft drinks to name a few world class products and services.
This atmosphere gives rise to a lot of demand for Global professional -people with an acumen to understand:
The consumer-across various cultures
The market place-to be able to stand out with his product
The technology revolution-to pick and choose the best for him
The information revolution-to be a wise user of the information.
In the quest for newer markets and to get economies of scale a new type of company came up-the Multinational
The term multinational is used to describe an organization that produces in, markets in and obtains the components of production from one or multiple countries for increasing benefits to the overall enterprise.
To thrive in this arena of intense competition a company has to be equipped with two primary things:
Global product and services.
The writer is a CHARTERED MARKETER
B.A. (Hons) (SJ), Dip. M. (SL), PGDM (UK),
CIM (UK), MCIM, MSLIM
(Senior Management Consultant and Lecturer)