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Final Globalization Paper

Final Globalization Paper

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Published by Heather Lemmons

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Categories:Business/Law
Published by: Heather Lemmons on May 10, 2012
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The Positive & Negative Effects of International CorporationsHeather LemmonsLBST 2102-H93 Honors Global ConnectionMay 9, 2012
 
“Globalization is inevitable and irreversible” according to claim 2 of the five claimsof market globalism in Manfred B. Steger’s book “
Globalization: A Very Short  Introduction”
. This seems to be perfect to describe how international corporations affectan area, such as Africa, because globalization is inevitable and irreversible as a result of thedevelopment of technology. There are ways to postpone globalization but it will progressas our world becomes more connected. It will be impossible to stop because once we start progressing the only way to move is forward. Although globalization is not irreversible, I believe that the effects are irreversible depending on the ethics of corporations. Acorporation’s ethics and motives determine what type of effect (positive or negative) and towhat extent does their actions have on the community around them. Although the goal of all corporations is to gain a profit, some companies completely disregard the negativeeffects that they have on a community.There are many motives that effect how a business is run but the major motive for all businesses is to gain a profit and be successful. Lets be honest, if there was no room for  profit, how many companies would there be? Most likely, the only companies that wouldstill remain would be nonprofits but even they need profits in order to buy supplies to helpcommunities. So why do businesses take risk in expanding to areas, such as Africa, and inareas where the economy is bad? How do companies react differently when war isoccurring in an area?To start off with, businesses take risk in expanding in order to expand their marketto reach more customers. By expanding internationally, companies are entering into newmarkets that will allow more room for a profit margin. Sometimes, a company mustexpand because it has reached its max potential in a market or because it needs more room
 
in order to successfully function. Like I have said before, globalization is inevitable and asa result a successful business will have to eventually expand. The ultimate goal of all businesses is to gain a self-image that is recognizable along with a prestigious title.Lets take a look at Coca-Cola and see how they have expanded over the years,why, and how they maintain this massive corporation. Coca-Cola had its start on May 8,1886 when John Pemberton in Atlanta founded it. Although Pemberton had faith in hiscompany and immediately wanted to expand, he knew that in order to be successful that hewould have to allow coke to build itself up. The first year that coke was sold Pembertonreceived a profit of a whopping $50. Today it is one of the biggest multi-million dollar corporations. In 1891, Asa Candler bought out coke and within four years Coke wasavailable in all 50 states, Canada and Mexico. Coke also expanded overseas and by 1929 itopened 64 plants. Today, many people see Coke as an American Symbol because duringWorld War 2, Coke was committed to making their products available for soldierswherever they were (Coca-Cola Company , 2011) Today, Coke is trying to keep its products competing in foreign markets. However, areas that have been affected by war inAfrica are causing stress on the Coke Corporation and they have even shut down certain plants in order to prevent harm to the company (Newspaper, 2008).Although Coke seeks profit, they keep the community around them in mind as well.For example, in “
 Don’t Lets Go to The Dogs Tonight”
Coca-Cola seemed as if it was anecessity, almost like away of life. Throughout the whole book the narrator spoke aboutdrinking a delicious ice-cold Coke. Through this, we can tell that Coke focused on makingtheir products convenient by making it relatively available and cheap. Of course the Coca-Cola Corporation was making profit but their ethics ensured that the company would not

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