The ICFAI center for management research state that the global business environment can be defined as the “environment in different sovereign countries, with factors exogenous to the home environment of the organization, influencing decision making on resource use and capabilities. This includes the social, political, economic, regulatory, tax, cultural, legal, and technological environments.”
The political environment in a country influences the legislations and government rules and regulations under which a foreign firm operates. The economic environment relates to all the factors that contribute to a country’s attractiveness for foreign businesses.
Every country in the world follows its own system of law. A foreign company operating in that particular country has to abide with its system of law as long as it is operating in that country. The technological environment comprises factors related to the materials and machines used in manufacturing goods and services. Receptivity of organizations to new technology and adoption of new technology by consumers influence decisions made in an organization.
As firms have no control over the external environment, their success depends upon how well they adapt to the external environment. A firm’s ability to design and adjust its internal variables to take advantage of opportunities offered by the external environment, and its ability to control threats posed by the same environment, determine its success.
It is very natural that every business industries in the world want to grow rapidly with minimal cost of producing product & services. To achieve the quality in the minimum cost is very easy by adopting the latest trends prevailing in the business world, outsourcing the work is one of the cheapest mode to save money as well as precious time. World business consist of a large number of big companies as well short & medium scale industries and all need to grow faster, in order to get the quality work done in the low costs they use to have the advantageous services of the offshore development centers.
Offshore development centers have become today’s most revenue generating concepts for outsourcing firms of the modern business world as they are providing cheap IT services such as software development and other web related services. Offshore development centers are the source of complete set of ready made qualified professionals to work as per requirements of the outsourcing firm. Customized services at low cost is one of the property of offshore centers for becoming most popular concept of global business as well as offshore development centers are working for almost all the industries of the business world such as Banking & Finance, Retail, Travel, HR and manufacturing etc.
Reason for the popularity in the rapid pace is matching approaches of the both the involved entities in the business. Out sourcing firms use to get skilled professionals according to the process of their business and on the other hand development centers use to get good price for the quality work.
Well equipped with suitable technology devices and advanced infrastructure in the development centers are one of the strong reason for the attraction of the outsourcing firms. There are multiple facilities provided by the offshore companies to the outsourcing firms such as internet marketing and SEO & SEM services as well as variety of supportive IT services. Offshore companies or centers has become popular among well settled outsourcing firms as well those firms who are at initialization phase of their development, provision of the customized IT services for the integration of the new advanced IT concepts in the existing business as well as all the asked IT services for the newly set businesses by the offshore centers. A team of qualified and talented professionals with compatible abilities with business nature and perfect coordination with changing business environment of the business industries of the world. There are an number of offshore centers are available in the different parts of the world providing the IT services to the outsourcing firms, these firms use these offshore centers according to their best suitable conditions. To fulfill all the requirements of the outsourcing firms, offshore companies have opened their various offices at distinct parts of the world to provide the customized services to their clients. Both the involved entities are serving each other to achieve the maximum level of profits as well as raising the standards of the global business world.