In the picture it shows how technology is the vital force in the modern form of business

globalization. Technology revolution is sweeping the globe and the transition from manual to
electronic delivery of services both in public and private sector leads to advancement of business
community throughout the world It has globalized the world. Globalization has lead to new
markets and information technology is one of the technologies fostered to the new market in this
increasing competitive world.

According to Todaro and Smith globalization offers both challenges and opportunities for
business enterprises, including the following challenges: opening up of domestic market to
foreign companies increases competition even for the firms solely operating in domestic markets,
liberal investment regime facilitates international competitors in establishing business operations,
giving rise to increased competition to firms that have been accustomed to operate in protected
economies. That increased market access and reduced tariffs make foreign markets not only
accessible, but increases competitiveness as well. Liberalization of regulatory framework for
investment in target countries enables companies to invest and expand their business operations
abroad. It offers opportunities for integration of business operations on a global scale. Provides
increased opportunity to establish foreign collaborations and ownership. Facilitates consolidation
of business operations in various countries and developing global capabilities. Firms, whose
output was previously significantly more limited by the size of the domestic market, now have
the chance to reap greater advantages from economies of scale by ‘being global’. Global
companies are differentiated by their strong global position in terms of global assets, capabilities,
brands, and their relative resilience to shocks and even to the business cycles.
The abilities to become globally competitive and leverage global opportunities are what make a
firm global. Global companies can attract stronger talent, can enable cross-learning across
markets, have greater opportunities to service and develop capabilities for global customers, and
can invest more in research and development that can be spread over larger markets. Further,
global companies can act in multiple markets to retaliate against increased competition from
other large companies in any given market.

References:

https://www.investopedia.com/articles/economics/10/globalization-developed-countries.asp

Todaro, M. P., & Smith, S. C. (2009). Economic development. Boston: Pearson Addison

Wesley.