Effect of Globalization on
Developing Countries’
Business
Background of Study
 Globalization
is the process of increased
interconnectedness and interdependence
among countries and their people. It is
driven by advances in technology,
transportation, and communication, and
it has had a profound impact on the
global economy.
Objective of the Study
 The
objective of this study is to show how
globalization can benefit a particular nation and
improve its economy.
 This objective is implemented by considering a
developing economy that is Nigeria and focusing
on how globalization is prevailing in the economy
and how SMEs are responding to it.
Why Globalize?

Globalization changes the way nations, businesses
and people interact.

Specifically, it changes the nature of economic
activity among nations, expanding trade, opening
global supply chains and providing access to
natural resources and labor markets.
Significant Effects

One of the most significant effects of
globalization on developing countries is
economic growth. Developing countries have
been able to access new markets and resources,
which has led to increased trade and
investment. This has led to job creation and
higher incomes for many people in these
countries.
Downside

However, globalization also has its downsides.
Developing countries often struggle to compete with
developed countries in terms of technology,
infrastructure, and education. As a result, they may
struggle to attract investment and may experience a
widening income gap between the wealthy and the poor.

Another downside is that globalization can lead to a loss
of cultural identity, as local industries and traditions are
replaced by international corporations and products.
This can also lead to displacement of people and loss of
livelihood.
Marketing leadership amidst
Globalization
 The
focus here is acquiring technology,
getting prepared to globalize and prepare
the enterprise for the globalization.
 Acquiring
technology is an important
way companies tend to cope up with the
increasing demand to globalize.
The choice of Global Market and the
Market Entry Strategy Adopted
• In essence, the SMEs are facing three options: direct
export, indirect exports or a combination of both.
• Direct exporting means that the entrepreneur to
assume full control over export activities.
• The indirect export involves a third party, usually an
agent or distributor who will take responsibility for a
series of activities.
Long term effects of Globalization
 Globalization is
seen to leave a reasonable
amount of impact on the connection
between entrepreneurship, strategic
marketing capabilities and techniques
along with the performance of the firm.
Globalization in Pakistan – An Overview

Pakistan is experiencing both positive and
negative effects of the globalization.

Economic globalization has also provided
opportunities for the country. But nonetheless it
has provided some negative impacts on the
country as well where local startups have been
affected a lot.
Side effects of globalization in Pakistan

Pakistan is right now an example of hybrid society as a
result of globalization, trying to find its balance
between Islamization and modernism. Globalization
has tremendously changed the dressing, cuisine,
cultural values, purchasing power and socio-economic
system of Pakistan.
Conclusion and Recommendations
 In
an economy undergoing globalization there is
very high probability that noticing the problems
faced by small business managements in a nonWestern background may be significant in terms of
the types of support (including the finance and
accounting department, training department,
management, and technology arena).
THANK YOU!
Muhammad Hammad Asghar BSChE2024