Conditions and Impact of Globalization Transformations on the Activities of Business Structures

Abstract

The study is devoted to the analysis of how globalization processes affect various aspects of doing business. The novelty of the study lies in several key aspects: for the first time, the concept of preconditions for globalization transformations, factors and phenomena is defined and differentiated, their detailed description is made using the latest statistical data of world-wide development. Globalization phenomena and factors are systematized by both the positive and negative consequences of impact on socioeconomic development. The consequences of the impact of globalization transformations on business structures, in particular on innovative development, automation of processes, improvement of logistics, improvement of communications, management, expansion of sales markets, are studied. As a result of the study, approaches to understanding globalization as a multifaceted process that covers the socioeconomic, political, technological, and cultural aspects of society are systematized. The key preconditions for globalization, including the development of informatization, the introduction of new technologies, political changes and economic integration, are analyzed. It is found that these factors enable interdependence and interactivity at the global level, fostering the convergence of different national systems. Conclusions are drawn about the twofold impact of globalization: on the one hand, it stimulates economic integration, free movement of goods and services, development of technology, increase in productivity of economies, exchange of cultures and development of intellectual capital; on the other hand, it leads to economic inequalities, negative impact on local producers, environmental problems, political conflicts and loss of cultural uniqueness. The study also characterizes the impact of globalization on business, including innovation, digitalization, process automation, market expansion, the introduction of omnichannel retail, logistics optimization, reduction of delivery costs, as well as the development of new forms of financing and modern approaches to management.

Keywords

• globalization
• transformations
• business structures
• digitalization
• innovations
• logistics
• management
• communications